Submitted by St. George’s Dragon
Chris Sinckler, Minister of Finance

Barbados Today (25 May 2012) reports that a decision has been made to retain VAT at its current rate of 17.5% “until future notice”. Previously we had been promised that it would be reviewed about now. The Advocate picked the story up on its front page on 27 May 2012.

It appears that the rumour is true as the Parliament Order Paper for Tuesday shows Chris Sinckler moving a resolution on the First Reading of the Value Added Tax (Amendment) Bill 2012 which keeps the current rates from 1st June “until further notice”.

Unless I have missed it, and I hope I have, no Government Minister has had the good grace to tell the voters about their decision. Do they think we won’t notice?

With elections looming, the Government has just blundered again. A good information strategy and a carefully crafted set of announcements would have allowed the Government to at least have some chance of being seen as good custodians of the Country’s finances. Instead we are left with the impression that they don’t care.

Incidentally, the Order Paper also shows that the Government is about to compulsorily purchase Sam Lord’s Castle. While this is not new news, it would have been nice to have known that something was happening.
The Government needs to sort out its communication strategy and soon, otherwise Owen Arthur will be keeping the Prime Minister’s chair warm again.


  1. Scout,

    Time longer than twine. I wonder why they did not show the audience up St Philip!


  2. Prodigal Son
    The response from the audience wasn’t very heartening either.


  3. thanks prodigal for the blow by blow description of the evening news and what the DLP ministers was saying , however you can compare that to the picture of OSA standing at the Mountgay booth giving his expertise knowledge of rum while guzzling some shots .


  4. @prodigal
    just in case you missed the picture check the Barbados today


  5. @Clone
    Your economic argument is accurate – You ever notice that when the BLP criticises the government on spending, they can never point to at least 80 – 100 million dollars in expenditure cuts that they can implement.
    You ever wonder why no specifics?
    You realise that the BLP spokesperson on the economy conveniently talks about government needing to cut back now he is in opposition but offers no specifics as to where those cuts should be?

    Tax Increases or spending cuts or both, to maintain foreign reserves and restrict domestic spending when tourism spending is down, these are your policy options.While domestic activity must be maintained, it cannot be sustained or driven without foreign inflows. That is why the link and constant reference to the global economy is so important.

    The BLP is running all over the country complaining about taxes but put no alternative to the public about specific spending cuts. There is a reason for that. If people can compare the policy option of sending home thousands of public workers and paying for UWI education for their children and a 2.5% increase in VAT, then maybe the 2.5% does not look that bad.

    You see economists look at the numbers game first – so if you have to cut spending you would reduce the big items – wages,education, health. The BLP cannot admit this so they lambaste the government over taxes to get political mileage.
    This government has done well to stabilise this economy while maintaining a strong safety net and avoiding massive social dislocation.If people understand the policy options, they can clearly see that Barbados is moving forward despite the turbulent waters around.


  6. ………..thanks prodigal for the blow by blow description of the evening news and what the DLP ministers was saying , however you can compare that to the picture of OSA standing at the Mountgay booth giving his expertise knowledge of rum while guzzling some shots ……………………………….

    ac, and he is still alive! I witnessed your dead king along with Kenny Worst and Peter Gilkes feeding David Thompson with the vodka at a Joel Garner match. If he had the sense that Owen has, he would still be alive today. You forgot the dead king fall off the back of a truck because he was pissing drunk???


  7. @Prodigal

    Do u know what ur saying. DT died from cancer and all of us will die from some thing. Cancer cells are there in all of us. My mother died at age 39 of cancer. sometimes i wonder if u had an education.


  8. !
    nice article, scott, prodigal, enuff, the scout and onions should read it and analyse what u said, if they capable of doing so.

    I have no problem with the govt maintaining the vat rather than laying of persons or cutting the educational subsidy, although i recognize at some point in time Barbadains will have to pay some of the cost for higher education. We are blessed.


  9. Would it surprise you that I do not read his submissions! cannot deal with the nastiness!


  10. Blogger,

    I am highly educated for your info. Dont you know that heavy drinking contributes to pancreatic cancer. Our lifestyles often determine whether our cancer cells will act up or not. You can talk all you want but I know of what I speak.


  11. You Dems can talk all you want but had the Dems not spent money like drunken sailors on shore leave when they came into power, had they not shared the fatted calf with those who stayed the course with the dead king, had they not impose $105 million dollars that made the economy grind to a halt in the first year, they would not be in the mess they are in today. They had no cabinet experience except for DT, they refuse to listen and that is why we are where we are today. That is why they are so desperate!


  12. @ !
    Tax Increases or spending cuts or both, to maintain foreign reserves and restrict domestic spending when tourism spending is down, these are your policy options.While domestic activity must be maintained, it cannot be sustained or driven without foreign inflows. That is why the link and constant reference to the global economy is so important.

