Leave tax plan alone, says Giba

By Simon Tostevin

A FEAR remains in the finance industry that a new Treasury minister might want to alter zero-10, according to the Guernsey International Business Association.

With the race to be chief minister to be decided tomorrow, there is the possibility that Lyndon Trott, the present Treasury minister, could change position.

And even though he would be almost certain to be against an overhaul of the strategy, there is an equally good chance that Charles Parkinson, the man who pushed the zero-20 idea, could be in the running for Deputy Trott’s current job.

Deputy Parkinson has proposed Bernard Flouquet for chief minister and, if he were to be successful, it would be almost certain that Deputy Parkinson would be his choice for Treasury.

‘Giba is keen to work closely with the new Treasury and Resources minister whether the role remains in the hands of Deputy Trott or is taken by Deputy Parkinson or another candidate,’ said chairman Steve Le Page, pictured.

‘However, in the light of comments made recently by Deputy Parkinson, we would urge caution on adjusting zero-10 measures and in that regard very much support the comments made by Chamber of Commerce president Paul Luxon in the Guernsey Press on Monday.

‘Essentially this was to leave the current package alone for at least a year so that its impact on the island and on industry can be fully assessed and then refined if necessary.’

Mr Le Page said if something about zero-10 were changed now then the island would risk undermining Guernsey’s credibility as an offshore finance centre.

‘Having said that, if the new House does not share the view expressed by Chamber and supported by Giba, it needs to be aware that any adjustment which may lead to perceived changes locally may have the complete opposite effect externally, the source of the island’s financial business.

‘Therefore, we strongly urge the new House to ensure that if it pursues this course of action then any proposed changes are very carefully considered and consulted upon with Giba and other business associations.

‘As the umbrella group for all areas of finance we are more than willing to meet with deputies on such matters.’