UK seeks $20m more in cuts
Posted on Wed, 08/15/2012 - 08:48 in Politics
(CNS): The Cayman Islands government continues to negotiate with the UK over budget cuts just days before the premier says he will deliver his spending plan to the Legislative Assembly. Sources have confirmed that the UK gave a verbal response on Monday evening to the details submitted regarding the latest proposed revenue measures that would replace the expat tax. However, it is understood that the UK wants more cuts and has asked for a further $20 million reduction on the spending side of the balance sheet. CNS understands that the local government has said it has gone as far as it can with cuts and, given the surplus budget it intends to present, it hopes the UK will ease up.
A memo released Tuesday evening stated that the Legislative Assembly will be reconvened this Friday. If the premier delivers a budget without UK approval, the governor who is currently off island, will not assent to the bill, McKeeva Bush said.
Last week at a public meeting McKeeva Bush said he planned to come to the LA on Monday 20 August, but speaking on Radio Cayman Tuesday, he said he was hopeful the UK would give its approval, allowing him to present the full year’s budget on Friday. Bush has made no mention, however, of the request for further cuts and continued negotiations.
The latest figure that are believed to be on the table show spending plans of more than $580 million as a result of an increase of more than 10% in CINICO costs as well as some $15 million that the UK has instructed CIG to pay down on the past service pension liability. The government faces a growing burden regarding civil service pensions, which has been neglected since the UDP took office in May 2009.
Meanwhile, in order to cover the operational expenses and produce a surplus budget, revenue projections are said to be a whopping $650 million from a combination of new measures and existing fee increases.
If the UK accepts that the latest revenue raising measures are credible and realistic, the budget will produce a surplus of $70 million, which is just $6 million short of the figure the UK economist had indicated would be required to satisfy the overseas territories minister.
The decision now hangs in the balance and it will be down to the economic advisor to recommend whether or not Henry Bellingham, who is currently on vacation, should give the OK for the premier, in his role as minister of finance, to finally deliver the most controversial budget of his political career.
Email this pageViewpoints
Latest Classifieds
- Sales On: Apple iPhone 5 32GB, Samsung I9300 Galaxy S III / Galaxy S4 Buy 2 get 1 free
- Affordable South Side Home for Sale
- house for rent
- car for sale
- Samsung Galaxy S4 19500 16GB Unlocked
- **Botanical Slimming MSV - Strong Version***
- South Side Beach House for Sale
- 3.05 acres of Bluff land
- Large Spot Bay beach lot
- Affordable inland bluff lot
Comment Policy
The comments posted do not necessarily reflect the views of CNS or any individual staff member. All comments are posted subject to approval by CNS. Read more
Recent Comments
- We should build a special
58 min ago - Anon 1539 so when you have a
1 hour 14 min ago - Yes. And I am a plastic cup.
1 hour 19 min ago - You must have come from the
1 hour 27 min ago - get the petition going
1 hour 43 min ago - a great expat....well done!
1 hour 46 min ago - The AG has nothing to do at
2 hours 1 min ago - Thank you very much. Go
2 hours 7 min ago - You need to dig into who
2 hours 15 min ago - I got stuck in this motorcade
2 hours 26 min ago
Search
Join Our Mailing List
Follow CNS via ...
Facebook Twitter RSS
Comments
The UK is seeking $20 million
The UK is seeking $20 million in cuts. CIG comes up with more foolish ideas to make money from doing and selling nothing again. The only thing any investors could want on Cayman is Caymanian owned land. It is the only thing left with any value. O wait. I think CIG still owes money for land it took from Caymanians. Still has to pay off that first before they can sell it. Might be time to bite the bullet Civil service. Or just run the country out of money. Looks like your choice unfortunately.
A letter to all Churches who
A letter to all Churches who where receipients from the "Nation Building Fund".
Dear Sirs, you are in receipt of stolen property please return it.
Most civil servants make less
Most civil servants make less than 2500 a month.
The change in healthcare policies will cost an avarage of 400 a month, that is 16%.
A lot of unneeded managers make 8000 and up, and experience the same cut. For them it will be 5%.
Is that fair ? Many employees in the lower income brackets WILL lose there homes.
ALL these people complaining about the civil service, do NOT realize, that the salaries are based on having "free" healthcare and pension.
When I was hired at one of the departments I was told my income would be lower, because I would also have these benefits.
So please let us now stop about complaing about the civil service. They are also people and the information about overpaying is simply incorrect.
Yes there is abuse (gas money, travel etc), but find these people and fire them, but don't let the average civil servant pay for that, simply because that is what the general public wants based on nonsense.
The problem are the politicians. . . . . . .
In the private sector,
In the private sector, workers pay their 50% towards a health policy that is within their budget. As one advances and earns more, one can then afford the "Cadillac" health plans. Different types of coverage are available. Welcome to the real world CS.
