2020 budget report - a Property Perspective

Today the Policy & Resources Committee has published the 2020 Budget Report.

The key elements from a property perspective are:

  • Introduction of a tiered TRP approach for properties above 200 rating 
  • A further increase on commercial property - increased by five per cent, with an option to increase this by a further five per cent, to fund additional service developments
  • Increases to general office TRP category
  • Domestic and land TRP tariffs to be increased by 10.2 per cent from 1 January 2020, with further increases planned annually up to 2025
  • The prioritization of drafting legislation to facilitate equity release mortgages


The commercial TRP increases are no particular surprise. It is not the first time that commercial property owners have been 'chosen' and I am sure many will view this as easy pickings. But also note the planned rises in domestic TRP.

The equity release concept is interesting.

Equity releases or 'lifetime mortgages' allow homeowners to access the equity in their property while retaining ownership, by borrowing against it. Currently this cannot be done due to the nuances of Guernsey law.

In addition, the Policy & Resources Committee plan to submit a policy letter recommending that lending, as an activity, will be subject to be licensed by the GFSC. This is to ensure that there are appropriate consumer safeguards in place.

The full budget report can be read 
here

BACK TO ALL NEWS

RELATED ARTICLES

News +
Two new appointments in Cayman
02/07/20 Two new appointments to Cayman Property team
News +
Document Duty (Guernsey) Law 2017
14/05/20 Minor but important changes to the Document Duty (Guernsey) Law 2017
News +
Guernsey Conveyancing
29/04/20 Guernsey Conveyancing – another step closer to returning to normality
Insight +
COVID-19 Jersey Construction Work
24/04/20 The COVID-19 (Construction Work) (Jersey) Order

Subscribe for the latest news and insights