GSD Questions Government’s Retail Sales Claims Following Treaty

The GSD has questioned the Government’s claims that local traders have seen a strong increase in sales since the Treaty came into effect.

The Opposition says it has received different feedback from some retailers and is calling on the Government to publish more details behind the figures it has shared.

A statement from the GSD follows below:

The GSD notes the Chief Minister's claims of a "strong increase in sales" since the Treaty came into  effect. However, these statements are at odds with the anecdotal evidence being reported to the GSD  by retailers across Gibraltar, who say they have yet to see any meaningful increase in customer  numbers or year-on-year sales. 

The Government should publish the data on which its claims are based. How many businesses were  consulted? Which sectors do they represent? Are these isolated examples being presented as the  overall picture? 

The Government has also highlighted increased Transaction Tax receipts. It should be remembered  that Transaction Tax has replaced the previous import duty system of 0%, 3%, 6% and 12% with a flat  rate of 15% across the board. Higher tax receipts alone do not of themselves show higher sales  volumes or increased economic activity. 

Craig Sacarello, Shadow Minister for Business, stated, "Rather than relying on what could be selective  figures in an effort to promote optimistic headlines, the Government should publish the full evidence  on which its statement has been made. This way, traders and the public can properly judge whether  the benefits being claimed are genuinely being felt across Gibraltar's retail sector and are not solely  based on Government spin, so we can all share in the Government’s optimism.”