Minister stands by consultation on new fees

| 02/09/2024 | 23 Comments
Deputy Premier André Ebanks

(CNS): Financial Services André Ebanks is standing by his decision to engage local financial institutions in a consultation over proposed fee hikes next year. Premier Juliana O’Connor-Connolly has claimed that she was not aware of a proposal to implement a $200,000 annual fee on the Credit Union, among other financial institutions. However, Ebanks has said that his ministry was following the government’s budget policy statement by exploring proposed fee changes.

“This is being done in consultation with most financial services entities, including the Credit Union,” Ebanks said in a statement issued Friday evening. “When the Cayman Islands Government’s 2024/2025 Budget was approved by Parliament in December last year, it included a budget policy statement that gave all Ministries a broad mandate to review all current fees and consider new revenue.”

He said that this was to help the government meet its budgetary needs next year.

“It was expected that many fees would be considered that derive from financial services, including Cayman Islands Monetary Authority licence fees — those that might be suitable for an increase, as well as potential new fees. The Ministry for Financial Services and Commerce is therefore supporting Government’s budget policy statement by exploring proposed fee changes,” he added.

Ebanks said no formal action to change fees has been taken.

“The consultation process is designed to give stakeholders input into the recommendations that the Ministry prepares. I will then present analysis and recommendations to Caucus. Per standard procedures, Caucus will then decide which revenue measure recommendations to support. Caucus’ recommendations then advance to Cabinet for formal approval; and again, in line with standard procedures, any necessary amendment bills will be presented, debated and considered by Parliament for passage,” the minister explained.

“I appreciate all feedback that has been shared to date, including by the Credit Union. I also ask all stakeholders to continue providing feedback so that the Ministry can develop well-informed analysis in the overall best interests of the country,” Ebanks added.

Following the backlash from the Credit Union and public comments from the institution that imposing a fee on the bank would threaten its “foundational principles and financial stability”, the premier called into a radio show last week stating that she did not support introducing a fee on the civil servants’ financial organisation and that it would not make it to Cabinet.

The incident has served to further highlight the significant differences that now exist among the current Cabinet and caucus members of the UPM. Less than six months before the start of the official election campaign, the United People’s Movement is looking far from united.


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Category: Business, Financial Services, Politics

Comments (23)

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  1. Anonymous says:

    i have a dream,,,that one day cig will implement just one recommendation of miller shaw or e&y reports.
    i have a dream….that one day cig will announce plans curb uncontrolled spending and expansion of the civil service.

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  2. Anonymous says:

    how about attempting to tackle out-of-contril cig spending????…then you won’t have to invent new stealth taxes on people and businesses!
    just another day in wonderland…..zzzzzzzzzz

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  3. Anonymous says:

    tax and spend…recipe for economic disaster.

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  4. Anonymous says:

    It doesn’t take a rocket scientist to know that the UPM is not united. They are a group of individuals who all have different agendas called me, myself and I.
    People are forgetting the level of debt that increased under their leadership PACT/UPM and their spending is out of control so they have to raise fees.
    They want to raise fees versus addressing the cost of living. They want to raise fees instead of controlling spending.
    They want to raise fees versus getting people off NAU and in jobs
    They want to raise fees yet they just spent $45million purchasing land and raiding the environmental protection fund in some instances
    I could keep going but you all catch my drift.
    Could the Auditor General please get the financial results of the various ministries in the public domain this year so that people can hoping make an informed vote next April.

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  5. Anonymous says:

    Can someone do something about the ridiculous fees charged by local consumer banks? You can’t shop around, as every bank levies stupidly expensive fees on different areas.

    The charges to use debit and credit cards in an ever increasingly digitized economy are nuts.

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  6. Anonymous says:

    clearly JuJu dont even understand how the process works SMH

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    • Anonymous says:

      Vote Juju out!

      She is the Finance Minister that does not under sound fiscal management processes and views the role as an open check book for the Brac.

      She is worse than McKeeva as Finance Minster easily the worst in our history

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  7. Anonymous says:

    This bit here: “He said that this was to help the government meet its budgetary needs next year.”

    Andre, please don’t become part of the circus. Stand up for the “Honourable” man you really are and speak up against your colleagues.

    If you need more money stop milking everybody else and look closer to home at ministerial overspending and whimsical conflicted projects against public wishes which in itself brings in a careful balancing obligation on the public purse, which they all seem to think is pocket money. Stop the “friends and family” perks and major conflicts. Stop them from fleecing us and ruining Cayman’s legacy.

    Then look at spending policies, conflicts and inefficiencies in government generally. Teach them to aim to come in under budget instead of consistently over it.

    This would in turn lead to MASSIVE savings that could pay off debts, bonds and other liabilities and actually result in a real and genuine surplus. Then it would be really nice if government could reward the public by actually reducing duties and fees and helping to bring the high COLA down for everyone.

    Continuing with current fee practices is unsustainable and untenable. It’s time Ministers and CIG were more accountable to the public and the public purse for their massive failings. These failings will be the downfall and perpetual embarrassment of every government until fixed. No wonder we keep ending up on the grey list.

    You Andre, of all people done know this already. Speak up.

    Sorry… rant over!

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  8. Truth says:

    More taxes(called fees here) needed because they have already spent everything on?????

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  9. Anonymous says:

    Andre is playing politics. No mature Govt seeks detailed public input on fiscal matters. The consultation paper was put out by Andre mainly for political consumption….to test where loyalties lie.

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  10. Anonymous says:

    Please, Minister, do not be so amateurish. Even at the level of consultation, you need to ask the Cabinet first to say if they are comfortable with the proposed fees going public. You have no clue how the government is supposed to operate.

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  11. Anonymous says:

    Bye Bye Andre

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  12. Anonymous says:

    Yet ANOTHER example of the country being run to serve the civil service rather than the civil service being operated to serve the country.

    It has passed beyond unacceptable, through unconscionable, and into the absurd.

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  13. Anonymous says:

    Time to man up and distance yourself from these buffoons Andre.

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    • Anonymous says:

      Wasn’t Andre with a different group and blindsided and abandoned them without even an explanation. Perhaps he should repay the monetary funding that he allegedly received from them before and during the election. Ever heard the saying ” spit in the sky it falls in your face”

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  14. Anonymous says:

    hmmm….who do you believe? Juju or Andre? hmmmmm….

    • Anonymous says:

      Neither!

    • Anonymous says:

      I mean… Andre… duh, he’s not the best but as far as i can remember he has never bailed on a cabinet meeting so he can protests against “the gays like Juju has done.

      which is another question, why can i be fired as a government employee for being involved in a protests but the the ministers i work for can be out there with megaphones going to town?

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  15. Anonymous says:

    CIG charging fees to CIG.

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  16. Anonymous says:

    Somebody has to pay for Judasanna’s excessive spending and Kennef’s referendum.

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  17. Anonymous says:

    Nothing wrong with Andre considering fee hikes and new revenue streams. If the $200,000 annual fee for the Credit Union is going to be controversial and voted down, then it will not be proceeded with.

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  18. Anonymous says:

    But as we have this huge surplus, why do they need to increase fees? How about getting our electric bills down Mr Bead Rubber

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