Column: Robinson On Cost Of Living & More
[Opinion column written by MP Dwayne Robinson]
Recently, the Cost of Living Commission Amendment [NO. 2] Act 2026, was delayed for third reading in the Senate. The One Bermuda Alliance understands the intention of the legislation and shares the Government’s goal of lowering the cost of living in Bermuda. However, we think it’s disingenuous to paint that picture that makes it seem as if we do not support lowering the cost of essential goods for the people of Bermuda.
However, we believe this legislation has the potential to do more harm than good for the consumer and will lead to increased cost of doing business, potential job loss, reduced variety or quality of goods and services.
Often in local discourse we have become accustomed to separating the cost of doing business from the cost of living. However, it is the duty of any responsible Government to weigh both these things equally as one begets the other.
How can Bermudians survive the cost of living with limited access to jobs that pay well or limited opportunity for a successful entrepreneurial venture? How can businesses provide well-paying jobs for Bermudians if there are so many barriers to profit due to increasing regulation and red tape siphoning profitability.
The cost of doing business and cost of living is interconnected. In the debate the Progressive Labour Party attempted to separate them. The One Bermuda Alliance believes that you can protect the consumer, add protections for potential price gouging, and ensure that Bermuda is fertile ground for local businesses to thrive.
The amendment brought forward by the PLP will increase the data reporting and regulatory burden on businesses which could present an additional deterrent to enter the grocery, shipping, or any market that falls under this amendment in the future.
Larger entities can spread these new costs but what about the small businesses or new entrepreneurs?
This is why we suggested anti-monopoly laws as a solution instead, which are designed to promote market competition, protect the consumer from price gouging, and prevent larger corporations from engaging in unfair business practices rather than attempt to enter the private sector and try to force prices down without considering the operational reality of running a business in Bermuda.
In our quest to reduce the cost of living, we should not potentially cause a reduction in jobs or opportunities to open businesses for Bermudians. The One Bermuda Alliance does not fight for company profits but for increased opportunities in the local economy, we do not wish to see them potentially reduced.
We see Bermudians forced to compete relentlessly for Insurance and International Business employment opportunities as they present some of the few job opportunities that allow Bermudians to comfortably afford Bermuda’s cost of living. I believe that we should be looking to expand well paying employment opportunities in other sectors of the economy and not make Bermudians clamor over each other to get into one industry. This amendment can potentially stifle additional job creation within various sectors of Bermuda’s economy.
When businesses are struggling, the primary cost they can control is labour. That is usually the first reduction to happen. It is not fear mongering to state clearly the potential risk of Government legislation, in fact it is our duty as the Opposition.
Bermuda is an import-based economy, and we must understand that shipping costs are outside of our direct control. Those costs must be absorbed, and if a business feels it cannot, then it simply will not provide the goods or services.
This Act requires reporting cost increases of essential commodities over 5% and allows the Minster via negative resolution to amend the increase percentage. The Minister, with consultation with the Cost of Living Commission, can designate new essential commodities, making additional goods and services subject to this amendment. This could cause a reduction in variety and quality of goods/ services provided in Bermuda. Businesses may deem it too risky to incur additional costs as they will have additional red tape involved in the pricing of their products or services.
Of course, none of us have a crystal ball so these potential impacts may not happen, and we hope that they do not.
However, the Government dismissing the potential risks is irresponsible and therefore it falls to the Opposition to highlight them and share alternatives.
The One Bermuda Alliance believes that better first steps to address the cost of living in Bermuda would be bringing forward anti-monopoly laws, removing the sugar tax, removing the foreign currency purchasing tax, and empowering the Regulatory Authority with more regulatory teeth.
This is not a debate about pro-business or pro-labour policy. This is about safeguarding the people within our island who together create our economy.
- Dwayne Robinson, One Bermuda Alliance MP for Constituency 30, Southampton East Central
My confusion comes with trying to figure out what the Opposition and what the people in general want the government to do. Every single thing the Minister puts forth to mitigate the increased costs is criticized yet people want the costs to come down.
What would the OBA do to reduce the cost of living? If they have no concrete solutions, they need to quiet down.
“What would the OBA do to reduce the cost of living? If they have no concrete solutions, they need to quiet down.”
You want the Opposition to abandon it constitutional duty?
Not at all but if they want to be taken seriously they need to stop only criticizing and put forth viable solutions.