States Meeting Transcript - 26th September 2016

STATES OF JERSEY OFFICIAL REPORT

MONDAY, 26th SEPTEMBER 2016

COMMUNICATIONS BY THE PRESIDING OFFICER ......................................6

1. The Deputy Bailiff :......................................................................6

QUESTIONS......................................................................................6

2. Written Questions........................................................................6

1. DEPUTY A.D. LEWIS OF ST. HELIER OF THE MINISTER FOR HEALTH AND SOCIAL SERVICES REGARDING THE TREATMENT OF STROKE PATIENTS: [9605]....................................................................................6
2. DEPUTY J.M. MAÇON OF ST. SAVIOUR OF THE MINISTER FOR THE ENVIRONMENT REGARDING PLANNING APPLICATIONS FOR URBAN DEVELOPMENTS: [9606]..............................................................6
3. DEPUTY J.M. MAÇON OF ST. SAVIOUR OF THE MINISTER FOR ECONOMIC DEVELOPMENT, TOURISM, SPORT AND CULTURE REGARDING THE REDUCTION OF THE ADMINISTRATIVE BURDEN ON THE ISLAND'S BUSINESSES: [9607]...................................................................7
4. DEPUTY J.M. MAÇON OF ST. SAVIOUR OF THE CHAIRMAN OFTHE PRIVILEGES AND PROCEDURES COMMITTEE REGARDING THE PILOT STUDY TO DETERMINE THE FEASIBILITY OF ESTABLISHING A CENTRAL ELECTORAL REGISTER: [9608]......................................................8
5. DEPUTY J.M. MAÇON OF ST. SAVIOUR OF THE MINISTER FOR INFRASTRUCTURE REGARDING IMPROVEMENT WORKS AT THE JUNCTION OF LES VARINES AND LONGUEVILLE ROAD: ....................................8
6. DEPUTY J.M. MAÇON OF ST. SAVIOUR OF THE MINISTER FOR TREASURY AND RESOURCES REGARDING THE POTENTIAL REVIVAL OF THE HOME LOAN DEPOSIT SCHEME: [9610].....................................................8
7. THE DEPUTY OF ST. JOHN OF THE CHAIRMAN OF THE PRIVILEGES AND PROCEDURES COMMITTEE REGARDING THE STATUS OF PROPOSITIONS APPROVED BY THE STATES ASSEMBLY: [9611]..................................9
8. THE DEPUTY OF ST. JOHN OF THE MINISTER FOR TREASURY AND RESOURCES REGARDING WORK ON THE INCOME SUPPORT AND TAX SYSTEMS TO PROVIDE INCENTIVES FOR PEOPLE TO RETURN TO WORK: [9612]....................................................................................9
9. THE DEPUTY OF ST. JOHN OF THE MINISTER FOR TREASURY AND RESOURCES REGARDING POTENTIAL PROBLEMS REGARDING THE PRIOR YEAR BASIS OF INCOME TAX PAYMENT FOR TAXPAYERS NEARING RETIREMENT: [9613] ................................................................10

10. DEPUTY G.P. SOUTHERN OF ST. HELIER OF THE CHIEF MINISTER REGARDING PAY PROVISIONS CONTAINED IN THE MTFP ADDITION: [9614] .........................................................................................11
11. DEPUTY G.P. SOUTHERN OF ST. HELIER OF THE MINISTER FOR SOCIAL SECURITY REGARDING THE POTENTIAL IMPACT OF REVISED ECONOMIC ASSUMPTIONS ON THE DELIVERY OF EFFICIENCY SAVINGS ON RETURN TO WORK SCHEMES: [9615]............................................................12
12. DEPUTY G. P. SOUTHERN OF ST. HELIER OF THE MINISTER FOR SOCIAL SECURITY REGARDING THE DEPARTMENT'S USE OF AGENCY WORKERS: [9616]..................................................................................13
13. DEPUTY G.P. SOUTHERN OF ST. HELIER OF THE MINISTER FOR HEALTH AND SOCIAL SERVICES REGARDING PLANS CONTAINED IN THE MTFP ADDITION FOR DEPARTMENTAL USER-PAYS CHARGES: [9618] ...........................14
14. DEPUTY G.P. SOUTHERN OF ST. HELIER OF THE MINISTER FOR TREASURY AND RESOURCES REGARDING THE TERMINOLOGY OF THE PROPOSED HEALTH CHARGE: [9619] ...........................................................16

3. Oral Questions...........................................................................16

1. Deputy M.R. Higgins of St. Helier of the Minister for Treasury and Resources regarding the Jersey taxation system: [9595] ......................................................16 Senator A.J.H. Maclean (The Minister for Treasury and Resources):.........................16

1. Deputy M. R. Higgins:..................................................................17
2. Deputy S.Y. Mézec of St. Helier:.......................................................17
3. Deputy S.Y. Mézec :....................................................................17
4. Deputy M. Tadier of St. Brelade:.......................................................18
5. Deputy M. Tadier :......................................................................18
6. Deputy G.P. Southern of St. Helier:....................................................18
7. Deputy G.P. Southern :..................................................................19

8. Deputy A.D. Lewis of St. Helier:.......................................................19
9. Deputy A.D. Lewis :....................................................................19
10. Deputy M.R.Higgins:...............................................................20

2. Deputy G.P. Southern of the Minister for Social Security regarding occupational pensions: [9622]........................................................................20 Deputy S.J. Pinel of St. Clement (The Minister for Social Security):..........................20

1. Deputy G.P. Southern :..................................................................21
2. Deputy G.P. Southern :..................................................................21
   3. Deputy L.M.C. Doublet of St. Saviour of the Minister for Infrastructure regarding road safety around parks and schools: [9626]................................................21 Deputy E.J. Noel of St. Lawrence (The Minister for Infrastructure):..........................21

1. Deputy L.M.C. Doublet :................................................................22
2. Deputy J.A. Hilton of St. Helier:........................................................22
3. Deputy J.A. Hilton:.....................................................................22
4. Deputy K.C. Lewis of St. Saviour:......................................................23

5. Deputy S.Y. Mézec :....................................................................23
6. Deputy M. Tadier :......................................................................23
7. Deputy M. Tadier :......................................................................24
8. Deputy L.M.C. Doublet :................................................................24

4. Deputy C.F. Labey of Grouville of the Chief Minister regarding the extension of "grandfathered" rights to European Union nationals living in the Island: [9617]........24 Senator I.J. Gorst (The Chief Minister):......................................................24

1. The Deputy of Grouville :...............................................................24
2. The Deputy of Grouville :...............................................................25

5. Deputy M. Tadier of the Minister for Education regarding increases in re-sit fees for GCSEs: [9621] .........................................................................25 Deputy R.G. Bryans of St. Helier (The Minister for Education):..............................25

1. Deputy M. Tadier :......................................................................26
2. Deputy T.A. Vallois of St. John:........................................................26
3. Deputy M. Tadier :......................................................................26

6. Deputy S.Y. Mézec of the Minister for Social Security regarding the support available for Islanders aged under 25 suffering from a mental illness who have never worked: [9628]..................................................................................27 Deputy S.J. Pinel (The Minister for Social Security):.........................................27
7. Deputy R. Labey of St. Helier of the Minister for Health and Social Services regarding consultants' income from private practice and the provision of administrative support: [9625]..................................................................................27 Senator A.K.F. Green (The Minister for Health and Social Services):........................27

1. Deputy R. Labey : ......................................................................27
2. Deputy G.P. Southern :..................................................................28
3. Deputy J.M. Maçon of St. Saviour:.....................................................28

8. Connétable A.S. Crowcroft of St. Helier of the Chief Minister regarding the Council's fulfilment of the environmental goals set out in the Strategic Plan: [9630]..............28 Senator P.F. Routier (Assistant Chief Minister - rapporteur):.................................28

1. The Connétable of St. Helier:...........................................................28
2. The Connétable of St. Helier:...........................................................29

9. Deputy M.R. Higgins of the Chief Minister regarding the discontinuation of the Business Tendency Survey: [9596]...............................................................29 Senator I.J. Gorst (The Chief Minister):......................................................29

1. Deputy M.R.Higgins:..................................................................29
2. Deputy G.P. Southern :..................................................................30
3. Deputy M.R.Higgins:..................................................................30

10. Deputy S.Y. Mézec of the Minister for Social Security regarding the abolition of the single parent component of Income Support: [9629]....................................30 Deputy S.J. Pinel (The Minister for Social Security):.........................................30

