The Chamber of Commerce is reviewing the budget statement delivered 25 July by the Premier W. McKeeva Bush. We intend to provide an analysis after consultation with the Council of Associations and the wider Chamber membership to determine the impact that the proposed revenue measures will have on the business community and wider economy.

Following a quick initial review, the Chamber Council supports the recommended reductions to Government expenses and the fundamental policy shift that will now require the public sector to contribute to their pension and health care costs, which has been required by the private sector for many years. This is a positive step forward and an approach that the Chamber has advocated and supported for several years. The introduction of a Community Enhancement Fee requires much more analysis and review. These types of fees (apparently a payroll tax) have long term consequences that must be evaluated carefully. We have already received expressions of concern from various industry sectors and we plan to share our views with Government shortly. We are also seeking more information on the introduction of a fee to enhance the regulatory environment for the funds industry.

A full statement will be released once the Chamber and Council of Associations has had time to evaluate the proposals which, to the best of our understanding, were not shared with any industry association prior to the Premier’s statement.