Planned GST rise: ‘I’ve had to eat my words,’ says Ozouf
Thursday 28th October 2010, 2:57PM BST.
Treasury Minister Philip Ozouf: 'What I said in my manifesto was said in good faith.'
TREASURY Minister Philip Ozouf has defended his controversial proposal to raise GST – less than two years after vowing that he would not increase the tax.
When the minister was fighting for re-election in the autumn of 2008, he told voters that he would ‘robustly oppose any attempt to increase GST above three per cent’. And just a few weeks later while vying to be appointed Treasury Minister, he told the States Assembly that he could give a ‘categoric assurance’ he would not submit proposals to increase the tax.
But last week the Senator announced proposals to raise GST to five per cent to help plug the Island’s budget deficit. Today, Senator Ozouf told the JEP: ‘I said what I did in good faith, but I accept that I now have to eat my words.
‘I do regret that my position has had to change but what I said in my manifesto was said in good faith and I meant it. But yes, given my time again, knowing what I know now, it was unwise to have used “categoric assurance”.’
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If most of this lot told me it was daylight and the grass was green, I’d have to check!
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Don’t worry about it Ozouf, most people understand, whilst the rabid mob (truthseeker et. al.) will take it as evidence that you will lose.
You can take comfort from the Australian Prime Minister who said about intoducing a GST as “NEVER EVER!”, then three months later implemented a 10% GST!!! So, not only did he win the following election, he ended staying in government for over twelve further years, becoming the second longest serving PM.
I would suggest that at your age, you have a lot of time behind you to last as long as Chief Minister.
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Well in comparison to some left wing manifestos which claimed to get rid of GST altogether if voted in this isn’t a major surprise.
Manifesto pledges are just like Xmas wish lists.
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Well I guess we are all human and all make mistakes. I just wonder at what figure GST will finally come to rest. How are the pensioners going to survive?… that’s what I would like to know Mr Ozouf. The situation on the Island of Jersey for people who have retired is a disaster!!!
Politicians are losing millions of pounds when huge amounts of money are spent on investigating Government errors ie. the illegal and early retirement of Graham Power. In MANY other cases the politician responsible for the blunder appears to be told politely by their fellow friends “O dear that was bad call and cost us a few million please try not to do that again”. I pray for a solution as things are going from bad to worse all the time.
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‘Watch my lips NO NEW TAXES!’
That was from a famous politician in the US
How can any politician of credibility expect to not have to face the public after a ‘volte face’ like this!
What next ? A housing Minister ‘Standing up for the Common Man’ (as long as he’s a rich one [caveat])
Jim Henson couldn’t have created the Muppets without this shambles.
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Sorry it was ‘Read my lips No New taxes!
Musn’t mis-attribute politicians must we!
http://www.youtube.com/watch?v=E5DZBFbMdjI
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put it on the rest , but not on food, we can all do without the shiney , bling bling stuff, food is a must.
and to tax our already expensive food is a disgrace.
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Peter Price, I can tell you exactly when it will end, when it reaches 20% as in the UK. Of course virtually all UK Retail Companies in Jersey charge UK VAT on top of GST. So in time we will being 40% (20% UK VAT / 20% Jersey GST). As for Ozouf I will never believe anything he says again, just as well Manifestos aren’t given under oath as he and nearly all Politicians would be up before the beaks for perjury.
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I never believe a word this man says. Not because he deliberately lies or is devious but his impompetence ! Most dangerous man in the island and in charge or all our hard earned cash
Scary !
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Ah well that is just perfect….perfect political spin and promise whatever suits your cause then change it with Oh well I better eat my words….people can not pay their way with “Oh well better eat my words” people can not even eat your words for you, in fact eating is becoming so expensive now and with Tax on food going even further,words are all some will have to eat..but not the old boys club they will still feed their fat faces in posh restaurants. The bargain near end of sell by date food offers in supermarkets are being haunted by more and more people .you never used to see people lurking at those times for those offers before,,,yet still the supermarkets chuck vast quantities of food away rather than give it to skint people, well heeled people can shrug and dimiss what I am saying ,because they can afford to,but there are good human beings out here. some dossers yes granted,but that’s a choice.lots are just real good people who are broke…A tenner cash in a supermarket really goes nowhere these days…..the major decisions however are ALL made by the well off,who have lost all social conscience.