1. Deputy S.Y. Mézec :.................................................................31
2. Deputy G.P. Southern : ..............................................................31
3. Deputy G.P. Southern : ..............................................................31
4. Deputy R.J. Renouf of St. Ouen : ....................................................31
5. The Deputy of St. Ouen:.............................................................32
6. Deputy M. Tadier :...................................................................32
7. Deputy M. Tadier :...................................................................32

8. Deputy S.Y. Mézec :.................................................................33

11. Deputy G.P. Southern of the Chief Minister regarding an arbitration process for the 2015/2016 pay dispute with civil service representatives: [9623].......................33 Senator I.J. Gorst (The Chief Minister):......................................................33

1. Deputy G.P. Southern : ..............................................................34
2. Deputy G.P. Southern : ..............................................................34

12. The Deputy of Grouville of the Chief Minister regarding a review of Islanders' rights to work in the European Union:[9620]....................................................34 Senator I.J. Gorst (The Chief Minister):......................................................34

1. The Deputy of Grouville : ............................................................35

2. Deputy M. Tadier :...................................................................35
3. Deputy M. Tadier :...................................................................35
4. The Deputy of Grouville : ............................................................36

13. The Connétable of St. Helier of the Minister for the Environment regarding the improvement of levels of environmental protection and enhancement in the Island: [9631]..................................................................................36 Deputy S.G. Luce of St. Martin (The Minister for Environment): ............................37

1. The Connétable of St. Helier:........................................................37
2. Deputy M. Tadier :...................................................................37
3. Deputy M. Tadier :...................................................................38
4. Deputy A.D. Lewis : .................................................................38
5. Deputy A.D. Lewis : .................................................................38
6. Deputy G.P. Southern : ..............................................................39
7. The Connétable of St. Helier:........................................................39

14. Deputy M. Tadier of the Minister for Social Security regarding the average time taken for redeterminations and appeals against decisions made by the Department: [9632] ...40 Deputy S.J. Pinel (The Minister for Social Security):.........................................40

1. Deputy M. Tadier :...................................................................40
2. Deputy G.P. Southern : ..............................................................40
3. Deputy G.P. Southern : ..............................................................41
4. Deputy M. Tadier :...................................................................41

4. Questions to Ministers without notice - The Minister for Economic Development, Tourism, Sport and Culture ............................................................41

1. Deputy R. Labey : ......................................................................41 Senator L.J. Farnham (The Minister for Economic Development, Tourism, Sport and Culture): .........................................................................................41

1. Deputy R. Labey : ......................................................................42
   2. Deputy S.Y. Mézec :....................................................................42
   3. Deputy M. Tadier :......................................................................42

4.3.1 Deputy M. Tadier :......................................................................42

4. Deputy G.P. Southern :..................................................................43

1. Deputy G.P. Southern :..................................................................43
2. Deputy G.P. Southern :..................................................................43

5. Deputy A.D. Lewis :....................................................................43

4.5.1 Deputy A.D. Lewis :....................................................................44

6. Connétable J.E. Le Maistre of Grouville :...............................................44
7. Senator S.C. Ferguson:.................................................................44

4.7.1 Senator S.C. Ferguson:.................................................................44

8. Deputy M. Tadier :......................................................................44
9. The Connétable of St. Lawrence:.......................................................45

5. Questions to Ministers without notice - The Minister for Housing....................45

1. Deputy M. Tadier :......................................................................45 Deputy A.E. Pryke of Trinity (The Minister for Housing):....................................45

1. Deputy M. Tadier :......................................................................46
   2. Deputy J.A. Hilton:.....................................................................46

5.2.1 Deputy J.A. Hilton:.....................................................................47

3. Deputy R. Labey : ......................................................................47
4. Deputy G.P. Southern :..................................................................47

5. Deputy L.M.C. Doublet :................................................................48

5.5.1 Deputy L.M.C. Doublet :................................................................48

6. Deputy M. Tadier :......................................................................48

5.6.1 Deputy M. Tadier :......................................................................48

7. Deputy G.P. Southern :..................................................................49

ADJOURNMENT................................................................................49

[14:31]

The Roll was called and the Greffier of the States led the Assembly in Prayer. COMMUNICATIONS BY THE PRESIDING OFFICER

1. The Deputy Bailiff :

I am sure I do not need to remind Members but we are live webstreaming for the first time. Members will make of that comment what they wish.

QUESTIONS

2. Written Questions

1. DEPUTY A.D. LEWIS OF ST. HELIER OF THE MINISTER FOR HEALTH AND SOCIAL SERVICES REGARDING THE TREATMENT OF STROKE PATIENTS: [9605]

Question

Could the Minister provide information for 2010 and 2015 on the proportion of stroke patients in Jersey who:

1. Spend the majorityof their hospital stay in a stroke unit;
2. Receive a brain scan within 12 hours of arriving in hospital; and
3. Receive clot-busting drugs?

Answer

Trakcare (our electronic patient record system) was implemented mid-way through 2011. Therefore, we do not have accessible and reliable data for 2010 and so the response below relates to 2015 only.

1. Jersey GeneralHospital (JGH) does not have a "stroke unit" as found in some UK hospitals as we do not have a high enough number of stroke cases to warrant a dedicated unit. Stroke patients at JGH are admitted, whenever possible, under the neurologist on Corbiere ward for the acute element of their care. They are then transferred to Samares ward for their rehabilitation, if required.

In 2015 there were 86 patients admitted to JGH with a primary diagnosis of stroke. Of these, 75% of their in-patient bed days were spent on Corbiere, 21% of the bed days were on another medical ward and the remainder were divided between other locations such as the intensive care unit and the emergency assessment unit.

2. In the time available, it is difficult to give a definitive answer to this question. However, our Clinical Director for imaging has confirmed that if a patient meets our guidelines for an urgent CT scan then they willreceive this usually within an hour of the request, 24/7.
3. According to our clinical coding data, 6% of patients with a primary diagnosis of stroke in 2015 received thrombolysis treatment during their stay. (Thrombolysis treatment is only given when the clinician is certain that the diagnosis is of a non-haemorrhage stroke.)

2. DEPUTY  J.M. MAÇON  OF  ST.  SAVIOUR OF  THE  MINISTER  FOR  THE ENVIRONMENT REGARDING  PLANNING  APPLICATIONS  FOR  URBAN DEVELOPMENTS: [9606]

Question

Would the Minister advise whether guidance is provided to applicants for urban developments on the circumstances where, although a development does not meet minimum standards for parking and amenity provision, permission may be granted if significantly more living space is provided than is required by the minimum standards?

Answer

The department provides a range of guidance for developers bringing forward large urban schemes. In particular, there is guidance relating to car parking, internal and external living space standards and general expectations for the density of urban developments. Much of this guidance is currently under review. On some occasions, development briefs particular to a specific site are also produced.

Members will know that all development sites are different and will therefore require their own individual solution. The challenge for town planners is to advise applicants on how the guidance will be applied in any given case. This will depend upon a range of different circumstances which apply on any given site.

Although it is expected that standards should be met in every possible case, there may be occasion when a more lenient or flexible interpretation is required. This might be in order to yield a particular site where the overall contribution of the development accords with policy and where its overall benefit outweighs any potential dis-benefits. In these cases, planners may also look for compensatory contributions from the developer in other elements of the scheme, to offset the perceived shortfall in provision of one part.

3. DEPUTY J.M. MAÇON OF ST. SAVIOUR OF THE MINISTER FOR ECONOMIC DEVELOPMENT, TOURISM, SPORT AND CULTURE REGARDING THE REDUCTION OF THE ADMINISTRATIVEBURDEN ON THE ISLAND'S BUSINESSES: [9607]

Question

Would the Minister explain what measures, if any, he has taken since being appointed to reduce the administrative burden on businesses operating within the Island?

Answer

My department, together with all sectors of the economy, continue to identify barriers to growth and productivity and then devise and implement plans to remove them where they exist. Together we have identified a number of areas where out of date, overlapping, and / or confusing legislation exists and have removed it.

I have repealed the requirement for proprietors of hotels and other tourist accommodation establishments to collect and return Visitor Registration Cards to me at regular intervals. I did this with effect from 1st July 2016 by deleting Article 25 of the Tourism (General Provisions) (Jersey) Order 1990. This was an unnecessary duplication insofar as the Immigration Hotel Records (Jersey) Order 1999 still obliges proprietors to keep records of all persons of or over 16 years of age who stay at their premises.

