Latest news with #RichardHemans
BBC News
26-06-2025
- Business
- BBC News
Confidence in Guernsey economy growing, survey suggests
Business leaders in Guernsey have more confidence in the economy than six months ago, despite ongoing financial pressures, a survey by the island's Institute of Directors (IoD) than two thirds (67%) of respondents said they expected their costs to increase over the next 12 months, consistent with the last although businesses still plan to invest and hire more staff, their expectations for profits have improved marginally - but remain negative IoD said the survey aimed to build a picture of trends and the impact of changing local and international factors on businesses in the bailiwick. Richard Hemans, the IoD's local lead on the economy, said: "Confidence remains highest in finance and professional services but has fallen in construction and retail."Despite a backdrop of ongoing challenges, it's encouraging to see the continued resilience of Guernsey's businesses, particularly their willingness to maintain investment and employment plans." Mr Hemans said the information would give useful economic data to Guernsey's newly elected Deputies and civil said business leaders wanted to see "strong leadership, bold decisions, and faster action on infrastructure, housing and connectivity" from the new survey highlighted the cost and availability of labour was now the top negative impact for members, overtaking air and sea links, although the latter remained a major concern.
Yahoo
15-05-2025
- Business
- Yahoo
Rental prices 'painful' for average earners
Guernsey's Institute of Directors (IoD) has described the island's rental prices as "painful", leaving little money left over for tenants after paying their rent, food, and bills. It follows the release of the government's Property Prices Bulletin, which shows the average local market rental price was £2,068 a month in the first quarter of 2025. That figure is 1.5% higher than the previous quarter, 8.2% higher than the first quarter of 2024 and 51.7% higher than five years ago. Richard Hemans, the IoD lead on economics, said comparing the figure to the most recent average income data showed renting would cost 55% of a persons salary. Mr Hemans said rental prices had been a "major driver of inflation" in the island and had increased "much faster than in Jersey". "The ongoing strength will continue to put upward pressure on local inflation," he said. "The cost of renting a property in Guernsey has increased by 52% since the pandemic as the population has grown and not enough properties have been built. "The last figures from Q3 2024 show that rental costs consume a painful 55% of earnings, leaving little scope for discretionary spending once essential purchases and taxation is paid." He added: "Given that rental costs have likely outpaced earnings over the last six months, this metric will have deteriorated further." The Property Prices Bulletin also showed the average price for a local market property was £580,412 at the start of the year, 3.2% lower than the first quarter of 2024. "The cost of renting a property is still rising fast, whilst the affordability of ownership is improving although still elevated," said Mr Hemans. "The latest figures confirm what we already know in that we are not building enough homes, which is the key driver of price and affordability pressures. "This has to remain one of the top priorities for the next States and is fundamental to our social and economic prosperity." He said 71 new property units were created over the last 12 months and 527 over the last five years, which was "significantly lower" than the target of 310 units per year, or 1,550 over five years. "Over the last quarter the number of property units fell by five," said Mr Hemans. "This explains why Guernsey house prices will continue to remain high and strong in the context of full employment, robust earnings, falling interest rates and a growing population driven by positive net migration. He added: "The scale of the housing challenge has been recognised, and momentum is building to address the issue, but over the short term this disequilibrium will ensure that prices remain elevated whilst transactions will remain below historic levels." More news stories for Guernsey Listen to the latest news for Guernsey Follow BBC Guernsey on X and Facebook and Instagram. Send your story ideas to Plans submitted for 101 homes near cinema complex Guernsey adds 'one affordable home in two years' Slight drop in Guernsey rent and house prices Guernsey Property Prices Bulletin Institute of Directors
Yahoo
15-05-2025
- Business
- Yahoo
Rental prices 'painful' for average earners
Guernsey's Institute of Directors (IoD) has described the island's rental prices as "painful", leaving little money left over for tenants after paying their rent, food, and bills. It follows the release of the government's Property Prices Bulletin, which shows the average local market rental price was £2,068 a month in the first quarter of 2025. That figure is 1.5% higher than the previous quarter, 8.2% higher than the first quarter of 2024 and 51.7% higher than five years ago. Richard Hemans, the IoD lead on economics, said comparing the figure to the most recent average income data showed renting would cost 55% of a persons salary. Mr Hemans said rental prices had been a "major driver of inflation" in the island and had increased "much faster than in Jersey". "The ongoing strength will continue to put upward pressure on local inflation," he said. "The cost of renting a property in Guernsey has increased by 52% since the pandemic as the population has grown and not enough properties have been built. "The last figures from Q3 2024 show that rental costs consume a painful 55% of earnings, leaving little scope for discretionary spending once essential purchases and taxation is paid." He added: "Given