FOR some reason I’m finding it particularly difficult to believe what people are saying, in these difficult economic times.

It’s not that people are lying, exactly; it’s just that the phrase ‘economical with the truth’ seems to be applicable more often.

Take an informal talk I went to the other day. Two property salesmen were giving a presentation about their work. One explained how much they help prospective home buyers to achieve their dream, while the other estate agent reinforced the value of a property investment.

Neither of them referred to the changes that are currently taking place in the housing market as a result of a lack of credit. Actually the word ‘change’ is a bit of a misnomer. Jersey’s housing market has been hit quite hard – and the evidence is in the Treasury Minister’s Budget presentation.

I refer to page 8 of the Budget document, where Senator Terry Le Sueur states that ‘the level of stamp duty has fallen significantly in the second half of 2008 reflecting the slowdown in the housing market, and future forecasts have been adjusted downwards’.

And on page 12 he says: ‘The second half of 2008 has seen a significant fall in stamp duty revenue and assuming this trend continues in the short term then a decrease of up to £7 million is likely for the year’.

Figures supplied by one of the estate agencies shows that Island banks have been lending significantly less so far this year than they did in 2007 – some over 50% less. Add to this the withdrawal from the lending market of Jersey Home Loans since last month, and you begin to get a very different picture from the one flogged to us in recent months by some of those trying to sell houses.

Of course the stamp duty figures do not include buyers of share transfer properties. But the reluctance of lenders to take the risks that they have taken over the past few years suggests that the share transfer market is no more buoyant than its freehold neighbour.
And the longer term prospects could leave even Jersey home owners with properties worth less than they paid for them.

IT is not only those in the property industry who are trying to put a positive slant on the current situation.

Not surprisingly finance firms are keen to show only their best profiles. One such press release came in the other day: ‘Our group and its Guernsey and Isle of Man banking subsidiaries remain unaffected by the current credit crisis and turmoil in financial markets,’ it trumpeted.

What it did not say was that although the banking division has performed relatively well in the 12 months to July, the other three divisions have not fared so well in these ‘unusually challenging’ times. In fact, as the end of year report shows, total operating profit before tax was down by around £50 million.

More of a challenge was a call I received from a Jersey worker who had just been made redundant from a well-known finance company.

The managing director of the firm is obviously a shy bloke because I could only get a response to my inquiries from a UK PR executive. The press release claimed: ‘All efforts will be made to redeploy the affected staff in other areas of the growing business and staff affected will be offered development support.’

The jobless – and very angry – caller claimed that contrary to the gumph we had published, the people who have been fired are not being offered jobs in other areas of the business.

It is even more depressing because, having reported the tail end of the last recession, in 2003, I very well recall how politicians and senior representatives in the finance industry regularly accused the ‘media’ of dwelling on the doom and gloom instead of focusing on the positives of their policy/industry.
Sadly it is all happening, all over again.

REGARDLESS of the great depression of the business world, I’ve been a little cheered by the shenanigans of our prospective politicians.

In order to get themselves noticed these Keen New Persons are trying all manner of ploys to advance their cause in the forthcoming Deputies polls.

Such cunning plans include attempts to use previously published editorial articles as electioneering fodder, and approaches to get positive editorial coverage conveniently just before declaring themselves as political candidates.

This is matched only by the ploys of current serving politicians who have a habit of calling about ‘positive’ news events just at a time when they are most in the firing line.

TALKING of employee rights, I mentioned a few weeks ago that at present we have no employment legislation to cover redundancy.

In fact, given recent developments, it appears that even the small amount of legislation we do have is currently toothless.

Think about the number of people who, hoping for justice and redress, have taken their case to the Jersey Employment Tribunal.

Think about how they must have felt when, having won their case, their former employer was hit where it hurts most – in the pocket – with fines handed down.
Justice done, you might think.

Actually, no. Some bright spark of a lawyer has challenged the other bright sparks in the legal world who approved the tribunal rules – and found that without a change to the law, the tribunal has had no legal right to fine anyone.

Those employers who have been found wanting must be laughing on both sides of their faces.

REGARDLESS of the outcome of the US presidential election, it has at least drawn our attention to the diversity of language offered by American English. For the first time the words ‘hockey mom’ may have to be included in an English dictionary.