I made the following speech in relation to the Social Security Department’s proposals for the changes to social security contributions in October 2014.
Sir, I welcome the fact that any increase in contributions has been delayed by a year and thank SSD for listening to C&E’s view on this matter.
I note reference in paragraph 13 that and I quote ‘The Department is of the view that the social insurance contribution is just one small part of the cost of running a business locally and a 0.5% increase in the rate of employers’ contribution would have no significant bearing on whether or not a company decides to remain in or relocate from Guernsey and indeed whether a company should seek to expand if sufficient business were available.
However, that’s all very well but we know that is not the only increased costs being imposed by SOG on local businesses. As we have just seen – above inflation increases in TRP.
Departments need to look at the whole picture before imposing what at first glance may appear small costs to businesses, and individuals for that matter.
Finally, I welcome the initiative to investigate the feasibility of establishing a secondary pension scheme.