Concern in Norfolk

Norfolk

IN a budget which sought to increase revenue by a general increase in gov ernment fees, the Norfolk Island Minister of Finance, Neville Christian, voiced concern at the overheating of the island’s economy caused by consumer over-confidence. The impact of higher interest rates and inflation on the Au stralian mainland was also being felt on Norfolk: tourists were being more care ful with their money while on holiday.

The island’s traders had been specifi cally hit by Australia’s introduction of a SA4OO duty free limit. The Norfolk Is land administration was to urge the Au stralian government to either exempt the island from the limit, or raise the duty free threshold.

To cover its budget estimates of $4.9 million, the Norfolk Island government increased duty and fees: • Duty on cigarettes, cigars and tobac co went from 15 per cent to 60 per cent; • General rate of duty from eight to nine per cent; • Immigration fees up; • Property conveyance fee doubled; • Vehicle registration charge in creased by 50 pier cent; • Duty on beer up 10c per can, with larger increases for bottles larger than 375 ml and for kegs. • Quarantine and health fees up, and an increase on the financial institutions transactions levy of 400 per cent, from 0.05 per cent to 0.25 per cent.

The increase on government charges were expected to raise an additional $560,000, said Christian. A thorough re view of the postal service had been undertaken and the government plan ned to revitalise philatelic sales and the

post generally.

Christian said the government needed to keep its expenditure under tight rein in view of the delicate nature of the is land’s economic base. Section heads would be meeting to find ways of keep ing costs under control, as the island’s economy must not be eroded by careless

spending. □