The Unity Labour Party (ULP) government has failed to implement measures to ease the crippling cost of living crisis that most Vincentians are experiencing.
As the cost-of-living increases, our standard of living falls. Life has become more difficult for families, many of whom are now forgoing essentials and cutting back in every way they can. It is a sad reality that those who have the least are hardest hit. Spending on necessities takes up the larger portion of their income. There is also the added burden on parents, as they struggle to purchase school supplies for their children to return to school, for the new academic year 2024-2025.
The government has a duty to do everything it can to cushion the blows of rising costs on households, and to protect our communities. Further delay in implementing ‘relief’ measures will only cause more pain and suffering for Vincentians.
The truth is, while our government has failed to respond to the coat-of-living crisis, across the OECS and the wider Caribbean, governments have implemented measures to ease the burden of their citizens.
We, the NDP, have a plan to immediately help to ease the effects of rising cost of living and ensure that we protect families. We urge the following:
- Reduce VAT from 16% to 13% and ensure that the savings are passed on to ordinary consumers. This will help everyone across the board. Increase the number of zero-rated VAT items. This will reduce grocery bills for everyone.
- Immediately repeal the last Customs Service Charge increase to reduce import costs
; - Increase support for lower income families by expanding existing support programmes and ensuring that the support is distributed based on need and not by political favour;
- Provide import duty concessions for the transportation industry, which is to say minivans, buses, and taxis;
- End the unlimited increase in the VINLEC bill by putting a cap on the fuel surcharge and improving efficiency.
These measures are practical and realistic and can deliver benefit to everyone immediately.
NDP VIEW: Time to ease cost of living crisis
Fri, Aug 16, 2024
The Unity Labour Party (ULP) government has failed to implement measures to ease the crippling cost of living crisis that most Vincentians are experiencing.
As the cost-of-living increases, our standard of living falls. Life has become more difficult for families, many of whom are now forgoing essentials and cutting back in every way they can. It is a sad reality that those who have the least are hardest hit. Spending on necessities takes up the larger portion of their income. There is also the added burden on parents, as they struggle to purchase school supplies for their children to return to school, for the new academic year 2024-2025.
The government has a duty to do everything it can to cushion the blows of rising costs on households, and to protect our communities. Further delay in implementing ‘relief’ measures will only cause more pain and suffering for Vincentians.
The truth is, while our government has failed to respond to the coat-of-living crisis, across the OECS and the wider Caribbean, governments have implemented measures to ease the burden of their citizens.
We, the NDP, have a plan to immediately help to ease the effects of rising cost of living and ensure that we protect families. We urge the following:
- Reduce VAT from 16% to 13% and ensure that the savings are passed on to ordinary consumers. This will help everyone across the board. Increase the number of zero-rated VAT items. This will reduce grocery bills for everyone.
- Immediately repeal the last Customs Service Charge increase to reduce import costs
; - Increase support for lower income families by expanding existing support programmes and ensuring that the support is distributed based on need and not by political favour;
- Provide import duty concessions for the transportation industry, which is to say minivans, buses, and taxis;
- End the unlimited increase in the VINLEC bill by putting a cap on the fuel surcharge and improving efficiency.
These measures are practical and realistic and can deliver benefit to everyone immediately.
Current situation
Coupled with the cost-of-living crisis is the sad state of the country’s economy. St. Vincent and the Grenadines’ economy has been struggling since COVID-19 and the eruption of La Soufrière. This year, it has been worsened by hurricane Beryl. Vincentians are in the most vulnerable state they have seen in recent times.
Furthermore, unemployment is a major problem in the country. Twenty percent of the workforce is unemployed across our country and most of the people with jobs do not receive wages that can adequately support them and their families. Despite this, there has been no plan outlined by the government to provide long-term jobs and increase wages that will support the long-term recovery of St. Vincent and the Grenadines, especially following hurricane Beryl.
We have seen where the government has begun the process of assisting with short-term jobs to aid in the cleaning up of our country following hurricane Beryl, but we are yet to see plans for the long-term development of our country to tackle the ongoing jobs crisis we face in the country.
In addition, St. Vincent and the Grenadines is plagued with serious poverty. Research has shown that poverty is linked with conditions such as: homelessness, inadequate nutrition, food insecurity, inadequate childcare, lack of access to proper health care, unsafe neighbourhoods, and under-resourced schools. Undoubtedly, those conditions can be identified in tAXhis country and are severely affecting most Vincentians.
In 2018, a Poverty Assessment Survey was conducted. Six years later, the government has not released the Poverty Assessment Report. However, the findings of the report were made public. It painted a damning picture of poverty in St. Vincent and the Grenadines. The report concluded that poverty in St. Vincent and the Grenadines is worse than when the ULP gained power in 2001. It stated that poverty in St. Vincent and the Grenadines had moved from 30.2% of the population in 2008 to 36.1 % in 2018. And the indigence level had moved from 2.9% to 11.3% in the country of 110,000 people. The government denied knowledge of the report and said the poverty study was incomplete.
Sociologists have also shown that there is a correlation between unemployment, poverty and crime. And crime is on the increase. St. Vincent and the Grenadines has two record-breaking years of homicides. In 2022, forty-two (42) homicides were recorded and in 2023, there were fifty-five (55) homicides. So far for the year, twenty-nine (29) homicides have been recorded. What is even more disturbing, is the recent revelation by Assistant Commissioner of Police, Trevor Bailey, that gangs are operating in St. Vincent and the Grenadines.
The way forward
The NDP will build a country of opportunity and hope. A key pillar of hope is knowing that your country will offer you opportunities to grow and develop. Delivering jobs and increasing wages will be one of our highest priorities. To achieve this, we will establish the National Jobs and Skills Agency… an agency that will act as a one stop shop for businesses seeking to expand or hire more people.
We will:
- Construct a Technical and Vocational Education Training (TVET) Centre of Excellence, to give and expand technical training to ensure that young people have the skills needed to be employed;
- Establish the Jobs Creation Package that includes a series of tax cuts and measures for job creators and businesses to allow them to create additional jobs.
The Jobs Creation Package will also include a tax support scheme for any business that hires 5 new and additional people within a year. It will give back a portion of tax to those businesses that do so.
The NDP is committed to create opportunities for the people of St. Vincent and the Grenadines.