Coronavirus: Jersey residents get £100 each to stimulate economy
All Jersey residents will receive £100 each to stimulate the island's economy, the Government of Jersey has announced.
The £11m scheme is part of a broader £150m economic package to assist with recovery from the coronavirus pandemic.
The money will be in the form of a voucher or pre-paid card given to islanders by September and will be time-limited to two months, ministers confirmed.
The vouchers cannot be spent online, used for savings or spent on gambling.
Chief Minister John Le Fondre said the scheme was "geographically restricted" to Jersey and "aimed entirely at supporting our local economy".
He clarified the money was not a "handout or gift", but "a commitment to invest in our island".
Senator Le Fondre added: "Please use this commitment to spend your £100 in a way that benefits our whole community.
"Use it for meals, for experiences, for clothes, for new products, or to treat yourself and your family."
Mr Fondre said the scheme could be rolled out again and made "more targeted" if necessary.
The other measures laid out by ministers include:
- Direct payments of £1.3m to low income households.
- A £26m reduction to employee social security contributions.
- Extended time to repay social security and two-year deferrals of Goods and Services Tax, reducing revenue by £40m in 2021.
- Creation of a £50m "fiscal stimulus fund".
- Abolition of prior year basis payment of tax worth £18m.
They also announced £50m for "key infrastructure" investment, £10m of which has already been spent on the support loan given to airline Blue Islands.
Mr Le Fondre said the scheme was the largest fiscal stimulus package Jersey had ever assembled, which would mean a family of four on average earnings would benefit from a £1,350 increase to their income.
It will be funded from internal reserves rather than the up to £500m borrowing announced in May, he added.