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Why Guernsey wants a slice of AGCC cash

The Treasury Minister has been criticised by Alderney politicians for suggesting its infrastructure is now so improved that gambling cash could now replace funds from Guernsey.

Speaking to The Journal Gavin St Pier said such money could now be diverted to "services delivered in Alderney" such as the airport.

He made the comments in the wake of a letter sent to the Policy and Finance Committee suggesting that an agreement whereby Alderney keeps its revenues from Alderney Gambling Control Commission, should now be reviewed. In addition, he has indicated the possibility of a 10 per cent cut to Alderney's Guernsey supplied revenue budget.

The AGCC generates money from issuing licenses to online gaming companies and revenues last year topped £2million. The money is used solely to fund the island's infrastructure projects.

Alderney politicians and the States chief executive queried his view on "the considerable progress" of the island's infrastructure and questioned the validity of only now including Alderney's budget in its departmental cost-cutting programme.

Deputy St Pier wrote: "T&R is not looking at the AGCC budget for "extra funds"; but transfers from the AGCC are now anticipated to be in excess of £2m per annum which - under an arrangement made when the transfers were a small fraction of the current level - are retained by the States of Alderney and used to fund capital expenditure projects.

"In light of the considerable progress that has been made in improving Alderney's infrastructure and the significant and increasing funding requirements for services delivered in Alderney including Alderney Airport and underwriting the losses incurred by Aurigny in providing Alderney routes, the Treasury and Resources Department considers that it would be appropriate to review with Alderney the arrangements for the best use of the AGCC transfers."

Alderney States member Paul Arditti said the Minister and his board were wrong. "'Considerable progress' has not been made in improving Alderney's infrastructure,' he said. "In fact there is much to do on many different fronts; not least our transport links, as Mr St Pier should know. Also there are no funding requirements for Alderney in respect of the transferred services: wrong again."

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