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Will he now promise to hold the rate at 5% for a set number of years? I fear not, this tap is now open and will only ever be opened wider by the States.
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So Ozouf will have to eat his words i’d like to stuff them down his throat! There again who could possibly believe anything any of that lot tell us!
roll on the revolution!
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Backstabbing, gossiping,greed and power games are a sign of an unhealthy organization.
I think we’ve had our fill don’t you ?
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8 John Avery
Perhaps they should be under oath…..otherwise isn’t it tantamount to fraud or at the very least misguiding the electorate.
Politicians are voted in on their pledges…if they get voted in and then renege on those pledges that got them in then that is fundamentally wrong.
If nothing else it shows how misinformed they were to make those pledges or ignorant to the world around them!
Perhaps he should have done his homework before making false promises he couldn’t keep!
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No surprise to see Real Truthseeker showing customary intolerance and pomposity by insulting all who strive for some kind of social justice.
I think he/she called for adult debate. Well, I challenge you Real Truthseeker (if that’s what you are). Go and read some of the evidenced and cogently argued positions of leftist thinkers. Try David Harvey and Chomsky for starters. Then, come back on here and we can have that adult debate.
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Why are we upset at these comments – anyone who believed that GST would stay at 3% obviously doesn’t understand political spin !!!
The real problem is who has a list of the retail outlets that don’t currently charge GST so will put 5% not 2% on their prices, what a cracking way to up the profit margins !!!
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Meaningless words.
You ain,t fooling any-one,and know exactly what you are doing.
Looking after the rich is what you are best at,throw us the crumbs(if there are any left)
Give us a break and stop treating us like eejits!
So you got voted in for telling the public porkies and should resign for that reason alone.
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NOT IN YOUR OWN BACK YARD SENATOR!!
Instead of raising taxes all over the place ie: retirement age, GST, Duty Tax etc.
Maybe look at the States, which we as individuals pay your wages!!
If the States of Jersey was a private enterprise you’d be out of business by now!!
More cut backs are required or more efficiency!!
Too many chiefs & not enough indians.
The number of times I’ve past States employees doing some work & noticed one man doing the work & 3 others having a chat!!
Or go to any States Department & the staff there are more interested in talking about their weekend or night before, but not interested in giving public FIRST CLASS service for which we pay for!!
LOOK IN YOUR OWN BACK YARD!!!
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POLITICIANS TRAINING EXERCISE
1. Without anyone watching you (they will think you are a nutcase!…….) and while sitting at your desk in front of your computer, lift your right foot off the floor and make clockwise circles.
2. Now, while doing this, draw the number ’6′ in the air with your right hand. Your foot will change Direction.
A bit like Senator Ozoufs promise on GST!!
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Well I wouldn’t have expected anything else. What are election pledges if not to be broken? Many of his votes may well have come from those who trusted him not to raise GST. What must they be thinking now?
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Flooded, what are you on. I was offering support to our leaders.I have read Kant, Marx, Schopenhauer, and both the left and right thoughts of Neitzsche.
So what is your point?
I don’t want a left wing government ruin this island. The simple fact is the majority of people here are right – wing, work in ther finance industry, take home decent salaries, and have a good lifestyle, being abel to travel several times a year, and have several cars and a boat. The real criminals are the left wingers who are jealous and want some of it, btu without working hard.
That lot, I don’t want anywhere near the levers of this island.
Get back under your box sunshine!
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Ted Vibert is completely wrong just like Senator Phillip Ozouf, but for different reasons, why ?
Mr Vibert is constantly on the radio telling us that the public sector expense has not grown dramatically taking inflation into account, and they are good value for money, a vote winner.
Senator Ozouf on the other hand penalises low earners and the middle classes by demanding more money, but shies away from putting his highly paid friends in the public sector out to graze.
