25 September 2015
The Treasury and Resources Minister, Senator Alan Maclean, presented an updated fiscal framework today (25 September 2015), ahead of the Medium Term Financial Plan (MTFP) debate in the States.
The framework sets out the principles and existing rules that will guide the Council of Ministers in making decisions around taxation and spending over the course of the next MTFP and beyond.
The proposals by the Council of Ministers in the draft MTFP are consistent with the framework and attempt to achieve a balance between agreed priorities. These include: investing in key services (such as health and education); supporting the economy while global economic conditions remain fragile (by continuing to invest in our infrastructure); and delivering the expenditure savings that underpin long-term fiscal stability.
The FPP’s annual report, published earlier this month, was supportive of the approach set out in the MTFP and offered constructive recommendations on how the Government of Jersey can continue to make progress ahead of the MTFP.
The fiscal framework will ensure that future decisions remain consistent with the advice of the FPP. It will also help to ensure the delivery of the core MTFP targets of creating a modern, efficient public sector, supporting economic growth and achieving balanced budgets by 2019.
Senator Maclean commented "I hope that this updated fiscal framework will inform the forthcoming MTFP debate. It is important that States Members take the time to look in detail at the direction set out in the framework. I am wholly committed to balancing the budget and to modernising the public sector, and this framework gives us the tools to realise these ambitions."
View the Fiscal framework report (R.107/2015)
Fiscal Policy Panel reports