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Forecasts for income, expenditure, surpluses and deficits for 2016 to 2019

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WRITTEN QUESTION TO THE MINISTER FOR TREASURY AND RESOURCES BY DEPUTY J.A.N. LE FONDRÉ OF ST. LAWRENCE

ANSWER TO BE TABLED ON TUESDAY 9th SEPTEMBER 2014

Question

Would  the  Minister  provide  the  most  recent  estimates  for  income,  expenditure  and  forecast surpluses/deficits for the years 2016, 2017, 2018 and 2019?

Answer

The draft Budget 2015 provides a revised financial forecast to 2015 at Figure 10.1 page 55.

The work being carried out by officers on Long Term Revenue Planning is considering all aspects of existing expenditure budgets and the requests for additional funding from departments for the next MTFP period  2016-2019,  alongside  the  projections  for  States  revenues.  The  work  of  the  new  Council  of Ministers will be to consider which expenditure areas and services align with its strategic priorities and propose the allocation of available resources accordingly.

The Budget deals with 2015. It will be for the new Council of Ministers to propose appropriate tax and spending measures to deliver a sustainable MTFP for 2016-2019. It would be inappropriate for the current Minister for Treasury and Resources to set out future expenditure of the States. The next Council of Ministers and Assembly will agree their priorities.

However, the draft Budget 2015 also provides, in Figure 12.8 on page 64, an indicative financial forecast for 2016 and 2017 as part of an indicative economic impact assessment.

This indicates a breakeven position on a comparable basis to the existing financial forecast and is based on the latest income forecasts which extend to 2017.

As stated in the draft Budget 2015, page 63, the current assumption is that the next MTFPs will follow a strategy of balanced budgets, but this will be a decision for the next Council of Ministers and States Assembly.