Guernsey
THE PEOPLE'S DEPUTY FIGHTING FOR
REAL REFORM

Tax Fairness • True Sovereignty • Economic Diversity • Food & Energy Security

David Goy

Key Credentials

  • Full Stack Developer & IT Engineer BEng(Hons), DipIT(Distinction), DipEng(Merit)
  • PhD Researcher (Engineering) University of Sydney, Australia
  • US Patent Holder Vehicle Mgmt & Control System
  • Scholarship Recipient Singapore Government, CSM & ANU

ABOUT DAVID GOY

Elected Member of the States of Guernsey

Technical ExpertPolicy InnovatorFairness Champion

Singapore-trained engineer bringing 20+ years of strategic problem-solving to Guernsey's most pressing challenges.

Married to a Guernsey woman since 2007 and proud father of a young daughter. This island has been good to my family - now, I'm determined to ensure it remains resilient and prosperous for all islanders facing the global uncertainties ahead.

Engineer-led governance built Singapore's miracle. Guernsey deserves that same technical competence.

Urgent Challenges Facing Guernsey:

  • Broken Tax System: Ultra-rich exploit legal loopholes to pay under 5% - often 0% (Through tax-free "loans", capital distributions from opaque trusts, and tax caps)
    Meanwhile: Nurses pay 20% and public services face funding shortages.
  • Housing Crisis: Homes 9-17 times of median salary (Many empty and used as "tax-free wealth storage" by ultra-rich)
    Meanwhile: First-time buyers struggle to save for a deposit.
  • Lack of Foreign Policy Independence: Guernsey follows UK directives without question (e.g., Huawei 5G ban, sanctions, trade rules)
    What We Need: Direct negotiations with other countries and independent policymaking.
  • Overdependence on Finance: 40% of GDP depends on financial services (States of Guernsey 2023 | Vulnerable to global shifts)
    • USD Dependency: Most deals are in USD
      Global USD use declining since 2018 (BIS 2023)
    • SWIFT Vulnerability: Reliant on sanction-prone 52-year-old system
      China's CIPS processes digital yuan at 1/50th of SWIFT cost (PBoC 2023)
    • CBDC Disruption: 134 countries developing Central Bank Digital Currencies (98% of global economy)
      11 CBDCs already live - traditional banking faces major disruption
  • Unprepared for Crisis: No adequate plans for food/energy to weather geopolitical shocks (Compared to Singapore's 3-month food and 2-month energy reserves)
    • Food Vulnerability: 90% import-dependent - repeating WW2-era risks
      No strategic reserves - empty shelves in 6-8 days
    • Energy Dependence: 99% foreign supply - no tidal energy despite strong currents
      Blackout risk within two weeks if cut off
SINGAPORE'S PROVEN SUCCESSES: Blueprints for Small Island Prosperity and Resilience
1

Fair Tax Systems

  • Top 1% pay >20% effective rate vs Guernsey's <5%
  • Closed tax loopholes progressively
  • Still maintains world-class business-friendly reputation
2

Strategic Neutrality

  • Avoids trade sanctions from geopolitical conflicts
  • Attracts global capital seeking stable and neutral jurisdictions
  • Uninterrupted food/energy imports during global conflicts
3

Smart Industrialisation

  • Electronics exports hit USD 104B in 2023
  • Manufacturing creates 2x more jobs than finance
  • Contributes 17-20% of GDP
4

Crisis Preparedness

  • 3-month food reserves (vs our week-long supply)
  • 2-month fuel storage required by law

Let's build a Guernsey that works for its people - fair, resilient, and independent.

REAL SOLUTIONS FOR GUERNSEY

Concrete Policies for a More Secure and Fairer Future

Guernsey loses millions every year to tax avoidance. Government is short of money, while the ultra-rich pay little to no taxes.

"GST should not even be a consideration until the wealthiest pay their fair share."