That said he offers, to make a couple of hundred redundancies, as a token. Ridiculous,in almost 7,000 employees, a vote winner, as states workers will vote for the man keeping them in work.
The truth is, for a very small island, just a mere 45 square miles, the wage bill for the public sector, before buying a broom to sweep the streets, is an unbelievable £327,149,000.
Unless this truly unrealistic overhead is reduced by at significant amount, Jersey will do a good impersonation of the Titanic. Raising the GST to even 20%, plus user pays charges up considerably, plus increased parking charges, will not save the good ship Jersey when you have only 48,000 workers, many on low incomes and many part time, that do not work for the public sector.
I may have read the figures wrong ? check out page 44.
http://www.gov.je/SiteCollectionDocuments/Government%20and%20administration/R%20FinancialReportAccounts%202009%20SH.pdf
Davey West.
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As Senator Ozouf is a multi millionaire he will be fine.
Us great unclean are the one’s who suffer.
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‘Stupid is what stupid does’, Forrest Gump.
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#21 ‘…the majority of people here are right – wing, work in ther finance industry, take home decent salaries, and have a good lifestyle, being abel to travel several times a year, and have several cars and a boat.’
The majority of people in RT’s circle, perhaps.
Now for the actual but less influential majority…
They might do well to espouse some left wing ideals.
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#9 ‘Not because he deliberately lies or is devious but his impompetence !’
What a lovely word. Wan. It should be in the dictionary and apply specifically to politicians.
Oh, and some non-elected members (I’m sure Stuart would agree).
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What cracks me up are the “come the revolution” comments and attitudes hinted at on this site relating to this story and others.
GST is here to stay guys, fact.
It will continue to rise, fact
When the “deficit” is cleared, GST will not be removed and has become a great tool to fill the coffers with all of us suckers money for the rest of our lives heer in Jersey if we decide to stay.
I offer no alternative solutions, but find it astonishing that the States can admit to messing up, wasting millions over the years, then tax the crap out of Joe Public, yet dress it up behing the global credit crisis.
And us suckers still return year on year voting them back in !
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Promises, promises. HA! means nothing. Just shows how the states members will say anything to get your vote then kick you in teeth, all so they can take a ride on a power trip. No wonder why the states reform issue was kicked out. Put it to a referendum.
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That is what politicians do. It’s not new, they tell lies to get the people behind them. Most of these politicians couldn’t care less about YOU. They enjoy their high paid jobs as would you.
I honestly believe they laugh about YOU while sipping champagne sitting in their jacuzzi.
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Oh I nearly forgot.
Not sure about eating his words, but how about being made to eat all the ballot papers where his name had an “x” placed against it?
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“I don’t want a left wing government ruin this island. The simple fact is the majority of people here are right – wing, work in ther finance industry, take home decent salaries, and have a good lifestyle, being abel to travel several times a year, and have several cars and a boat.”
That is not a description of the average finance industry worker. The very top tier fit that description but for every one of them there are plenty of bees that do not have anything like that.
The average salary in the finance industry is around the mid thirties, after paying the mortgage I can’t see that buying many Audis or a motor yacht!
Your posts are beginning to verge on fantasy.
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The best thing about this blog is the ‘revolution’ comments. Hilarious, like we are living in some South American dictatorship, with no sewerasge, runnign water, hospitals or school….
At least this blog gives the vocal minority roglodyte Trotskyists an opportunity to vent without actually impacting anything.
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I just don’t understand how we get taxed on our earnings, then what we have left gets taxed when we spend it? baffles me!
It wouldn’t be so bad if it wasn’t an expensive place to live but when a pint of milk and a loaf of bread is already well over double the UK price i think its crazy. I certainly don’t earn double what i would in the UK? does anyone else?
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PLEASE PLEASE take note! Once such stealth taxes are introduced it will never be removed even in good times!
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That man, like most of his counterpart politicians across the States, is absolute clown shoes.
I for one shall take a very keen interest in his re-election strategy NEXT time around.