My Assistant Minister is overseeing development of a new draft Liquor Licensing Law in conjunction with the Shadow Alcohol Licensing Policy Group. As part of that development work, he is working to introduce a streamlined online application and renewal system by 2018. Once operational, the new system will, amongst other things, negate the need for existing licensees to take their hard copy licences out of the frame on the wall of their pub or restaurant and physically take the licence to Cyril le Marquand House before the end of each year, pay a renewal fee over the Treasury counter, get the licence stamped to cover the forthcoming year before returning the

licence back to the pub or restaurant. Instead, government will take responsibility for making liquor licences publicly available online. As a result, some existing offences in the existing Licensing (Jersey) Law 1974 will not need to be carried over to the new Law.

In addition to the examples above we support businesses through Jersey Business Limited and by supporting them on the Housing & Work Advisory Group (HAWAG) and on Planning matters. The department works regularly with other departments of the States of Jersey with the aim of reducing the administrative burden on individuals and businesses.

4. DEPUTY J.M. MAÇON OF ST. SAVIOUR OF THE CHAIRMAN OF THE PRIVILEGES AND PROCEDURES COMMITTEE REGARDING THE PILOT STUDY TO DETERMINE THE FEASIBILITY OF ESTABLISHING A CENTRAL ELECTORAL REGISTER: [9608]

Question

Has the Committee completed the pilot study in which the Register of Names and Addresses was to be compared with the electoral register to determine the feasibility of establishing a central electoral register, and, if so, when will the results of the pilot study be published?

Answer

The project to compare the accuracy of the electoral register against the records held within the Names and Address Register, initially authorised by the Assembly's adoption of paragraph (D)(a) of P.110/2013, was concluded in August with the submission of the final report on the matter by John Turner, Chief Executive of the Association of Election Administrators. PPC is evaluating the report with a view to publishing it shortly.

5. DEPUTY J.M. MAÇON OF ST. SAVIOUR OF THE MINISTER FOR INFRASTRUCTURE REGARDING IMPROVEMENTWORKSATTHEJUNCTION OF LES VARINES AND LONGUEVILLE ROAD:

Question

Will the Minister provide a timeline for minor improvement works to be undertaken at the bottom of Les Varines at its junction with Longueville Road?

Answer

A design has been prepared with implementation planned for Q4 2016.

6. DEPUTY J.M. MAÇON OF ST. SAVIOUR OF THE MINISTER FOR TREASURY AND RESOURCES REGARDING THE POTENTIAL REVIVAL OF THE HOME LOAN DEPOSIT SCHEME: [9610]

Question

Will the Minister revive the Deposit Loan Scheme, as initially introduced following the adoption of Starter Home Deposit Loan Scheme' (P.131/2012) and if not, why not?

Answer

The Minister can advise that discussions between the Assistant Treasury Minister, on his behalf, and the Minister for Housing have concluded that the Starter Home Deposit Loan Scheme should be repeated. Ministers are now discussing the format and guidelines using lessons learned from the original Scheme and also identifying an appropriate source of funding and discussing the initiative with potential lenders.

The Minister will keep members updated as the proposal develops.

7. THE DEPUTY OF ST. JOHN OF THE CHAIRMAN OF THE PRIVILEGES AND PROCEDURES COMMITTEE REGARDING THE STATUS OF PROPOSITIONS APPROVED BY THE STATES ASSEMBLY: [9611]

Question

Would the Chairman advise whether the Committee monitors the status of propositions previously approved by the Assembly and explain what the consequences are if an approved proposition is either ignored or if its effect is diluted upon implementation, and would he state how many propositions currently fall within those descriptions?

Answer

The Privileges and Procedures Committee does not presently monitor the status of those propositions which seek action to be taken by a Minister or Department, other than those which apply to itself. The Committee considers that it is up to the Minister and Department concerned to ensure that any requests which are agreed by the Assembly are actioned as soon as practicable and for the Member who brought the proposition to track the progress.

Members can and do regularly ask for updates during question time on matters approved by the Assembly and which a Minister has given an undertaking to address. It should be noted Standing Orders do not provide that Ministers can be directed or required to take any action and propositions are worded so that the Assembly simply requests' that a matter be considered. It is therefore not possible to state how many propositions are still outstanding' or have been diluted'.

8. THE DEPUTY OF ST. JOHN OF THE MINISTER FOR TREASURY AND RESOURCES REGARDING WORK ON THE INCOME SUPPORT AND TAX SYSTEMS TO PROVIDE INCENTIVES FOR PEOPLE TO RETURN TO WORK: [9612]

Question

What work, if any, has the Department undertaken with the Department of Social Security to use the current Income Support and Tax systems to ensure that there are incentives in monetary terms for people to return to work?

Answer

The Treasury has always worked closely with Social Security when developing policy and continues to do so, discussing initiatives in advance to ensure that, as far as is practical, they are joined up. In terms of the incentive to return to work this is a balance between how much the individual will earn from being employed vs how much they will pay out in income tax/Social Security contributions. The Income Support benefit is designed to promote financial independence, a policy which will ultimately reduce benefit expenditure by helping people into employment that allows them to support themselves without government assistance.

Income Support

For working age people, the Income Support scheme contains a legal requirement to be in full time employment, subject to certain exceptions (e.g. for people with severe disabilities). Anyone required to work who is not in employment is required to engage with the comprehensive Back to Work service which helps people into jobs, offering retraining and in-work support where necessary. Once in work, earnings from employment are disregarded from the benefit calculation to the value of 23%, meaning that each pound earned by somebody on Income Support increases their total household income by 23p. If paid, the value of any Social Security contributions is also disregarded in full. Help is available for low income working families towards the cost of childcare. Taken together this means that a person getting Income Support is immediately better off by moving into even part-time employment. These incentives are also supported by financial benefit sanctions for people who don't do enough to look for work.

Taking all of these factors into account, there are strong legal and financial drivers for unemployed people to return to work, as well as the social and psychological benefits of being in employment. Over the last few years this has been evidenced by a steady decrease in both unemployment and the number of adults claiming Income Support, even during a period of economic uncertainty.

Income tax

The generous reliefs and allowances within the tax system mean that income tax should not be an obstacle to people returning to work. For example, in the context of a single person they need to have an annual income exceeding £14,350 before they pay any income tax. For a single person with an income of £20,000 their income tax liability would be £1,469; equating to an effective tax rate of 7.3%.

In the context of married couples the exemption threshold is £23,000. Furthermore, to encourage participation by both spouses, a second earner's allowance exempts the first £4,500 of the "second spouse's"[1] earnings; meaning that in the context of a married couple where both spouses are working the exemption threshold is actually £27,500.

These exemption thresholds, both for single people and married couples, are also increased (by a maximum of an additional £14,000) where the taxpayer has incurred qualifying childcare costs; reducing their tax liability and supporting parents back into the workforce.

9. THE DEPUTY OF ST. JOHN OF THE MINISTER FOR TREASURY AND RESOURCES REGARDING POTENTIAL PROBLEMS REGARDING THE PRIOR YEAR BASIS OF INCOME TAX PAYMENT FOR TAXPAYERS NEARING RETIREMENT: [9613]

Question

Would the Minister provide details of the number of taxpayers paying on a current year basis and on a prior year basis, and explain what work, if any, has been done to resolve any problems that exist regarding the prior year basis model as it relates to taxpayers nearing retirement?

Answer

It is currently estimated that around 15,000 taxpayers pay tax on the current year basis and around 30,000 on the previous year basis. Taxpayers paying income tax on the "Prior Year Basis" (PYB) pay their taxes one year in arrears. Taxpayers paying income tax on the "Current Year Basis" (CYB) essentially pay tax as they earn income – "pay as you go". Since 2006 (when the Income Tax Instalment Scheme was introduced) all employees newly entering employment in Jersey automatically become CYB taxpayers.

The proportion of PYB taxpayers relative to CYB taxpayers in the working population continues to reduce yearly as new (entirely CYB) people enter employment and as older (mainly PYB) employees retire. Taxes Office data indicates that, for the 2014 Year of Assessment, around two thirds of employees paid tax on the PYB basis. (The available data for the 2014 Year of Assessment in this regard is currently being validated: there were around 45,000 individuals – including couples – paying tax; and about 15,000 non-taxpayers.)

PYB taxpayers nearing retirement may have concerns over their tax liability. which the Taxes Offices has been addressing by offering assistance to taxpayers to move to a current year basis. PYB taxpayers will otherwise – in their first year of retirement - have a tax bill relating to their last year of employment income so, for most people, their first tax bill in retirement could be large relative to their (retirement) income. Some people plan for this eventuality, for example, by increasing the Effective Rate of Tax they pay in the run up to retirement so that they pay off their previous year's tax liability and start to pay off their current year's tax liability at the same time. Many do not - or cannot - afford to take action.