Fair Share Tax

Tax Loopholes for the Ultra-Rich:

  • Taking "loans" from their own companies to use as spending money (tax-free cash)
  • Labelling trust payouts as "capital" instead of income
  • Overly generous income tax caps for the wealthiest

Solution:

  • Tax justice act to:
    • Target "stealth income" of HNWIs with Guernsey property ties
    • Target trust distributions to HNWI beneficiaries with local property ties
  • Legitimate inheritances and pensions exempt

Vacant Property Levy

Housing Crisis:

  • Many properties sit empty
  • Used as "tax-free wealth storage" by ultra-rich
  • Drives up prices for ordinary islanders

Solution:

  • Monthly levy on homes vacant >6 months...
    • Revenue funds affordable housing
    • Encourage ultra-rich to sell/rent at prices islanders can afford
  • Renovations and legitimate inheritances exempt

UK banned Huawei due to US pressure. Guernsey followed UK and cancelled Huawei 5G - now we're stuck with obsolete 4G/3G. We import 90% of goods but let others decide who we trade with.

A Sovereign Guernsey Needs:

Direct Trade Negotiations

Chart Our Own Economic Course:

  • Establish Guernsey Trade Offices overseas independent of UK
  • Diversify direct imports beyond EU/UK

Strategic Neutrality

No More Automatic Alignment:

  • Opt out of US/UK sanctions that hurt Guernsey
  • Require States debate before foreign policy decisions

Finance sector faces grim prospect. Meanwhile, our airport can't handle cargo planes, limiting new industries.

A Resilient Guernsey Needs:

Alternative Industries

Create new, export-based economy:

  • Financial incentives for new manufacturers
  • Startup incubators
  • Research and development
"Singapore kept finance but grew manufacturing too."

Airport Expansion

Catch Up to Jersey:

  • Extend runway for cargo flights
  • Add direct routes to more countries
  • Attract logistics companies
"Jersey's airport handles 30+ routes. We deserve the same."

In WW2, Guernsey starved when blockaded. Today, we import 90% of our food and 99% of our energy. History will repeat if we don't act.

Survival Plan:

Food Security

Learn from Occupation:

  • Subsidise vertical farms, aquaculture and fishing
  • Incentivise local food production
  • Strategic food reserve

Energy Independence

Keep Island Functioning In Global Crisis:

  • Invest in tidal energy (we have one of the strongest currents in Europe)
  • Explore alternative energy generation
  • Increase strategic energy reserve

QUESTIONS & ANSWERS

TAX FAIRNESS

CLOSING TAX LOOPHOLES

The Fair Share Tax is intended for high-net-worth individuals (HNWIs)...

Applies to: HNWIs with Guernsey property ties
(Own/control property directly or through companies/trusts/third parties)
Does NOT apply to: HNWIs using only financial services
(They're just clients of our finance sector)

Why this distinction?

  • HNWIs with Guernsey property ties benefit from States services and infrastructures
  • They consume scarce island real estate through property hoarding
  • Financial services clients without Guernsey property ties don't create these costs
"Benefit from our island? Contribute to its upkeep."

This is Guernsey's most dangerous myth. The truth about many HNWIs with Guernsey property ties:

  • Minimal local impact: Their wealth sits in a few asset managers who won't hire more staff regardless of portfolio size
  • Zero productivity: They create no exportable goods, no meaningful jobs, and no innovative businesses
  • AI disruption: fund administration tasks are increasingly automated - human jobs are disappearing
  • Housing harm: They hoard properties as "wealth storage," pricing out island families
  • Tax injustice: While the States run short of money and nurses pay 20%, they exploit loopholes to pay little to no taxes

"A healthy economy can't be built on passive wealth storage - it requires fair contributions and active investment in our community."

While often portrayed as economic pillars, many ultra-rich with Guernsey property ties contribute disproportionately little to Guernsey's real economy relative to their wealth and real estate consumption:

❌ Limited Job Creation
  • Just 1,100 jobs in private wealth management (3.4% of workforce)
  • HNWIs themselves create few direct jobs
  • Fund administration increasingly automated (AI replacing 40% of roles by 2030 per PwC)
❌ Harmful Use of Scarce Real Estate to Park Wealth
  • ~780 properties vacant >12 months (Guernsey Housing Survey 2022), many used as wealth storage
  • ~1,200 properties used less than 30 days/year (2023 Housing Affordability Report), many served as seasonal homes for 1-2 people (basically wealth storage)
The Hidden Costs:
Tax Avoidance: HNWIs exploit loopholes to pay effective tax rates below 5% vs. 20% for nurses (Treasury data)
Housing Crisis: 38% of coastal properties vacant year-round (2023 Property Census)
Service Strain: Use roads, healthcare, and infrastructure while contributing little to upkeep
By the Numbers:

£0
Additional tax revenue from 72% of HNWIs using trust/loan schemes

9-17x
Home price-to-income ratio contributed by property hoarding

Key Takeaway: Many HNWIs consume scarce island resources while contributing minimally to productive growth. My Fair Share Tax and Monthly Vacant Property Levy will ensure they pay their way to support Guernsey's real economy.

