“18th Consecutive Year Of Government Deficit”
Government expenditure exceeded revenue in 2020/21, marking the 18th consecutive year of a Government deficit.
This is according to the Bermuda Digest of Statistics, which said, “Government expenditure exceeded revenue by $184.2 million in fiscal year 2020/21. This marked the eighteenth consecutive year of a Government deficit.
“Furthermore, the deficit increased by 466% from the previous year and was the largest deficit since 2014/15, with the pandemic having a negative impact on revenue and expenditure. Payroll tax continued to be the largest contributor to revenue at 44% and grants & contributions overtook wages & salaries to become the largest component of expenditure with a 34% share.”
Note: 2020 was the first year of the pandemic, which saw extensive closures, including the airport to incoming commercial passenger flights, businesses and more, resulting in the Government providing an increase in grants, such as the ones to assist businesses, as well as unemployment benefits.
Chart extracted from the report:
The deficit will be one of the many considerations the Premier and Finance Ministry professionals will be considering as they prepare the 2022 Budget – which will be delivered on February 25th — which the Premier previously said “will be an extremely difficult budget as we strike the balance required to stabilize public finances, promote economic growth, deliver on our election promises, and provide relief and services for the people of this country.
Keep this arrogant egotistical premier in and watch it keep getting worse.
“grants & contributions overtook wages & salaries to become the largest component of expenditure with a 34% share”
PLP Government giveaways now exceed our bloated civil service as the biggest source of PLP Government expenditure. Unbelievable!
I read that too and didn’t want to comment out of fear getting it wrong. But now that you have, I can’t believe what I just read.
I’m sorry but There is no reason to vote PLP in 2025. * Side note: the next normal election was meant to be this year but now you see why it’s not gonna be this year.
I hope David Burt’s days as Premier are numbered.
Until these supporters take off there blinders, come to realize that DENILE is RIVER. This guy is killing bermuda, only him and FOF benefitting.
Well doctors and unknown entertainers too.
When will the PLP vote out this premier?! Keep in the PLP but get rid of DB! He hasn’t a clue! No plan. Full of dreamer ideas. Can’t count money!!!
The only hope of the PLP has resigned!
18 consecutive years means it began in 2003/04. If I recall that is around the time that Paula Cox became Minister of Finance, followed shortly after by Dr Brown as Premier. Those were also the years when Government revenue exceeded budget, but instead of putting the money into a “rainy day fund”, it was spent, but worse, more money was borrowed. The groundwork was laid for the debt now exceeding $3.5bn, and little to show for it but failing infrastructure. The PLP owns this, and it wasn’t caused by Covid.
“18 consecutive years means it began in 2003/04″
Yes, around the time Dr. Brown ousted the PLP “old guard” to begin a new era in Bermuda