The Taxes Office offers a number of options to taxpayers who wish to switch from the PYB to the CYB basis of payment and information is available on the States website. Occasional media interest has been excited and supported by the Taxes Office to improve public awareness. Previous legislative change has fostered the switch to CYB – for example, in Budget 2015 when the States Assembly agreed to remove the option for people returning to Jersey to elect to remain PYB taxpayers.

Work continues to increase the CYB population. For example, we are currently exploring the scope to require PYB people not currently liable to or paying tax to become CYB taxpayers in the event they do again become liable to pay tax. A longer-term project will also look for the best ways to increase public awareness of this issue and better market the existing options which the Taxes Office can offer to help Islanders make the financial transition into retirement.

10. DEPUTY G.P. SOUTHERN OF ST. HELIER OF THE CHIEF MINISTER REGARDING PAY PROVISIONS CONTAINED IN THE MTFP ADDITION: [9614]

Question

Will the Chief Minister advise Members of the following in relation to the pay provisions contained in the MTFP Addition:

1. How the figures for pay restraint efficiencies in the years 2016 to 2019 were determined and how these savings will be delivered;
2. What policy underpins the figures provided for pay awards in 2017 and the indicative pay provision figures for 2018 and 2019;
3. To what extent delivery ofthe MTFP Addition is dependent on continued wage restraint in relation to public sector workers; and
4. What analysis, if any, has been undertaken to assess the potential for wage restraint in the Department of Health and Social Services, given the potential impact developments in this area can have on maintaining and improving recruitment and retention?

Answer

1. Pay restraint for the MTFP2 period was determined after extensive deliberations of the Corporate Management Board, SEB and Council of Ministers advised by officersfrom the HR function. They form part of the overall savings plan for balancing the finances of the States of Jersey by 2019, whilst still investing in key strategic priorities such as Health,

Education and Economic growth. The proposed savings (c£25million over the duration of the MTFP) are to be delivered by a mixture of pay restraint, headcount reduction, service redesign and close vacancy management. Experience to date says that all these aspects are contributing to the savings required. On the basis of the pay awards that have been agreed for 2015 and the employer's offer of 1% for 2016, almost £11 million of the planned £25 million planned pay restraint savings have already been delivered.

2. The Pay policyof the States of Jersey remainsas it always has – to provide for the recruitment and retention of the key skills needed for the provision of effective public services which is affordable and sustainable for the islands tax payers. The Reward team in States Human resources maintains regular monitoring of the reward needs of all services and advises the SEB and departments as necessary. This includes analysis of local and UK markets to ensure that as an employer we maintain our reward outcomes. The importance of developing a fairer and more equitable remuneration structure through Workforce Modernisation is the basis of the pay provisions for 2017-2019.
3. All aspects of sustained control of public sector headcount and costs are critical to the delivery of a balanced budget – headcount costs – wages, pensions, social security etc. are the most significant cost factor in public services. Hence they are pivotal to the ability of the States of Jersey to balance its budget in this MTFP. The recent political and economic changes which may well emerge from the "Brexit Process" demand prudence. The delivery of Workforce Modernisation within the pay provisions proposed in the MTFP Addition would deliver the required level of pay restraint.
4. The majority ofthepay groups in Health and Social Services, including Nurses and Midwives, are included in the Workforce Modernisation review which has as its objective a fairer and more equitable remuneration structure. The HSSD HR team keep the HR reward team up to date with any issues they may be experiencing vis a vis recruitment and retention. Pay in itself is not the only issue which impacts on recruitment and retention in HSSD. Issues such as suitable accommodation, jobs for partners, qualityof work and the development of the P82 and new hospital developments all play a part.

11. DEPUTY G.P. SOUTHERN OF ST. HELIER OF THE MINISTER FOR SOCIAL SECURITY REGARDING THE POTENTIAL IMPACT OF REVISED ECONOMIC ASSUMPTIONS ON THE DELIVERY OF EFFICIENCY SAVINGS ON RETURN TO WORK SCHEMES: [9615]

Question

Given that the Fiscal Policy Panel's latest annual report, published in August 2016, revised central economic assumptions downwards with, in particular, employment growth estimated as 0% across 2017 to 2019, would the Minister advise what impact, if any, these revised forecasts might have on the delivery of efficiency savings on Return to Work schemes, explaining the rationale for the anticipated savings, and if there will be no impact, would the Minister explain why not?

Answer

As detailed in the Draft Medium Term Financial Plan I remain confident that my department will achieve the staff and administrative savings of £3.5m, and a reduction of 22.5 FTE by 2019, by increasing productivity and reducing costs. Savings will be invested in the vital areas of health and education as a contribution towards the overall aims of the Medium Term Financial Plan

Social Security will continue helping people into employment through our Back to Work schemes, and rolling out services to extra groups who may experience additional barriers to work, to support the Council of Ministers' Strategic Priorities. The ongoing future investment into Back to Work will depend on progress against these priorities, the success of lowering mainstream unemployment, and economic conditions. Our expectations are that unemployment will be lower by 2019. It is anticipated that the total expenditure on Back to Work programmes will have reduced by circa £2m per year by 2019.

The department will continue using LEAN methodology to make efficiency and service improvements. The benefits of this are twofold in improving the service that we deliver to our customers and also generating extra internal operational capacity. This can be converted into savings, for example, by not replacing staff who leave. These efficiencies are expected to facilitate a decrease in the number of Full Time Equivalent (FTE) employees over the period across the department.

12. DEPUTY G. P. SOUTHERN OF ST. HELIER OF THE MINISTER FOR SOCIAL SECURITY REGARDING THE DEPARTMENT'S USE OF AGENCY WORKERS: [9616]

Question

Further to the response to Written Question 9584, will the Minister explain the following in relation to the Department's use of agency workers:

1. Whether guidance applicable to zero-hours contracts (in particular, the provisions thatthere should be genuine variability of weekly hours and 6-monthly reviews) applies to the Department's use of agency workers who have zero-hours contracts but are who expected to work a 37-hour week;
2. Why only 12 of 142 agency workers were engaged on projects' and how many ofthose engaged in other roles were temporary posts to cover absences, and how many were permanent posts;
3. Why, in July 2016, one third of agency workers had been engaged for over 12 months and whether they had been offered permanent contracts with the Department and access to States terms and conditions, such as sick leave; and
4. How the Department therefore meets best practice in its recruitment policies in respect of pension rights and sickness and holiday conditions?

Answer

The Department does not employ staff on zero-hour contracts.

Agency workers are not employed by the Department – they are employed directly by the Recruitment Agencies. The JACS zero-hour contracts guide applies in the context of the relationship between the agency and the zero-hour contract staff that it employs.

Between January 2014 and July 2016 the department has engaged 142 different individuals through Recruitment Agencies. Agency workers are engaged by the Department to cover short-term fluctuations in workloads, to support initiatives and projects, or where permanent need or funding has not yet been established e.g. piloting new approaches to improve service. Through this approach the Department has been able to improve customer service, pilot new innovations and develop the Back to Work programme.

The 12 agency workers classified under the heading Projects' in question 9584 were engaged on cross departmental projects and not specifically to a single area (e.g. Back to Work). The remaining agency workers were assigned to projects or short term work within a specific area of the Department for example in Back to Work there have been a number of initiatives where agency workers have provided valuable input in the initial set up of pilot programmes.

Agency staff are not engaged through an agency with the intention that they will remain on an assignment for extended periods of time of a year or more. However, in some cases, the initial temporary assignment may unexpectedly need to be extended. For example, if the post-holder is on sick leave longer than expected, if the duration of a project has to be extended, or if the person is offered a further temporary assignment to deal with a different project within the Department. A rigorous vacancy management process takes place before seeking to engage agency workers.

Many of the agency workers have secured employment in the Department subsequently. At the end of July 2016, approximately 1 in 4 of the current permanent or Fixed Term Contract staff working in Social Security had previously been engaged through a Recruitment Agency.

The Department does meet best practice in terms of recruitment policies and complies with States of Jersey recruitment policies.

13. DEPUTY G.P. SOUTHERN OF ST. HELIER OF THE MINISTER FOR HEALTH AND  SOCIAL  SERVICES REGARDING  PLANS  CONTAINED  IN  THE  MTFP ADDITION FOR DEPARTMENTAL USER-PAYS CHARGES: [9618]

Question

Will the Minister provide Members with the details of plans to raise approximately £600,000 through user-pays charges over the three years covered by the MTFP Addition?

