Treasury wants £175m. loan for major projects

Friday 6th March 2009, 2:29PM GMT.

TREASURY wants to borrow £175m. in the next four years to help fund projects including rebuilding Les Beaucamps High School, new mental health facilities and work on the airport runway.

The department today released its plans for what projects should be pursued and has produced a timetable for that to happen.

The works will total £300m. and include building a waste plant at around £80m., ploughing £6m. into Aurigny and work on St Peter Port School.

‘In our view, the recommended capital programme is sustainable in meeting the needs of the present without compromising the ability of future generations to meet their own needs,’ said Treasury minister Charles Parkinson (pictured).

‘This is a departure from current States thinking, but we believe it is the best way forward for the community.’

Borrowing has long been rejected by successive Assemblies.

One member of the department, Deputy Roger Domaille, is against it unless there is a linked income stream.

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1
Simon

March 7, 2009 at 7:16 am

then there is the deep water berth
sewage plant (talking of sustainability)
and I am sure more than one school needs a lick of paint,
thank goodness we dont have a navy and airforce to pay for as well……….
and banks love debt, and Guernsey loves banks, so all in all neat and tidy. Sustainable Money!!!! no thats of interest to almost everyone. Of course save and dont buy what you cant afford, have a stash saved enough for essential works (schools and waste seem fairly essential) etc etc, oh why do I get so frustrated, it is not going to change, Cor La, perhaps I’ill move to Canada or somewhere!

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2
MmeLaGuillotine

March 9, 2009 at 4:01 pm

Interesting talk coming out of the Treasury at the moment.

First of all we have now dug ourselves a £65 million black hole, and now we have T&R wanting to take out £175 million in loans for major infrastructure projects.

Sorry, am I missing something here?

We have a huge deficit, so we are going to borrow almost 3 times the amount as well?

And then we are going to tax taxpayers out of existence during a time of global recession/depression.

Any economist worth his or her salt will tell you that this is unsound fiscal policy when you are trying to stimulate growth in the economy.

In fact, in my view it borders on the insane.

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