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Statement regarding lowering of 1 1 k tax threshold and advise on number of rejected and accepted since the scheme was first introduced

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1240/5(1992)

QUESTION TO BE ASKED OF THE PRESIDENT OF THE HOUSING COMMITTEE ON TUESDAY, 4th NOVEMBER 2003 BY DEPUTY G.P. SOUTHERN OF ST. HELIER

Question

On 18th October 2003, members were informed of the Committee's decision to lower the threshold for 1(1)(k) entrants via the front page of the Jersey Evening Post.

  1. W  ould the President explain whyhe did not consider a statementto this Assemblyas a more appropriate mediumofcommunicationof this change?
  2. W  ould thePresident give members detailed annual figures to showthenumberof applicants rejected and accepted since 1(1)(k) schemewas first introduced?

Answer

  1. R e gulation 1(1)(k) is a Regulationwhichempowers the Housing Committee togranthousing consent toan applicant where that consent can be justified on social or economicgrounds'. The tax paymentthreshold for 1(1)(k) entrants has changed from time totimesince the Regulation was introduced in 1970andcan be varied according to particular circumstances there areno financial limits setout in the Regulation. The variation of this tax threshold is not a matterwhichhas been reported to the States in the past and I do notconsider it a materialchange from the policy whichhas applied since1970.
  2. I c an provide figures for k categoryconsents granted tonew applicants since 1998, asfollows:-

1998 - 3

1999 - 4

2000 - 2

2001 - 1

2002 - 1

2003 to date - 2

D u r in g this period no applications formally considered by the Committee have been rejected. However,

although the figures are not recorded, a number of enquiries were made of the Policy and Resources, Income Tax and Housing Departments during these years which did not satisfy the criteria for acceptance and were not pursued further by the applicants.

I a m   unable to provide figures for the number of new k category consents granted from 1970 to 1998

without diverting resources for a considerable period of time from more important work. The trend over the last thirty three years has certainly been for fewer applications to be made and subsequent consents granted.