Answer

A detailed analysis and reconciliation of estimated income from user pays charges over 2016 to 2019 was provided to the Health and Social Services Scrutiny Panel in July 2016 and is reproduced below. User pays charges in the MTFP Addition over 2017-2019 largely relate to increasing private patient income, reflecting the proposed establishment of a trading operation, reviews of existing charges and better utilisation of capacity in the laundry service.

The MTFP Addition sets out the following User Pays targets for HSS:

More detail on those proposals, including current plans for delivery, are given below. Current programme

The Safely Removing Costs (SRC) programme focuses on delivering savings through improving efficiencies and productivity, with an overall  focus on patient and client safety. Schemes are therefore proposed, investigated, revised and / or rejected on an ongoing basis as detailed work is done. This process is iterative – HSS is committed to delivering the level of reduction in cash limits set out in the MTFP Addition, and continues to work hard to identify the best ways to deliver this.

The summary proposals set out in the MTFP Addition reflected the position at a point in time but these can now be updated to reflect current plans. A key change between the previous and current position is the re-phasing of projects into later years. HSS is still committed to delivering the 2016 cash limit and is identifying non-recurrent means for delivering targets this year while projects are finalised.

Currently, the user pays elements of the savings proposals are as follows. Further detail is set out below  the  table.  Work  on  these  proposals  is  ongoing  and  charges  will  only  be  amended  or introduced where appropriate to do so:

1. Travel subsidy – review of current policies to introduce more equitable approach which will also improve experience for those with multiple journeys. Expected achievable saving has been revised and (mostly) deferred to 2017 and remains under review.
2. Introduce trading operation to allow HSS to raise private patient charges to market rates (rather than the current States policy of cost recovery). No income expected in 2016 as States decision is required to approve the setup of a trading operation. More detailed work on the proposals has suggested future additional income could be £500,000 with £314,000 deliverable by 2019.
3. a – review the community dentistry provision. Review being undertaken by the cross- departmental Dental Action Group – this is ongoing.

b - Increase private patient income target to reflect likely level of activity going forward. This project has been completed.

c – charge for use of birthing pool for homebirth. This project has been agreed.

4. Consider options for utilising capacity in the laundry to generate revenue – review ongoing. Pilot work being undertaken in 2016 – will be further assessed and proposals, if viable, brought forward in 2017.
5. a – Wider project on patient prescriptions is ongoing – part of this may see the introduction of an administration charge for private patient prescriptions

b – Review of existing charges for scans and other services. This is due to commence in 2016 and it is expected could deliver additional phased income in 2017 and 2018.

c – Delivery of non-recurrent savings in 2016 to meet existing targets

d – Difference between MTFP Addition user pays targets and current planned levels of user pays charges. HSS continues to seek recurrent additional efficiency schemes to deliver the overall reduction in cash limits.

14. DEPUTY G.P. SOUTHERN OF ST. HELIER OF THE MINISTER FOR TREASURY AND RESOURCES REGARDING THE TERMINOLOGY OF THE PROPOSED HEALTH CHARGE: [9619]

Question

Will the Minister explain what link, if any, there will be between liability for the proposed health charge' and usage of the services it will fund and, if there is no discernible link, will he commit to referring henceforth to the charge' as a tax'?

Answer

As outlined in the MTFP Addition 2017-2019 the Minister will bring forward in the 2017 Budget arrangements for control over the use of the additional revenue raised from the health charge. Although unlikely to have a contributory principle (i.e. certain health services will not be restricted to those individuals who have contributed through the health charge); the intention is that the revenues raised will be ring fenced and specifically used for health purposes, rather than general revenues, with tight controls over the health care services that can be met from those revenues.

This hypothecation of the monies raised through the health charge is one of the primary reason why the Treasury has determined that the measure should be described as a charge. The monies raised from the Island's taxes (income tax, GST, land transactions tax, Island-wide rates, etc.) are all paid into general revenues and used to fund the range of public services provided by the States; whilst social security contributions and long term care contributions are paid into separate ring-fenced funds which can only be used for specific purposes. From a Treasury perspective, particular in terms of managing the consolidated fund, the health charge is more akin to those contributions rather than a tax measures.

The Treasury's decision is further supported by the existence of the cap on the income that is taken into account for the purposes of calculating an individual's liability under the health charge. This limitation of liability, rather than an open-ended liability, is more consistent with the principles underlying social security contributions and long term care contributions than the Island's taxes and hence it is appropriate to describe it in the same way.

3. Oral Questions The Deputy Bailiff :

We now move on to oral questions. Deputy Higgins, 2 oral questions were deferred from the last sitting of 13th September due to illness and therefore in accordance with the standard procedure have been added to the listing for this meeting. The oral question from Deputy Labey of St. Helier to the Minister for External Relations which was listed on the principal Order Paper has been redirected and deferred at the Chief Minister's request and will appear on the Order Paper for the next meeting. Questions this meeting have therefore been renumbered accordingly. Deputy Higgins, I invite you to ask your question.

1. Deputy M.R. Higgins of St. Helier of the Minister for Treasury and Resources regarding the Jersey taxation system: [9595]

In what ways is the Jersey taxation system fair and equitable and what proposals, if any, does the Minister plan to bring to the Assembly to improve the current system and when?

Senator A.J.H. Maclean (The Minister for Treasury and Resources):

It is very nice to see Deputy Higgins back in the Assembly having not been well at the last sitting. [Approbation] No tax system is perfect and fairness is clearly subjective. However, the Jersey tax system does seek to protect those on the lowest incomes. The generous allowances and reliefs offered means that the 30 per cent of the population with the lowest income pay no income tax whatsoever. Those same people do not pay long-term care contributions and will not pay the proposed health charge. We also protect the lowest earners from the burden of G.S.T. (Goods and Services Tax) on food through a combination of enhanced income support and the food cost bonus. The total tax burden falls significantly on highest earners. The top one-fifth of earners pay 70 per cent of all personal income tax. This demonstrates how our tax system takes the least from those with the lowest income while taking the greatest contribution from those with the highest income. I hope the Members can agree that this is the basis of a fair tax system. In terms of improving our tax system, there is a great deal of policy review work continuously being undertaken. As an example, we are fundamentally rewriting the tax compliance framework, the incentives, the sanctions, the penalties that affect taxpayers' behaviour and encourage full compliance. I announced in the last budget that Members will start to see measures coming forward in future budgets.

1. Deputy M. R. Higgins:

Supplementary? When I asked this question I had in mind the difference between tax paid by corporations and the tax paid by individuals. Now, we all know that since Zero/Ten came in no companies are paying tax, with the exception of financial service firms at 10 per cent and utilities at 20. All other companies are not paying tax and therefore the burden has been placed fully and squarely on personal income taxpayers. Does the Minister think that is right, is that the correct position, and if he thinks it is wrong when is he going to do something about it?

Senator A.J.H. Maclean:

The Deputy is effectively talking about our Zero/Ten tax regime, one that took a number of years to develop and, I might add, in conjunction with other jurisdictions the Crown Dependencies all operate a similar tax system. It is a system that ensures that we maintained and sustained our essentially important financial services industry and what is now something like 13,000 jobs in the Island.  I believe it is the right system at the moment, there are no intentions to change the Zero/Ten structure as it exists. It has served the Island well. No system, as I have said, is perfect but we are in a competitive world and we need to bear that strongly in mind for when considering how we apply tax.

[14:45]

2. Deputy S.Y. Mézec of St. Helier :

Is it not the case that this Minister for Treasury and Resources is intent on making our tax system more unfair because he intends to introduce stealth taxes at which the tax rate decreases the higher somebody's income is?

Senator A.J.H. Maclean: No, that is completely untrue.

3. Deputy S.Y. Mézec :

The Minister has just said that is not true, that is true. The health tax, the rate reduces the more you earn, so he cannot stand up in this Assembly and say it is not true. That is perfectly true.

The Deputy Bailiff :

Is there a question, Deputy ? Deputy S.Y. Mézec :

Yes, of course there is, Sir. Why is the Minister for Treasury and Resources seeking to increase taxes on low and middle earners when he promised at the last election he would not do that? Why is he now standing in this Assembly and denying that the highest earners will not be asked to contribute proportionately the right amount?

Senator A.J.H. Maclean:

In my opening remarks I made it clear that the highest earners in our community make this most significant contribution in terms of taxation. That is the case and that will remain the case. Broadly the measures that the Deputy is talking about, independently assessed, are progressive.

4. Deputy M. Tadier of St. Brelade :

Of course, to put it the other way around, the highest earners in our society get the biggest tax breaks on their disposable income and under this Minister and under this Council of Ministers he is maintaining their tax-free status. Let us talk about the 20 per cent rate which only applies to the highest earners, everybody else in our Island is going to be paying up to 21 per cent.

