Housing licences are set to cost

Friday 7th September 2007, 12:00AM BST.

CHARGES could be made for housing licences and right to work documents. Housing is bringing proposals to the States this month which could raise up to £500,000 to help cover administrative costs.

Two main charges are proposed.

n Applications for all employment-related licences, varying depending on the length and type of licence applied for.

n Applications for Declarations of Lawful Residence for people living in staff quarters.

‘Some people have suggested we should charge significant sums, but we have resisted those calls, not because we couldn’t use the income, but because we don’t believe that having a greater ability to pay should be the determining factor of who gets licences,’ said Housing minister Dave Jones.

‘For every bank that may be able to pay several thousands of pounds for a licence, there are many small businesses that simply could not afford such a charge.

‘Also we had to bear in mind that there are some businesses that make relatively few applications, while there are others, such as growers and hoteliers, which make frequent applications because they rely heavily on imported labour.’

He added the charges would help cover the costs of processing the application.

‘Payment on application will help to reinforce the message that it is not the licence itself that is being paid for, but the cost of processing the application, regardless of whether it is approved or not.’

Funding the administration of the Housing Control and Right to Work Laws is budgeted to cost £668,000 this year.

At the moment that is funded by the taxpayer.

‘With the forthcoming abolition of corporate taxation, it is considered that those requiring housing licences to do business on the island should contribute to the funding of the licensing system,’ said Deputy Jones.

States departments will not be charged because it would just move money between departments with no overall gain, he added.

The charges will come in from the beginning of 2009 because new legislation is needed.

Housing also wants to have time to speed up the processing of applications.

It is reviewing procedures and making changes to the computer system to do this.

‘We’re putting forward charges at a level that we believe are fair and reasonable,’ said Deputy Jones.

‘However, it will be some time before the charges come into force. We are consulting with relevant bodies and will take their views into account before finalising the initial charges.’


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