By Economic Development Minister,Julien Morel
Copyright jerseyeveningpost
THE government has launched a new Planning Hub to help businesses strengthen their economic case in planning applications.
The new service was announced yesterday by Economic Development Minister Kirsten Morel at a speech to the Chamber of Commerce.
He said that the hub would be delivered via Jersey Business and was being launched alongside a new initiative to improve collaboration between his department and the Planning Department.
“[We have] worked together to create a new joint approach to planning which will see economic impact being taken as a key consideration in the deciding of future planning applications. This is a vital change,” he said.
Deputy Morel said that a “stupidity” of the current Island Plan was that it did not give sufficient weight to the economic impact of an application.
Questioned about the Planning Hub’s deliverability by La Mare Wine Estate managing director Tim Crowley, Deputy Morel said that the Bridging Island Plan cannot be amended so there would be “areas of frustration” but the hub would lead to “faster” and “more understandable” processes and was a “important first step” in giving more weight to economic considerations in planning decisions.
In his speech to Chamber, Deputy Morel listed Jersey’s economic strengths – including that the Island’s standard of living, as measured by GDP per capital, put it in the global top ten – but also its economic “realities” – including low levels of investing and falling productivity.
He also highlighted the government support to businesses, including its Better Business Support, which includes £750,000-worth of productivity grants, which have has recently reopened for applications.
However, a central message from the minister is that the government was limited in what it could do and businesses needed to step up
He said that the government needed to allow the private sector to help it, particularly with infrastructure projects, to perhaps find investment or take on the work itself.
He added that whereas now the Chamber of Commerce was a “critical friend” of the government, in the past it had been a source of economic development itself.
He cited previous projects in which the Chamber of Commerce had had a leading role, including the business group establishing the Island’s first post office in 1794, and its leading role in building the Airport, including buying land around it, in 1934.
He said: “With a 20% tax rate, we have a small government, by definition, but we are increasingly seeing infrastructure development being left to the public sector and this is a dangerous game.
“I’m really pleased that the Chief Minister has placed the focus on developing the Island’s infrastructure with the launch of ‘Investing in Jersey’ but I believe it is vital that government looks to the private sector to help deliver the projects in there and more.”
This was because politics got in the way, and the government was also a source of bottlenecks, he said.
Giving a “call to action” to the private sector, Deputy Morel said: “Government is making changes: we are modernising laws, fixing Planning, supporting key industries, and investing in productivity and infrastructure.
“But Government cannot deliver growth alone. It needs to work more closely with the private sector.”
He added: “The private sector – and especially the Chamber of Commerce and other trade organisations – must once again channel the entrepreneurial spirit of the past into the 21st century, and government must let you do this.
“In Jersey, we have enormous talent and people with outstanding global networks, we also have vast capital but the story of the century so far, has been one that hasn’t used these qualities to their fullest. It’s time for us to combine and unleash them.”
The minister continued that he would shortly be rescinding the Shops Regulation of Opening and Deliveries Law which he said would allow all retailers to trade on Sundays if they chose to do so without any paperwork or permit fees.
He said that he would also be bringing forward more amendments to further simplify the requirements for visitor accommodation and “create more flexibility for our local hotels”.
He added: “Later this year, the States Assembly will be asked to approve a set of targeted changes to the Island’s Competition Law to help ensure that businesses and consumers get the best out of their economy with effective and proportionate competition.
“It’s in the vein of creating the right conditions for growth that the Telecoms Security Framework and Cyber Security Policy Framework and supporting Cyber Security Law have been prioritised to not only secure investment in our economy but to protect it by ensuring Jersey remains an attractive and safe place to do business for years to come.”
He continued: “In the coming weeks, I will lodge a new Alcohol Licensing Law, which will speed up processes, create more flexibility in opening hours and reduce the red tape on businesses.”
Deputy Morel said that while he was not advocating for tax rises, in his personal view the government could get away with raising income tax by as much as five per cent before people would leave the Island.
Responding to a question asking if the tax regime would have to change to fund essential services like health, he replied that there was “not much give” in income tax but it could go up by “a few per cent, maybe up to five”.