"JERSEY'S EVENING PROPAGANDA"
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Saturday, 11 June 2011
"Ozouf Stiffs Us Again"
Social security hike for high earners dropped
INCREASED social security charges for high earners have been dropped because ministers say that the money is no longer needed.
The U-turn comes less than a fortnight after GST went up to 5% and in the same week as plans to slash tax rates for super-rich immigrants were announced and the retirement age was raised to 67.
Ministers had floated the plans to charge Islanders earning over £44,232 more in social security payments to raise an estimated £8m.
The extra 2% charge was approved last December and was due to come into force from January. However, Social Security Minister Ian Gorst and Treasury Minister Philip Ozouf now say the increase has been shelved.