Guernsey States continues to cut deficit
The deficit in Guernsey's government finances has reduced again.
Figures released in the latest States' accounts show the government's annual debt was reduced from £24m at the end of 2011 to £20m at the end of 2012.
Deputy Treasury Minister Jan Kuttelwascher said meeting savings targets and restraining spending was "absolutely essential".
He said this would allow the States to return to a balanced budget.
Scrapping corporation tax
Deputy Kuttelwascher said: "While this is relatively good news, and shows that the States' finances are now heading in the right direction, there is nothing to be complacent about."
The Health and Social Services Department was the only States department to overspend, going £2.2m over its budget to spend a total of £111m.
A total of £8.8m of savings were made under the Financial Transformation Programme, which was brought in during 2009 as a way of dealing with the impact of scrapping corporation tax.
The move aims to cut £31m from the States annual spending by 2014 and by the end of last year £10.8m of ongoing savings had been made.