To HumbleAndStrong (not
To HumbleAndStrong (not verified) on Thu, 08/16/2012 - 12:24. FYI the employer and not the employee selects the provider ,therefore it is not fair to say " In the private sector, workers pay their 50% towards a health policy that is within their budget" ratheryou should have said" In the private sector,some workers pay 50% towards a health policy from a plan chosen by their employer". By the way, some employees DO NOT contribute to their health plan,it is all paid for by their employer.
I agree the fat needs to be
I agree the fat needs to be cut from the top. But please also remember that there are many private sector Caymanians and Expat workers who also make less than $2500 a month and have been paying health insurance and pension at those same rates without getting the same level of care that the civil service has been provided with (which is rumored to be no deductable and full coverage overseas). This is why the private sector has little sympathy towards civil servants paying their due share.
Sell Cayman Airways and the
Sell Cayman Airways and the Turtle Farm to Dart or anybody else.
No one would be stupid enough
No one would be stupid enough to buy something that cost money to run and will never be payed off. Well almost no one.
We would need to pay people
We would need to pay people to take these badly run businesses away. Your proposal would increase the budget deficit.
Dart is far far too astute
Dart is far far too astute and business smart to buy either of these unsustainable companies, 9:50.
CINICO should not get one
CINICO should not get one more dollar until the issues raised by the auditor general have been addressed.
"Nation Building" = "Vote
"Nation Building" = "Vote Buying"
Why after all that has been
Why after all that has been exposed are senior public and civil servants earning in excess of 100K PA still getting free gas for personal use? The savings have already been calculated at 1/2 million.
Because the Caymanian people
Because the Caymanian people let them?
the UK needs to understand
the UK needs to understand that Bush is a tool of the Fat and happy CS. His one and only job is to keep the gravy flowing. Its the only thing he knows how to do. If they want ANYTHING else done they need to do it themselves. Or keep watching the fat man try not to eat whats already in his mouth.
You could have ended that
You could have ended that first sentence after 10 words.
One hand in the sack, out it
One hand in the sack, out it comes. I'm sorry sonny, you know I would have liked to help you more, but de last team spent it all on building schools to educate ya, which I na see why anyone need dat when you can get honorary ones. NEXT! Whey ya from sonny? I na really seen ya before. Lord, you Caymanian too? You can vote? Hand goes in the sack, out it comes. Empty. Sorry sonny. And I was just going to tax you 10%.
Why not 50M? Lol
Why not 50M? Lol
Macs big claim is he will not
Macs big claim is he will not cut jobs at the CS- of course not, it would be political suicide and cause more unemployment to Caymanians.
Not sure how the numbers would sort out on this idea but I will throw it out there:
All top civil servants (Managers, Managing Directors etc), say the top 5 in every Statutory Authority and Government Office, including MLA's are forced to take a 15% salary cut.
This way it is not politically unpopular because it represents a small number of voters and no lower paying civil servants have to lose jobs and suffer further hardship. In addition, the top managers are unlikely to leave due to their 15% pay cut (where could they go to make the same kind of dough?) , and they are likely able to afford it and it will cause little hardship.
So in summary:
1) Mac wins because he achieves the goal and doesn't alienate a large voting block
2) The everday working Caymanian is spared job losses which is good for the country and no loss of current income either
3) Government achieves overall goal of reducing CS expenses by harming the fewest people.
Thumbs up if you like this solution :)
Damn and swanky were getting
Damn and swanky were getting ready for a world tour. They may just be playing back in the kitchen again.
Hope the FCO squeezes bush
Hope the FCO squeezes bush until his pips squeak !
We do not need hurricane
We do not need hurricane Hilton. We do not need the new PWD compound in the Brac either. We do not need the 3 district post offices in the Brac. That's 10 million of the 20 that needs to be cut
3 District Post Offices in
3 District Post Offices in the Brac? WTF. These MLA's must be smoking the sh*t that washes up on our beaches.
1 - cut nation building slush
1 - cut nation building slush fund. its a vote buying scheme.
2 - collect receivables, ibcluding ritz $6m, HSA debts
3 - cut stipends and housing allowances etc to boards, commitees etc
4 - mandatory economy flight and hotel for official travel
5 - slash official travel - havent you people heard of video conference, conference calls in this day and age? Christ. And no friggin entourages!
6 - MLAs take a pay cut
7 - cut training budget
8 - no more non-essential pojects
9 - cut the butler, cook, bodyguard/boyfriend/ PA and protocol perks aka unnecssary freeness. No one is trying to get Juliana. We can hope her conscience will and she can repay the public money she wrongfully took to pave Brac parking lots to buy votes.
10- Churches, please do the right thing and RETURN the nation building money you took. The country is in a crisis. Start a "building fund" and collect offering from your parishioners. Have a raffle (shhh, no no its not gambling).
I did an FOI request a year
I did an FOI request a year ago, and Cayman airways responded that there were over 1000 people that fly free of charge. there were so many past directors and their families still flying for free that they (CAL) could not even quantify the precise number!!!!!