that rental costs have likely outpaced earnings over the last six months, this metric will have deteriorated further." The Property Prices Bulletin also showed the average price for a local market property was £580,412 at the start of the year, 3.2% lower than the first quarter of 2024. "The cost of renting a property is still rising fast, whilst the affordability of ownership is improving although still elevated," said Mr Hemans. "The latest figures confirm what we already know in that we are not building enough homes, which is the key driver of price and affordability pressures. "This has to remain one of the top priorities for the next States and is fundamental to our social and economic prosperity." He said 71 new property units were created over the last 12 months and 527 over the last five years, which was "significantly lower" than the target of 310 units per year, or 1,550 over five years. "Over the last quarter the number of property units fell by five," said Mr Hemans. "This explains why Guernsey house prices will continue to remain high and strong in the context of full employment, robust earnings, falling interest rates and a growing population driven by positive net migration. He added: "The scale of the housing challenge has been recognised, and momentum is building to address the issue, but over the short term this disequilibrium will ensure that prices remain elevated whilst transactions will remain below historic levels." More news stories for Guernsey Listen to the latest news for Guernsey Follow BBC Guernsey on X and Facebook and Instagram. Send your story ideas to Plans submitted for 101 homes near cinema complex Guernsey adds 'one affordable home in two years' Slight drop in Guernsey rent and house prices Guernsey Property Prices Bulletin Institute of Directors
BBC News
15-05-2025
- Business
- BBC News
Rental prices 'painful' for average Guernsey earners
Guernsey's Institute of Directors (IoD) has described the island's rental prices as "painful", leaving little money left over for tenants after paying their rent, food, and follows the release of the government's Property Prices Bulletin, which shows the average local market rental price was £2,068 a month in the first quarter of figure is 1.5% higher than the previous quarter, 8.2% higher than the first quarter of 2024 and 51.7% higher than five years ago. Richard Hemans, the IoD lead on economics, said comparing the figure to the most recent average income data showed renting would cost 55% of a persons salary. Mr Hemans said rental prices had been a "major driver of inflation" in the island and had increased "much faster than in Jersey"."The ongoing strength will continue to put upward pressure on local inflation," he said. "The cost of renting a property in Guernsey has increased by 52% since the pandemic as the population has grown and not enough properties have been built."The last figures from Q3 2024 show that rental costs consume a painful 55% of earnings, leaving little scope for discretionary spending once essential purchases and taxation is paid."He added: "Given that rental costs have likely outpaced earnings over the last six months, this metric will have deteriorated further." 'Not enough homes' The Property Prices Bulletin also showed the average price for a local market property was £580,412 at the start of the year, 3.2% lower than the first quarter of 2024."The cost of renting a property is still rising fast, whilst the affordability of ownership is improving although still elevated," said Mr Hemans."The latest figures confirm what we already know in that we are not building enough homes, which is the key driver of price and affordability pressures. "This has to remain one of the top priorities for the next States and is fundamental to our social and economic prosperity."He said 71 new property units were created over the last 12 months and 527 over the last five years, which was "significantly lower" than the target of 310 units per year, or 1,550 over five years. "Over the last quarter the number of property units fell by five," said Mr Hemans. "This explains why Guernsey house prices will continue to remain high and strong in the context of full employment, robust earnings, falling interest rates and a growing population driven by positive net migration. He added: "The scale of the housing challenge has been recognised, and momentum is building to address the issue, but over the short term this disequilibrium will ensure that prices remain elevated whilst transactions will remain below historic levels."
BBC News
10-05-2025
- Business
- BBC News
Survey to measure confidence in Guernsey's economy launched
A group representing business leaders in Guernsey has launched a third survey to measure how confident people are about the Institute of Directors (IoD) is aiming to gather views ahead of the States Election on 18 asking its members to identify the challenges facing organisations in the last survey, launched in October 2024, showed confidence in Guernsey's economy dropped to a net positive reading of -25%. The IoD's last two surveys showed air and sea links, labour costs and availability, housing and skills shortages were the most prominent its October 2024 survey, business people said they were confident in the revenue of their individual businesses being successful, with an increase of 47% in that survey also showed a net positive reading of -25% confidence in the local economy, which was lower than the -18% result in May percentage was "considerably higher" than the UK which stands at -58%.The Economic Confidence Survey is open only to IoD members until Monday 26 Guernsey's economic lead, Richard Hemans, said: "The third survey will include questions on economic growth, productivity, the fiscal deficit and entrepreneurship, areas expected to feature heavily in policy discussions as candidates set out their manifestos."