It wouldn’t be so bad if they said right, we’re going to raise GST to 5% for 12 months, so help plug the deficit, and then we will reduce it back to 3%, but let’s be honest, even if they GAVE us that assurance, would it be worth the paper it was printed on ?
What an absolute joke.
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Any increase permitted to GST should only be made on luxury goods. Low and middle earners are already struggling to manage financially – when pay rises, bonuses and jobs are all going. You just cannot keep increasing costs or there will be more people claiming benefits as they cannot afford even a reasonable standard of living – this will therefore probably negate much of the money raised by creating GST in the first place. Take from those that have not the ‘have nots’.
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It’s OK Philip. We just won’t be voting for you next time. You’re a politician. We’re used to it by now!
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I listened to this Minister being asked to apologise for his u-Turn on radio. He just couldn’t actually do so in an honest way. Spun, wriggled and didn’t even seem that embarrassed. The tragedy is, he will probably be our next Chief Minister. His new treasury minister will be a sidekick in the same mould, still keep zero 10, chuck money at the finance industry and tax the rest of us until we bleed.
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It is quite simple Philip,you lied!
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An honest question:
Putting sterotypes and opinions on personality aside does anyone on here view this situation thus:
We were NOT in the biggest global finacial crisis in living memory when his intial statements were made and therefore things are diffent now? Unforeseeably different? Therefore maybe, just maybe, his original statements have been invalidated somewhat by the last 2 years?
Or are we hell-bent on it’s all his fault?
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I will vote for Philip (well this next election anyhow).
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“Hilarious, like we are living in some South American dictatorship, with no sewerasge, running water, hospitals or school….”
Yes it is like that in certain respects, as far as I am concerned. A ruling elect doing their best to protect their own interests by bamboozaling the electorate with false promises.
I well remember the last elections and the big O was told of the coming recession being on a par with the 1930′s yet he merrily dismissed this as scare mongering saying we were well positioned, blah, balh, blah. You have to laugh. Even worse this will be the Next Chief Minister. You ain’t seen nothing yet.
As per running water and sewerage don’t make me laugh 1 in 6 not on mains drains yet having to pollute the environment with effluent. Probably a similar amount having to dig boreholes and the likes for water. So much for a forward thinking world class economy. Even the UK which is in a much worse position than us has 95% on mains sewers.
Bob the big O was warned fullstop. He ignored this advice so don’t give me that waffle.
GST is here to fill the 0-10 blackhole and because those with the most pay very little in real terms….so much for a caring, society.
As per prices for goods over here they are exorbitant what with VAT at 20% and now soon th be 5% GST.
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“I will vote for Philip (well this next election anyhow).”
You won’t get a chance to vote for him until 2014 when he next comes due.
He can become Chief Minister without facing a popular election, just like Frank Walker and Terry le Sueur!
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Real Truthseeker @ post 32 (for example)
At the risk of being told off yet again by PJG for failing to take into consideration any unfortunate handicaps which I am not aware of you having..
Isn’t it about time that you bucked up your ideas where presentation is concerned. A quick read through your script before posting wouldn’t go amiss.
As someone else pointed out before, a post full of slipshod mistakes rather lowers your credibility, you migratory Thatcherite!
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” Real Truthseeker
Posted October 28, 2010 at 3:28 pm
Don’t worry about it Ozouf, most people understand, whilst the rabid mob (truthseeker et. al.) will take it as evidence that you will lose.
You can take comfort from the Australian Prime Minister who said about intoducing a GST as “NEVER EVER!”, then three months later implemented a 10% GST!!! So, not only did he win the following election, he ended staying in government for over twelve further years, becoming the second longest serving PM.
I would suggest that at your age, you have a lot of time behind you to last as long as Chief Minister.”
You may have had a valid point if this were a one-off incident, but compare Ozouf’s 2008 election manifesto with his States voting record for the following years. A bigger picture of saying one thing and doing another emerges.
And before you again praise Ozouf as future Chief Ministerial material, you may wish to recall how he managed to lose almost 40% of his public support at the last election and, shall we say politely, has hardly been proactive in addressing the causes of that loss.
Is this the calibre of politician we should be envisaging as Jersey’s great future leadership hope?
