Do more to cut costs, States told

Thursday 26th January 2006, 12:00AM GMT.

SPIRALLING wage costs are stopping the States getting to grips with their high spending, says the Jersey Chamber of Commerce.

According to the latest official accounts, the number of public-sector employees costing more than £50,000 a year has increased by 237% since 2000, which shows that the Island’s government is not winning the battle to cut costs, says the Chamber president, Kevin Keen.

He said that the States needed to do more to reduce their expenditure and although compulsory redundancies should be a last resort, they should not be excluded.

Mr Keen said that the Chamber had been looking closely at States expenditure and particularly the promise to save £20 million a year to help fill the impending tax black hole.

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