Proposal to hike Sark taxes to fund major projects

Taxes could go up in Sark by 7.5% to fund major projects including the upgrade of a link between two islands.

The Policy and Finance Committee said the increases could include personal capital tax and property tax rates.

It would be used to help fund "investment in major projects such as the next phase of stability works at La Coupée [which connects Little Sark and Big Sark], harbour infrastructure improvements, and waste management upgrades", the Chief Pleas said.

Overall the proposed budget forecasted total income of £2.69m and expenditure of £2.68m, with a small projected surplus of £3,476.

The committee said the proposals aimed to "balance the island's investment needs against the desire to avoid placing an excessive burden on taxpayers".

Spending on education, infrastructure maintenance, safeguarding, harbour repairs and support for the procureur's services had increased, the committee said.

It said forecasts for 2028 and 2029 suggested Sark "could generate healthy surpluses, allowing reserves to be rebuilt and providing greater financial resilience" based on "more modest" annual tax increases of 3%.

Committee chairman John Guille said: "This budget seeks to strike a careful balance between investing in the infrastructure and services that Sark depends upon today, while ensuring the island remains financially sustainable in the years ahead.

"If Sark is to maintain essential services and invest in the infrastructure needed for the future, additional income is required.

"We believe these proposals represent a responsible and measured approach that protects services, supports long-term resilience and begins to rebuild the island's financial strength."

The proposals will be considered by the Chief Pleas on 18 November.

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