The Deputy Bailiff :

Deputy , could you ask a question, please? Deputy M. Tadier :

In fact, already is, so does the Minister agree that there is much scope for improvement when it comes to the Council of Ministers own mantra of low, broad, simple and fair taxes, especially on that last point of fairness?

Senator A.J.H. Maclean:

Again, I made this point, I think, in my opening remarks. There are always opportunities to improve the taxation system, that is why there have been a number of reviews in recent years: 2010, 2012, 2014. There are a number of policy reviews under way as we speak. That is quite understandable because we are continually looking at ways in which we can improve the tax system, ensure proper compliance from it and improve the yield. That is as Members would expect.

5. Deputy M. Tadier :

On that basis, given the fact that there is so much goodwill towards doing these reviews which are underway already in some cases, will the Minister be supporting the proposition that is on the table from his colleague on the right to have a proper review of our tax system, a wholesale review, and if not, why not?

Senator A.J.H. Maclean:

I do not know for one minute why the Deputy thinks that the reviews undertaken to date have not been, as he puts it, "proper reviews". There have been some very good reviews undertaken and the policy work that continues to be undertaken, much of it internally in the Taxes Department by an extremely professional, excellent team of individuals, does, when appropriate, call upon external advisers. I have had some very instructive discussions, together with the Chief Minister, during the course of the last week with Senator Ferguson and her proposition. Members will see, as a result, that there is a fairly detailed comments paper which has now come out, hopefully Members will have it with them, it was delayed. I apologise you did not have it at the end of last week but it did take additional time to work on, and in that you will see exactly what has been undertaken in terms of reviews in recent years, what is currently underway and, indeed, what we intend to do over the coming months and years to further review and improve our tax system.

6. Deputy G.P. Southern of St. Helier :

The Minister for Treasury and Resources cannot possibly be allowed to get away with what he just said. Does the Minister not accept that as part of the Council of Ministers he is proposing a health charge which is capped at £164,000 and that above that cap the tax is in fact regressive? The more you earn above the cap, the lower your effective rate of tax is. Does the Minister not agree, that that indeed is an unfair tax system and is regressive?

Senator A.J.H. Maclean:

The Deputy is perhaps seeking to have the debate that we are going to have on Deputy Mézec 's amendment in the next few days. I am sure that all the arguments will be presented at that particular point. As I have said, independently, the health charge has been assessed and as such it is broadly progressive. The point that the Deputy makes over a capped level, yes, of course that is going to have a different impact but then again it follows the contributory system that operates within the social security system. It is the same system that was used for long-term care, and although the Council of Ministers recognises that the cap itself needs to be reviewed, and indeed is each year anyway, it started at £150,000, it continues to be uprated from an R.P.I. (Retail Price Index) perspective and further work is being undertaken by Social Security with regard to that cap, and I have no doubt that it will be amended in due course. That is the proper way to do it based on the evidence.

7. Deputy G.P. Southern :

Does the Minister not accept that above the cap his proposed tax, his Council of Ministers' proposed tax, is in fact regressive? The more you earn the less effective rate of tax you pay?

Senator A.J.H. Maclean:

If you wish to look at it in that isolated way, of course, that would be a correct interpretation, but you have to look at the broad package of measures that are being proposed and therefore you get the context and the rationale behind the measures that have been presented.

8. Deputy A.D. Lewis of St. Helier :

The marginal tax rate of tax is deemed as the States attempt at a progressive tax system. It is criticised by many as being complex and difficult for people to understand. Does the Minister accept this and, if so, what will he endeavour to do about this? Will he review it? This is a cumbersome system of tax, is he prepared to review this and does he accept that it is such?

Senator A.J.H. Maclean:

I certainly accept that at face value our marginal relief system is complex, and there are many people who do not properly understand it. In fact, I have discussed with the Treasurer and the Comptroller that we are going to undertake some more briefings for States Members. Clearly the understanding among Members will be far greater than the main population, but it is not as well understood as it should be. I will tell Members, though, that it is the view of the relatively new Comptroller of Taxes that in fact our marginal relief system is, as he describes it "the jewel in Jersey's tax crown". If you look at the average effective rate of tax from those within the marginal relief area, it is 10 per cent. It recognises the priorities of this Assembly and Members of supporting families and consequently ensures that ultimately it is a relatively fair system in terms of outcomes but not well understood sadly.

9. Deputy A.D. Lewis :

Supplementary? Is the Minister therefore saying that somebody that has earned over £130,000 and is still not paying a full 20 per cent in tax is acceptable?

Senator A.J.H. Maclean:

It is impossible to look at individual cases. Yes, it can extend up to £120,000 or £130,000 depending on the circumstances of the individual. So if you have somebody, for example, with 4 or 5 children, a mortgage and so on, then of course it recognises the support to the family, and that is the fundamental building block of the system that was put in place in the first place. As I have said, the Comptroller of Taxes, with wide experience of not just our system now but also elsewhere, in particular in the U.K. (United Kingdom), thinks that broadly the marginal relief system is something that we should be proud of. Now, that does not mean that it does not need to be reviewed and I would say to Members that with independent taxation on the horizon the review or a review of the personal tax system will be necessary in order to further the independent taxation, which is targeted for 2020.

10. Deputy M.R. Higgins:

I believe a figure that was quoted by the Minister was that the top 15 per cent are paying most tax. The truth of the matter is the top 1 per cent or 2 per cent are paying less tax than the rest of us. Does the Minister not agree with that and think that it is totally inequitable?

Senator A.J.H. Maclean:

There was a little bit of noise behind me, I did not quite catch his question. If he would not mind repeating it, it would be very helpful.

Deputy M.R. Higgins:

I said that the Minister said in his answer, I believe, said the top 15 per cent are the ones who are paying most of the tax. The truth of the matter is the top 1 per cent or 2 per cent are paying considerably less than most people. So the point is that there is a special rate for the very, very rich in this Island and there is another rate that penalises the people in the centre. Is that not correct?

Senator A.J.H. Maclean:

It is a very easy soundbite for the Deputy to use but we have to be realistic about this. There are some very high earners that if you wanted to apply the same rate of tax, and I am talking in particular the high net worth individuals that we attract to this Island that we greatly value, and I might add, I was at the Jersey Hospice Ball at the weekend, there were huge numbers of inward investors and high net worth individuals there and more than £250,000 was raised for Jersey Hospice Care. [Approbation]  These are the types of unseen benefits that many people perhaps do not appreciate, the value that these high earners bring and why most jurisdictions around the world seek to attract such wealth creators. I do not think much more needs to be said about that particular area, I think our taxation system generally seeks to attract inward investment and, as such, support the local economy and that is what we should be seeking to do.

2. Deputy G.P. Southern of the Minister for Social Security regarding occupational pensions: [9622]

How many people aged over 65 depend on a partial or full States pension combined with income support for their total income, how many such people in receipt of a partial or full States pension combined with income support also have a private or occupational pension, and what measures, if any, is the department considering in conjunction with the Treasury and Resources Department to increase the availability of occupational pensions?

Deputy S.J. Pinel of St. Clement (The Minister for Social Security):

The Social Security Department publishes information on the number of pensioners receiving income support each year. Our annual report is due to be published next week and this will show that 99 per cent of low income pensioner households have a pension. This amounts to 1,759 households at the end of 2015 out of a total of 1,776 income support households in this category. Members will be aware that a commitment was given in the Medium Term Financial Plan approved last year that Social Security and Treasury and Resources would work together to promote financial independence in old age. In October I will be issuing a consultation paper which considers how we provide for ourselves in retirement and how the Social Security Fund should adapt to an ageing population. One topic which will be discussed within this consultation is the availability of occupational pensions. This is the start of a major review of the social security scheme and I hope that Members will take the opportunity to participate in the consultation and engage in a broad discussion to identify the best options for Jersey.

1. Deputy G.P. Southern :

The review of the contributory benefit scheme is due to take place over a number of years, I believe. Is it or is it not the case that the introduction of occupational pensions is a priority of this review and will be done in the early stages or not?

Deputy S.J. Pinel:

It is due to start next week inasmuch as the Guernsey Government have already agreed to introduce an occupational pension, not in force yet but is agreed, and we have a meeting with Guernsey next week when we will discuss the possibilities.

The Deputy Bailiff :

A further supplementary, Deputy ? This is the final supplementary I should note as no one else has asked a question.