If that is not gross waste, please tell me what is. If the Government cant cut the freebees how can they be expected to cut anything else.
Bodyguard/Boyfriend? Is that
Bodyguard/Boyfriend?
Is that a remake of the original movie The Boduguard?
or the Cayman version of Love Story?
Go get the 6 million dollars
Go get the 6 million dollars from Michael Ryan NOW!
I love all your ideas
I love all your ideas especially #10. Now that would be nation building in the true sense of the word. I'm not holding my breath though...
UK..Please don't ease up on
UK..Please don't ease up on your demands for our banana republic buffoons to engage in fiscal responsibility.
No cuts to civil service or
No cuts to civil service or reduced spending, then hello to income, property or VAT. Well Mr. Bellingcamp I don't want to but I'll take the 10% government enhancement fee. Oh no I'm not expat so that does not apply. Oh not property how about VAT, no that either as taxes are bad. I will have to settle for decuction/reduced spending by government.
Government need to go get the
Government need to go get the 6 million dollars from the devloper who still owes them on the land deal and refueses to pay them. It is amazing how easy it is for some people to walk away owing government millions of dollars and nothing is done thru the courts to force them to pay while they try to evict people from lands that belong to them. I am really sick of what is going on in this island. I just read an article call Funny Business: Putting on the the Ritz all Caymanians should google it and read. This island is in a sad state of affairs indeeed.
The developer of Ritz Carlton
The developer of Ritz Carlton owe the government $6 million begin by collecting that instead of chasing Caymanians from Safehaven. Cayman need to start collecting monies owned to the government by wealthy individual or start court proceedings.
If Ezzard and Gilbert had
If Ezzard and Gilbert had instituted a single payer health insurance program, covering all Caymanians, residents and a small daily fee for all tourists, everybody would be covered fully and effectively, for a fraction of the cost.
Much easier said (or blogged
Much easier said (or blogged about!) than done Slowpoke.
Actually, I was part of a
Actually, I was part of a small group advising them that this health insurance plan would result in a number of uninsured/underinsured individuals and effectively be very expensive for both the private and public sector.
At the risk of sounding like a " sore loser", I told you so! The only failed health care plan in western countries is the US one, and we thought it we could make it work here?
CINICO THE AMAZING HEALTH
CINICO THE AMAZING HEALTH INSURANCE COMPANY
The establishment of CINICO was a brilliant idea by Gilbert McLean, the mistake is that the correct Health Insurance Laws were not established, therefore it was doomed from the beginning.also coupled with that the person in charge had no idea about running a health insurance company.
Finally the CEO resigned and the Company was left for years with no CEO however the General Manager took over and the company moved forward and made a profit for the next two years.Then comes a change of Government and a new Board.
The General Manager who was running the company and was well versed in health insurance management, and company making money - oh well that was not good enough, she was locked out of her office and so goes CINICO.
New CEO is put in charge (and one in my opinion who knows nothing about managing a health insurance company)and you know the rest of the story..
Now CINICO is asking for 10% increase in funds to run the company, well no surprise in that request. Good Luck CINICO - THe company is in good hands and the people are asked once again to cough up money to be wasted again. What we the people would like to know is just how much CINICO went in the hole last year ending June 3oth 2012.
Yours truly
A CONCERNED CAYMANIAN
Michael Ryan needs to pay
Michael Ryan needs to pay government the 6 million dollars owed to them.
"the General
"the General Manager............was well versed in health insurance management....". Hmm, would that be the lady who was in charge of CINICO during the period so ruthlessly criticised for deficiencies in the way it did business by a recent audit report, 18:39?
The elephant in the Caymanian
The elephant in the Caymanian room is corruption or (aka) cronyism.
Cronyism: definition = put your cousin (who has no expretise or qualifications) in place instead of a competent professional (Caymanian or expat).
My friend where were you 30
My friend where were you 30 years when this Elephant came into the room?
It wasn't an elephant then -
It wasn't an elephant then - more like a chihuahua.
If the National Building Fund
If the National Building Fund -- i.e., the "Bush vote buying slush fund" -- is not cut, the UDP government and Bush in particular will have lost their last ounce of credibility.
"...last ounce of
"...last ounce of credibility."
Hmmm, I thought they were down to their last 0.000000001 milligrams a long time ago.
I wish the British just come
I wish the British just come and fix this mess. I am not pro British but I love my country enough to hate MB destroying it.
They are having problems
They are having problems fixing their own mess.
I have a question WHO pays
I have a question WHO pays for Juliana and her bodyguard tickets to and from the Brac?
I have a question to your
I have a question to your question! Why does Juilanna need a bodyguard?
To protect her form all dem
To protect her form all dem solja's over there in the Brac.
VIPbaby, VIP :)
VIPbaby, VIP :)
Repeat after me....
Repeat after me.... "Community Enhancement Fee". :)
Post new comment