    FYI there are essential recurrent expenses such as MORTGAGES, FOOD and FUEL. Are you trying to tell me that people are foregoing buying food or paying their mortgages to buy non-essentials?
    So when you increase VAT, fuel, land tax, inflation at 9.4% and tax allowances how are households to function? Borrow from the NIS every month like the government?


  13. Simckler stumped! He said that he has more than $60 million above what he wanted to collect and is NOT giving it back now. He is accused of keeping and wanting to keep it back at the budget time Thimk on these things


  14. The DLP came into governance at the beginning of the global recession, in fact the recession was already taking root having been present from 2007, yet this government offered the electorate a multiplicity of give aways, then FOR TWO years into the recession, spent money like if it was going out of style, remember the big mid-night independence parties and parade at the Garrison? To date no-one knows what was the expenses, but it had to be in the millions. Our then P.M flew all over the place in a private jet, this was even before he was sick. These and many other things were part of the division of the fatted calf. Now on the eve of a general elections the DLP now remember who put them there and want to give us back the bones from the calf. Wheel and come again Fruendel.

  15. old onion bags Avatar
    old onion bags

    @ true to from
    You mind these claptrap clowns ?$60 Million my back-bone….they spend and spend more than they could procure….Right now if not for the NIS,,they would be facing certain embarrassment…..shameful indeed ….oh too shameful.

  16. Daniel from Oistins Avatar
    Daniel from Oistins

    So now we get this insight from the brilliant “enuff” …

    “Pay ‘Danny from Oistins’ no mind. His post was clearly painstakingly written in word and spell checked. Note he charges “per edited word” so clearly punctuation and sentence structure are not his strengths; and we both know spell check easily sorts misspellings. What twenty-five US cents per word what…more like F7 lmao.”

    Brilliant. You know, enuff, adverbs are never your friend. Don’t use them unless you know how to. If you use them unwittingly, you’re guaranteed to look like a tool. You don’t know how to use them [here comes an adverb], obviously.

    Ya got ma bawlinnnn, sugahhh!!! I nearly crucify de bitch wid licks!!! Now … as a member o de BU fambly, let me tell you how sick these women are …


  17. @ DFO
    That is why I don’t charge 25 US cents per word.


  18. The BLP yardfowls will not engage the economic argument because it is easier to seek partisan political mileage in this economic environment.
    They hope that if they remain silent on specifics and focus only on criticism, intelligent Bajans will somehow be fooled into believing that there is a easy magic solution that only they have. Voters be warned.
    People must be aware of the policy options which face the government instead of the blatant misinformation being spread.
    Whenever, there is a need for fiscal consolidation or restraint, some people always want to suggest that there is some silver bullet suggestion.They suggest that you can get all the services in the world with no taxes.

    Expenditure Cuts
    If thousands of public sector workers are sent home to reduce government spending so that we did not raise the vat or any taxes, would these former workers not have to buy food, fuel and pay their mortgages. Would businesses that they patronised not suffer- Would they in turn not have to send home a gardener or maid or defer other purchases. Would the many private businesses that depend on government contracts not also have to send home workers.
    Would not goverment removing the education subsidy for tertiary education not affect the development of our human resources and undermine our development.Would not poor and middle class bajans not have the opportunity to educate their children and would that not undermine our national development? That was the policy option facing the government instead of an increase in vat.
    I repeat – do ot be fooled that the big savings in government spending will come from cutting constituency councils or summer camps or a cocktail function. The big money government spends is on wages and the Ministry of Education and Health.
    There is a reasom why you will hear so little specifics from the BLP on spending cuts because they know that if the public sees the specifics then the Government’s economic programme would be seen in context.
    The DLP government has done a good job in a very trying time and have kept this country stable in the worst recession the world has ever seen.


  19. @!
    Nice reasoning as usual. They either dont have the capcity to look at the global perspective to understand what govt had to do or they are just plain idiots.

    I hear all this talk about vat and who inflicted the 15% on the Barbadian tax payers and then waste the money or urban and rural.


  20. The scout | May 28, 2012 at 6:30 PM | Clone
    Since the DLP has done so much, and the public is ready to vote them back into office, why do they want to extend the general elections down to the very last day legally possible?
    ———————————-
    Hard times is acoming they wanna hang on to those pay packets as long as they can?


  21. Hi scout the can has been kicked up and down the street by the BLP now the DLP has recovered it and we not giving it back.


  22. ac
    Last time I heard, the can was in Coverley collecting X amount of trash per house for a certain politician. Run up there quick, maybe it is still there or it may have gone to Valery by now.

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