2. Deputy G.P. Southern :

I accept that, Sir, I was not even arguing this time. Can the Minister outline for Members why she reduced the disregard on those without an occupation pension, those on the lowest pensions and thus making them £9 a week worse off in the short term in her Medium Term Financial Plan?

Deputy S.J. Pinel:

The Deputy alludes to the 23 per cent disregard that was introduced in the M.T.F.P. (Medium Term Financial Plan) agreed by the States last October. It was a change from previous pension disregards inasmuch as it was a fixed sum of £55 and those pensioners already receiving that £55 then have an option to change to 23 per cent of their income or the £55 disregard of their income. This is a way to encourage people to save for their own retirement because in a lot of cases 23 per cent of their income is considerably higher than the fixed sum of £55, and any pensioner now entering the scheme will have to have the 23 per cent, the £55 is not an option any longer, apart from those who have a pension already.

3. Deputy L.M.C. Doublet of St. Saviour of the Minister for Infrastructure regarding road safety around parks and schools: [9626]

Following the recent fatal accident near Millennium Park, what measures will the Minister take across the Island to improve road safety for children and other pedestrians, particularly around parks and schools?

[15:00]

Deputy E.J. Noel of St. Lawrence (The Minister for Infrastructure):

Improving road safety for our children and other pedestrians, particularly around parks and schools, has been and will continue to be one of my key priorities. For example, during the past 2 years my Assistant Minister and I have delivered significant road safety improvements around many of the Island's schools such as St. Mary, St. Lawrence, St. Martin , Bel Royal and Grouville Primary Schools as well as outside De La Salle and Beaulieu. Over the remaining life of this M.T.F.P., naturally subject to Members supporting the funding as proposed later this week, I will continue to prioritise road safety for other children and for other pedestrians as this is some of our most important work. A full list of the schemes delivered during my term in office as the Minister for Infrastructure to date and those actively being developed for implementation during the remainder of this M.T.F.P. - again subject to funding - will be distributed to Members later this afternoon.

The Deputy Bailiff :

Senator, I think we had the benefit of hearing from your iPad once again and I wonder if it could be switched off. If you cannot control it, if you could switch off. Thank you very much, and thank you for your further contribution to the fund.

1. Deputy L.M.C. Doublet :

A supplementary? I thank the Minister for his response and I ask because this area is of increased public concern at the moment. It is always a concern in our Parish of St. Saviour, and I seem to have had had an increase of constituents requesting that changes happen immediately. I think people understand that there are things planned but is there any way the Minister can bring forward some of these planned changes so that we can avoid any further fatalities. Also regarding the list of planned improvements, it would be lovely to have for Members but could the public see that list as well so that they can perhaps be reassured about some of the things that are being planned?

Deputy E.J. Noel:

If I can take the last bit first; absolutely, I intend to publish that list. Only earlier this morning, I signed off the Ministerial Decision to build a pedestrian crossing at the junction of Chasse Brunet and Deloraine Road, which will enable the children at Grainville and at FCJ to safely cross St. Saviour 's main road.

2. Deputy J.A. Hilton of St. Helier :

The Minister very kindly met with myself and the Head of Haute Vallée School earlier this year to discuss road safety improvements. I am a little bit disappointed to see that the only road safety improvement that has taken place at the particular crossing opposite the Pet Cabin is a flashing school children sign, which from the west side at New St. John 's Road if you come from the Queen's Road end there is no indication whatsoever that children cross there. So I would like to ask the Minister if he could go back to his department and relook at what they have put in place and improvement on it, please. Thank you.

Deputy E.J. Noel:

Deputy Hilton is referring to signage that has been there for a considerable amount of time. It has been there for several years. I have been advised by my officers that the new signage creating a temporary 20 mile an hour limit for that stretch of road while the schools are arriving in the morning and leaving in the afternoon, is now in Island and waiting to be put into place in the coming weeks.

3. Deputy J.A. Hilton:

A supplementary. When I have driven past the school at 8.00 a.m. that sign does not work or maybe it does not start working until much later. It needs to be working much earlier - if it does - than it is currently.

The Deputy Bailiff :

Deputy Hilton, was there a question there?

Deputy J.A. Hilton:

Could the Minister please go back to the department and ask them to look at that? Deputy E.J. Noel:

I will pass that information on. It is to the school because it is the school that controls the timings of the warning lights. Again, I repeat, new signage will be going in place there and that will become a new 20 mile an hour zone during school pick up and drop off times.

4. Deputy K.C. Lewis of St. Saviour :

When I was Minister for Transport and Technical Services I made the order to put the 20 mile an hour signs with flashing lights outside of the Island's primary schools. Given the level of accidents that we are having in St. Saviour and St. Helier, Mont Millais, Vic College, J.C.G. (Jersey College for Girls) and the surrounding area, does the Minister think there is a case for extending this to secondary schools. There are flashing lights outside of Vic College but that is just to warn that schools are coming out. There is not a 20 mile an hour zone.

Deputy E.J. Noel:

I am surprised by Deputy Lewis that he does not know that exactly is one of the measures that we are going to be bringing in in the road safety plan for all of the schools around St. Saviour. We have had several meeting with the Parish and Parish officials over that and that is one of the phases that we are going to be delivering in the next 2 or 3 years. Yes, that area, all around the colleges will be, during school pick up and drop off time, a 20 mile an hour zone.

5. Deputy S.Y. Mézec :

The example that is referred to by Deputy Doublet in this original question is in my constituency and I know that the campaigners have been frustrated at how long they feel that it has taken to find a solution to this. Broadly speaking, does the Minister agree that it would be a good idea to devolve more powers to the Parishes so that they can take on issues like this when people come to them and express their concerns, because they are closest to the local communities, know the views of the people there who see these problems day-to-day and anticipate where there might be a dangerous circumstance? Would he support devolving more authority to the Parishes so they can deal with that and do things a bit more quickly?

Deputy E.J. Noel:

While the police investigation is ongoing I will not make any type of statement on the Tunnel Street incident other than to express my deepest condolences to the family of Clinton Pringle. I would remind Members that, in fact, Tunnel Street is already a Parish by-road.

6. Deputy M. Tadier :

Can the Minister state whether or not there is an ongoing review into Island-wide speed limits and, if not, is that something that the Minister may be putting on the table shortly?

Deputy E.J. Noel:

It has been discussed over the last year or so. We have had 2 workshops with the 13 road authorities and the 13 police forces in this Island because the public infrastructure only makes up one of those authorities. Yes, it has been discussed and there has been general agreement to implement 20 mile an hour speed limits within the centres and for the benefit of those in St. Helier No. 1 District, that will include the Havre des Pas area. So, yes, we have been discussing that with the Constables, with their road committees and with their Chefs de Police, along with the States police.

7. Deputy M. Tadier :

Just to clarify, it can be confusing for your average member of the public if they want to make an enquiry or suggestion when it comes to road safety and speed limits, given the fact that there are, as the Minister says, 13 road committees effectively, if you like, in the Island, not to mention the increasing number of quangos that have land in Jersey as well. If a member of the public does have a concern or a suggestion about a particular speed limit or road safety concern on a road, whom should they contact in the first instance? Can the Minister ensure that he will pass on those concerns?

Deputy E.J. Noel:

That is a very good question from Deputy Tadier and I would encourage Islanders to download the Love Jersey app, to take their phone and to take an image of the area that they are concerned about because that will automatically be directed to the appropriate roads authority.

8. Deputy L.M.C. Doublet :

I thank the Minister for his answers. Just to further press him on the planned improvements in St. Saviour and other improvements, is there any scope for the Minister to bring those forward at all so that we can avoid further accidents and also could we have a timescale on when the 20 mile an hour limit outside the secondary schools will be in place, please?

Deputy E.J. Noel:

The department is spending just short of £900,000 for the previous year, this year and for 2017 and 2018, particularly in St. Saviour. The 20 mile speed limits are designed to be coming into place hopefully next year. By that I mean 2017. So we will hopefully see significant improvement in the pick up and drop off times and road safety around all of St. Saviour 's secondary schools.

4. Deputy C.F. Labey of Grouville of the Chief Minister regarding the extension of "grandfathered" rights to European Union nationals living in the Island: [9617]

When will "grandfathered" rights be given to European Union nationals living in the Island, as the Chief Minister announced post-Brexit, and under what criteria?