I hope not.
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so basically when voting these guys in, what they say and what they stand for is meaningless, perhaps next time we should elect by pulling the names out of a hat as it really doesn;t seem to matter anyway. Not one of them has any back bone.
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Next time we should be able to have an all Island vote,to stop the country parishes vote for the same ones.
Why should I only have a choice of 3 or 4 in my district,when I want to vote for some-one else in another parish
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Adrian: Maybe you shoudl go spend some time in societies black spots, before comparing Jersey to one.
Pip: So Ozouf and I will be in the election together then?
CL VERDIC: Get a life. Really, PJG never tells you off, just tells it as it is. Perhaps you shoudl actually try and formulate an opinion with a sound argument, ratehr than resorting to irrelevant points which have no basis for a stable argument.
With a surname like yours CLV, I would have thought you might like to contribute to the debate of yoru island, rather than just moaning like a cow giving birth in St Ouen… which with all respect – you are very good at.
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Pip Clement 31.
Re: Your (Real truthseeker) posts are beginning to verge on fantasy.
No Pip, Real truthseeker’s posts ARE fantasy!
I think it’s quite obvious that Real truthseeker is an exagerated ‘characature of a characature’ of a neocon with a narcissistic personality disorder!
Definitely, he/she is a wind up merchant with nothing helpful to say and probably a very sad life…
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One word for you to eat and digest Minister resignation and Quickly;
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One way out of this mess is for the states to stop spending including finance subsidy and for Jo public to start spending locally. Also it is time for land lords to lower rents on town shops and for shopkeepers to lower their prices simples
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41,Real Truthseeker.
Now there’s a surprise!
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Perhaps Sen Ozouf could save some costs by telling his staff to travel in economy rather than business class on their flights to the UK?! Ok it wont save much in the grand scheme of things but better than nothing eh?
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Eventually, children wise up and see the “Tooth Fairy” for what it is and for what it was not. So what is it about the “Flimsy Finance Fairy” that tax paying adults painfully continue to believe in?
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‘With a surname like yours CLV, I would have thought you might like to contribute to the debate of yoru island…’
True, RT. I’m sure you’ve noticed that I join lots of these debates because the island, rather than its population, is very close to my heart.
Regarding what to you might look like a Jersey name, you won’t find many of us in the phone book but there are quite a few others on here under various guises!
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Real Truthseeker#48
I am definitely gonna vote for you now.
“rather than just moaning like a cow giving birth in St Ouen”
Oh, the beauty of the prose, what a picture they paint.
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“HAD to” or “chose to”?
There were options at other times to save money by not making schoolboy errors or simply wasting it.
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I remember Bill Clinton’s television appearance “I did not have sexual relations with that woman!”
Ozouf’s comments will come back to haunt him like Monica’s blue dress
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First of all let me say i am not opposed to paying 5% GST.
As a method of plugging a gapping deficit, its a reasonably good plan.
There said it.
Now what i am opposed to is two things.
Firstly I am strenously opposed to paying is 5% GST ontop of 17.5% VAT (soon to be 20%). Last time i checked there are several freight ships that do the run between here and the UK or france, not to mention all the extra capacity that Condor must have available on their ships. You cant possibly tell me that it addeds 17.5% to the cost of getting goods here. and that its all the additional costs of running a business over here. Thats complete and utter poppycock!
Secondly i am strenously opposed to these increases being tabled whilst the states are, for all intents and purposes, unable to indentify cuts to there own spending. They have taken away some fundamental budgets that should have been left alone, whilst spending out millions of pounds to launch investigations into the polices actions, they form commitees to debate policies, and then re-debate them over and over again just because the proposer has changed a few words and adapted the meaning.
They take away our childrens milk, and reduce the subsidy on the private schools whilst offering hundreds of thousands of pounds to the financial sector to attract even more jobs. They have spent god knows how much money on a “think twice, buy local campaign” whilst hesitating to pass the laws needed to allow the island to cash in on profitable on-line enterprises whilst everyone else with half a brain is creaming off the profits from the businesses. By the time they make the decisions, the online gaming sites will all be elsewhere and the island will be too expensive to compete.
