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STATEMENT TO BE MADE BY THE PRESIDENT OF THE FINANCE AND ECONOMICS COMMITTEE ON 18th FEBRUARY 2003
On 21st May 2002, the States were notified by R.C.18/2002 of the details for members' expenses, income support and allowable income thresholds for 2002.
Regrettably, I must advise the Assembly that the amounts included in that Report were incorrect.
The amounts published in R.C.18/2002, for 2002, were based upon the wrong Jersey Retail Price Index percentage. Instead of the December 2001 rate of 3.1 Per cent, the figure for the September 2001 rate of 4.2 per cent was used to increase the 2001 amounts. The 1.1 per cent difference in these rates has led to the 2002 allowances being overstated by £98 per annum, and £294 per annum for expenses and income support respectively.
As the erroneous increases were applied to both expenses and income support, all current States members, and those who left the Assembly at the end of last year, are affected. The amount of the overpayment will vary from member to member. However, the maximum overpayment for members receiving expenses and full income support over the last 5 quarters is £490.
Members can be reassured that the arrangements for calculating and paying these allowances have been thoroughly reviewed and more rigorous control and checking arrangements introduced. The Treasurer is writing to each member apologising for the error, advising of the amounts involved and proposing repayment arrangements.
On behalf of the Finance and Economics Committee, I would like to express my sincere apologies for the error which gave rise to these overpayments.