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Government profiting from rising costs 'not right'

Government profiting from rising costs 'not right'

Summary

The head of Jersey's Consumer Council criticized the government for profiting from rising living costs due to increased taxes from high gas and fuel prices. This rise in prices is linked to disruptions in oil and gas shipments caused by a war affecting local businesses and the farming industry. The government is urged to find ways to support citizens who are impacted by these increased costs.

Key Facts

  • The cost-of-living pressures in Jersey are linked to disruptions in oil and gas shipments since a war began on February 28.
  • Carl Walker, from Jersey's Consumer Council, claims it's unfair that the government makes more money from taxes as fuel prices rise.
  • The government charges a 5% goods and services tax (GST) on imports.
  • Rising costs have affected local industries and everyday services like electricity and gas.
  • Walker suggests the government could reduce fuel duties or provide financial aid.
  • Some people, especially those who earn just above the threshold for government help, struggle due to these increased costs.
  • About 1,700 people in Jersey reportedly rely on food banks due to high costs.
  • Jersey's Retail Price Index (RPI), a measure of inflation, rose by 2.8% in the last quarter, driven by hikes in food, leisure, and service costs.

Source Information