What i say is get on with the business that we the public are paying you to do, stop wasting time and money, pass those laws on gaming and allow software developers to settle here. Get tougher on shops that don’t pass on the VAT saving. Then and only then maybe you’ll stop having to raise GST and stop having to take away subsidys that pays for our childrens milk and education.
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Innocent Bystander: I disagree with some of yoru points, however they are mute to the key ones I agree with.
1. Pass laws on software and gaming.
2. and as an extension, start up a casino.
I could have key operators ready to negotiate to start a casino in months, and the taxes it would bring!
It is only a mater of time.
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Carly – please don’t compare Bill Clinton to Ozouf!!
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This needs to be fought tooth and nail….refuse to accept as inevitable the disgusting taxing…extortion I is what it actually is using the law for despicable purposes,,,,when these guys give value for money, squandering money on reports,experts, inflated salaries and bonuses..stop hiring jets and swanning around the first class lounges and show us they are actually rolling their collective sleeves up and delivering a fit for purpose Govt,,,till then the Hell with them.
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The increase in GST will not benefit Jersey in anyway, even with a new undercover state of the art shopping centre.
I can see “The Specials” song will be quite apt for the residents of Jersey soon,
This town, is coming like a ghost town
All the clubs have been closed down
This place, is coming like a ghost town
Bands won’t play no more
too much fighting on the dance floor
Do you remember the good old days
Before the ghost town?
We danced and sang,
And the music played inna de boomtown
This town, is coming like a ghost town
Why must the youth fight against themselves?
Government leaving the youth on the shelf
This place, is coming like a ghost town
No job to be found in this country
Can’t go on no more
The people getting angry
This town, is coming like a ghost town
This town, is coming like a ghost town
This town, is coming like a ghost town
This town, is coming like a ghost town
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Not sure about the song Amanda@63, just a little negative but get your point. Further more I have written several times that increasing various taxes using stealth, new charges or less benefits, and not making serious cuts to the civil service family of nice but not needed, in great numbers will only make Jersey less competitive meaning less business.
This will add to the financial problem that has arrived full frontal in Jersey. A public sector wage bill for this little bit of rock, of just 45 square miles currently at £327 million pounds per. Annum, is just obscene.
The increases will make very little difference. I am not an economist, however Mr Davis Kern is. Better still, he does not live on Jersey, therefore is probably more objective than the army of consultants and statistics employed by the chief ministers office.
He Writes,
Warning of further fall in Jersey economy
Jersey’s economy can expect a further fall next year, a British economist has said.
David Kern, chief economist with the British Chamber of Commerce, argues Jersey’s current financial plans rely too much on tax increases relative to spending cuts.
http://www.bbc.co.uk/news/world-europe-jersey-11661893
Davey West
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Real{truth seeker?} his vindictive bad tempered posts are a complete joke he post far more often then any other poster on these forums, usually the same extreme views rarely consise points to support his point of view generally sucking up to the Jersey Government and trying to be obnoctious to people who disagree with what he says
Final thought “Truthseeker” a separate poster was on these forums long before the one quoted above he merely placed the word Real in front so he really is just a copy cat. I also presume PJG is the same person as the real Truthseeker as he supports every thing he spouts regardless of content
PS Enjoy New Zealand
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Oh that’s ok then Phil – as long as you’ve eaten your words. Not as if you mugged everyone who voted for you by making promises you couldn’t keep.
It’s exactly things like this which make for poor voting figures. Why vote when people can lie their way into these positions. The sad thing is that it’s probably the more realistic candidates who are proposing slightly less sexy but ultimately more realistic plans, miss out on votes because of other people’s desperate manifestos.
It’s things like GST that made it impossible for my parents to retire over here on their pensions. Raising it is going to see a lot of other people moving away when it comes to retirement age. What are we doing here!?
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GST rise cause by the flawed zero/ten policy. A policy that Ozouf and the chief comic pushed with such vigor.
Now we are all paying the price for this flawed policy.
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