Alderney forced to tighten its belt

Alderney is being forced to tighten its belt.

The island's budget report is forecasting many States departments will have no extra funds in 2011.

Alderney’s main committees, Policy and Finance and General Services, look set to spend less next year than in 2010, while water rates will again rise to help balance the books.

However, there is some respite for home owners, as members have pledged not to increase the Occupier’s Rate in 2011.

In October’s Billet D’Etat, Policy and Finance Committee chairman Richard Willmott said strict rules had been applied to spending.

‘Committees had to consider whether the service was necessary and appropriate in the present economic climate, look at whether there is a more efficient way of providing the service and decide whether the charges and fees were adequate.’

Alderney's cash allocation from Guernsey has been set at £1.615m for 2011 – a rise of just £15,000 on last year.

Mr Willmott said a 66% reduction in Conge receipts – cash Alderney receives from house sales – had significantly affected the budget.

‘The slump in the housing market in the UK has had a knock-on effect in Alderney, as receipts from Conge in 2010 continue to reduce compared to previous years. It is difficult to forecast any improvement in 2011.’

Mr Willmott also revealed the States is planning to charge part-time residents who don’t pay Guernsey taxes.

The budget will be debated by the States on October 20th. A people’s meeting takes place on Wednesday (October 13th) at the Island Hall from 7pm.

(from CTV)