Senator I.J. Gorst (The Chief Minister):

As I mentioned in my statement on 28th June, there will be no change in the formal relationship between Jersey and the E.U. (European Union) as set out in Protocol 3 before the U.K. leaves the E.U. In the meantime, the rights of E.U. citizens to live and work in Jersey will be unaffected. Discussions on the terms of the U.K.'s future immigration arrangements with the E.U. will not formally start until after the U.K. has triggered Article 50. We are, however, closely involved with the U.K. Government, and in particular the Home Office, on immigration and related matters such as the common travel area. The Government's position, however, is clear. We want those who have contributed to Jersey and made Jersey their home to stay. The process will take some time, immigration involves the U.K. and we will be part of the discussions with the E.U. but I want to reassure E.U. citizens in Jersey that they remain welcome here.

1. The Deputy of Grouville :

Supplementary. Is the Chief Minister aware that since the Brexit vote and his announcement about grandfathered rights there has been a marked increase in E.U. nationals arriving in the Island usually by boat with their families and more than a weekend's worth of luggage?

Senator I.J. Gorst :

We know that we have ebbs and flows of E.U. nationals coming to our Island during the course of the year. One would expect in the summer months for there to be increased levels. If those levels are out of kilter with previous years of a similar time then we will certainly review that. Of course, this was always, right across the British Isles, who would be affected potentially by the Brexit decision, a possibility. But I shall check with the border control officials and with those who analyse such figures to give the Deputy some certainty.

2. The Deputy of Grouville :

Does the Chief Minister have a means of measuring the numbers, firstly, and does he not appreciate that the sooner we work to a given point in time that will give people a certainty he is shaking his head but I believe it would give people certainty, so perhaps he would like to comment on that?

Senator I.J. Gorst :

I think the Deputy knows that the U.K. must trigger Article 50 before they can start their negotiation. But the groups considering what it is that the United Kingdom may wish to negotiate for, one of them that we are involved with and our officials are involved with is this very issue. But there will be no certainty, I would suspect, until much further down this process. There are some challenges around the common travel area, for example, there are some challenges about whether the United Kingdom wants to be in the single market and whether there will be a quid pro quo for free movement of people. All of those issues will form part of the negotiation. We do not yet know even when the United Kingdom will trigger Article 50, so the certainty is that our relationship, nor has the United Kingdom's relationship, yet changed with the E.U. and therefore E.U. nationals can remain here on the same basis as they did prior to the vote.

The Deputy Bailiff :

That was the finally supplementary, Deputy . The Deputy of Grouville :

Yes, but he did not answer the first part of my question. I asked if he has a means of measuring numbers entering the Island.

The Deputy Bailiff :

Then it is the fact that if the Chief Minister did not answer it, he did not answer it. His answers must be a matter for him, Deputy .

5. Deputy M. Tadier of the Minister for Education regarding increases in re-sit fees for GCSEs: [9621]

What increases in fees, if any, have occurred in the last year for people wishing to re-sit G.C.S.E.s (General Certificate of Secondary Education), when did those increases take effect, and, if there were such increases, what consultation and assessment, if any, was undertaken in respect of the potential impact on the uptake of re-sits?

Deputy R.G. Bryans of St. Helier (The Minister for Education):

Thank you to the Deputy . This is a matter that is dealt with by the schools rather than the department but I can report there has been no increase in re-sit charges to students in state schools over the past year. The fees for G.C.S.E. re-sits are set by the exam boards in the U.K.; Jersey has no input into or influence over the level of the charge so it is not something we can consult on. If, however, the Deputy has a particular concern, I would be happy to look into it for him.

1. Deputy M. Tadier :

Just for clarification, the Minister has mentioned in state schools, does that extend to Highlands College? Could he put on record whether or not the re-sit charges have increased or are about to increase for re-sits in G.C.S.E.s undertaken at Highlands College?

Deputy R.G. Bryans:

I am sorry, I cannot answer that question. I do not know that information so I will have a look at it and come back to the Deputy .

[15:15]

Deputy M. Tadier :

Can I just add for the record, it seems quite unsatisfactory the Minister does not have that information.

The Deputy Bailiff :

No, that has been a supplementary, you will have a final supplementary, Deputy . Deputy M. Tadier :

Can I put it on record it does not seem a good use of States time when it has been lodged for the requisite time from Thursday and the Minister should have looked into all re-sits including Highlands College.

The Deputy Bailiff :

I am sorry, due to that interjection I missed the note of others who wished to ask a question.

2. Deputy T.A. Vallois of St. John :

Can the Minister confirm whether the funding for re-sits for G.C.S.E. are taking out of the inflation budget of the schools or whether they have a specific amount dedicated for that particular re-sit?

Deputy R.G. Bryans:

Once again, just to repeat, it is the schools that deal with that. They decide in their own budgets. Just to clarify the issue to some extent because it is worth amplifying where we are with G.C.S.E.s at the moment. The number of re-sits varies considerably depending on what type of G.C.S.E. is taken. If it is still an old style modular course with lots of different elements marked throughout the 2 years, then there will be more re-sits or re-marks. However, almost all G.C.S.E.s are now moving towards the new linear course with exams at the end of 2 years so there will be fewer re-sits or re- marks. This year in particular our students have taken a mixture. It is the changeover period from one system to another. In future the number of re-sits and re-marks will go down. But to answer the Deputy 's question, it is the schools themselves that make the decision where the money comes from.

3. Deputy M. Tadier :

The reason I asked this question is obviously based on information which I have been given to seek to clarify from the Minister, so I would ask the Minister if he can circulate any information that he finds particularly about Highlands College and the re-sits, particularly those in the linear format that he talked about. We are looking at maths and English primarily. People need to re-sit often for higher educational purposes or just for general chances for their C.V.s (curricula vitae), et cetera. So I would be grateful for the Minister to provide that in short order.

Deputy R.G. Bryans:

Of course I am happy to pass it around the Assembly.

6. Deputy S.Y. Mézec of the Minister for Social Security regarding the support available for Islanders aged under 25 suffering from a mental illness who have never worked: [9628]

What support, if any, is available for Islanders below the age of 25 who, because of suffering from a mental illness, are not able to work and have not been able to work since leaving education and have therefore not paid any social security contributions?

Deputy S.J. Pinel (The Minister for Social Security):

Prior to school leaving age the family of a young person with a significant mental or physical illness or disability may be able to receive financial support through the Child Personal Care Benefit. This is available independently of household income. From school leaving age a young person who qualifies for one of the higher levels of the personal care award is entitled to make their own income support claim; again independently of whether or not their parents are a low income household. For those with less serious conditions financial assistance through the income support scheme is available providing that they are a member of a low income household. Alongside financial assistance, Back to Work offers specialist assistance to help people into work where long- term illness or disability represents a more significant barrier to employment. We have dedicated specialists who have specific experience of working with mental health and other conditions and can support the management of such condition. We also work closely with colleagues in the health service and the Jersey Employment Trust to determine the best approach for the individual customer.

7. Deputy R. Labey of St. Helier of the Minister for Health and Social Services regarding consultants' income from private practice and the provision of administrative support: [9625]

Does the Minister receive regular information on how much income the department's consultants make from private practice, and can the Minister advise who pays for the administrative support provided to those consultants, such as patient contact and the booking of clinics and theatres?

Senator A.K.F. Green (The Minister for Health and Social Services):

I do not receive information about our consultants' income from their independent private practice business. However, I do have access to the quantum of income that their private practice contributes to the running costs of the hospital. Our consultants' private practice, which is carried out on our premises, contributes £8 million per year to the service. This is through charges we apply to cover the cost of using our facilities, staff and equipment. Most private consultations occur within the consultant's private rooms where staff that are used are not H.S.S.D. (Health and Social Services Department) employees. Where activity does take place on our property with our staff we recover all the costs associated with this activity.

1. Deputy R. Labey :

As the Minister will probably have guessed, my question was prompted by N.H.S. (National Health Service) England and their initiative to compel all N.H.S. hospitals and trusts to publish an earnings register, the private earnings of their consultants. I just wondered if the Minister thought there might be merit in that idea for Jersey.

Senator A.K.F. Green:

I am aware the U.K. is exploring this option but do not currently have any plans to implement this in Jersey. We would not expect others to declare their private income to their employer or to the public. But we do expect them to declare whether they have additional jobs or business interests.

2. Deputy G.P. Southern :

My understanding is that in the U.K. private practice takes place in the practitioner's spare time and that they are duty bound to offer their spare time in the first instance to the N.H.S. trust for which they work. Is that the case in Jersey?

Senator A.K.F. Green:

What happens in Jersey is that all consultants are contracted for 40 hours. Many do much more than that for the public sector. They do their own work in their private time and, as I say, they are contracted for 40 hours. They do 40 hours and much, much more. You are much more likely to see a consultant at the weekend here than you would be in the N.H.S.