Aug 31 - Government And Opposition Set To Clash Over Public Debt Motions
The Opposition is set to clash with the Government once again over the definition of public debt.
Roy Clinton, the GSD’s spokesperson on Public Finances, gave notice that he proposes to move the following motion at the next meeting of Parliament:
“This House notes that section 73 (1) of the Gibraltar Constitution Order 2006 defines public debt as “all debt charges for which Gibraltar is liable.
“This House further notes that under the Public Finance (Borrowing Powers) Act public debt is further defined as “any borrowing of money by the Government.
“This House thus considers and Resolves that borrowings by Government owned and controlled companies for Government purposes, whether secured on public assets or unsecured, should thus be considered and included in the measure of public debt and audited by the Principal Auditor as ultimately Gibraltar is liable in the event of any default.”
The Chief Minister, Fabian Picardo, swiftly replied by writing to the Speaker of the Parliament giving notice of a Motion which he intends to move as a Government Motion at the resumed meeting of the Parliament next month and which is identical to Mr Clinton’s motion apart from the final paragraph:
"This House notes that section 73 (1) of the Gibraltar Constitution Order 2006 defines public debt as “all debt charges for which Gibraltar is liable”.
This House further notes that under the Public Finance (Borrowing Powers) Act public debt is further defined as “any borrowing of money by the Government”.
This House thus endorses the practice established under the former GSD Administration under both the 1969 and 2006 Constitutions that borrowings by Government owned and controlled companies, are not considered and included in the measure of public debt."
{fcomment}
