Removing GST from food in Jersey would cost £14m per year and benefit richest, minister says

Removing the goods and services tax from food in Jersey would cost the states £14.4m annually and primarily benefit the highest earners, the treasury minister has stated.

• Treasury Minister Alan McLean said removing GST from food would cost £14.4m a year and mostly benefit the richest islanders because they spend more.
• An assessment found households with the lowest income would save 12% per year, while the highest-income households would save 28%.
• McLean stated that when GST was introduced, the states agreed to compensate islanders through improved tax allowances and income support, and ministers maintain a broad-based GST with support is the most effective approach.
• On Monday, people in Guernsey protested a proposed 3% GST, which is due to be debated this week and, if approved, introduced from 2028.