Guernsey attracts different categories of high-net-worth individuals (HNWIs), each with distinct economic impacts on the island:

1. HNWIs with No Guernsey Property Ties

These individuals do not own property in Guernsey - either personally or through companies/trusts they control. Typically foreign nationals, they primarily utilise Guernsey's financial services.

Economic Impact: They benefit the island by paying fees to the finance sector, which generates taxable income. Since they do not purchase local real estate, they avoid contributing to Guernsey's housing crisis. Consequently, the proposed Monthly Levy on Vacant Properties and the Fair Share Tax will NOT apply to them.
2. HNWIs with Guernsey Property Ties (Often Held Through Companies for Tax Advantages)

These individuals own property in Guernsey, usually held under corporate or trust structures to optimise tax efficiency. Some reside on the island, while others are foreign-based but benefit from property ownership.

Economic Impact: While they contribute fees to Guernsey's finance sector, their accumulation of real estate exacerbates the housing shortage. Many legally pay little to no taxes, making this group the most detrimental to Guernsey's long-term stability.
3. HNWIs with Guernsey Property Ties AND Local Business Operations

Like the second group, they hold property through "tax-efficient" structures. However, they also run legitimate businesses in Guernsey that employ local residents.

Economic Impact: While they still engage in legal tax avoidance and property wealth parking, their presence is partially offset by job creation and financial sector fees. Their net impact is less harmful than the second group due to their contributions to local employment.

In summary, the ideal HNWI for Guernsey would be one who establishes substantial local businesses that create meaningful employment for islanders, while avoiding both property hoarding and socially unjust tax avoidance strategies. Such individuals would fully contribute to the island's economy while bearing their fair share of social responsibilities. However, this balanced combination of attributes remains exceptionally rare in practice.

MONTHLY LEVY ON VACANT PROPERTIES

Roughly 700+ properties in Guernsey are vacant (2024 Guernsey Annual Residential Property Stock Bulletin).

The monthly levy proposal gives owners three clear choices for vacant/underutilized homes (empty >6 months or occupied <30 days/year):

1.
Rent them out at affordable rates
So that the properties are accessible to local families and key foreign workers
2.
Sell at market-realistic or even reduced prices
Increasing housing supply to cool inflated prices and forcing the wider market to lower asking prices to compete
3.
Hold on to the properties and pay the monthly levy
Contributing to States revenue that funds public services and affordable housing
Why This Works:

Every possible outcome benefits Guernsey:
Rented? More people housed
Sold? Market prices stabilise
Held vacant? States gain new revenue stream every month

The Monthly Levy will explicitly exempt properties vacant for verifiable reasons like:

  • Active renovations (with planning permission)
  • Medical absences (hospitalization/care home stays)
  • Probate proceedings (legal process of administering a deceased person's estate)

It targets only intentional wealth storage, identified by:

  1. No occupancy for >6 months and no valid exemption claim
  2. Ownership via trusts/companies

"An independent review panel could be established to hammer out these safeguards. The goal isn't to burden property owners with legitimate reasons for vacancy - it's to free up the 700+ properties currently held as tax-free wealth storage by the ultra rich while protecting legitimate cases."

Official reports show 700+ vacant properties (2024 Guernsey Housing Bulletin. Does not include commercial properties (which are also used for wealth parking). Includes completely vacant residential properties & other unspecified tenure types - likely properties that are only occasionally occupied).

Average home prices are 9-17 times local salaries. The wealthy are the only ones who can afford to buy million-pound properties just to leave them empty or use them as occasional holiday homes - a pattern consistent with the use of property as wealth storage.

Another telltale sign of ultra-wealthy ownership is the deliberate effort to hide who really owns these properties:

  • Many ultra-rich own properties via Guernsey Trusts → Shell Companies → Nominee Directors to hide the real owners
  • Beneficial ownership records aren't fully linked to tax data
  • Trust laws separate legal owners (trustees) from beneficiaries
Why Don't They Just Rent Out Those Properties?

Wealthy investors often park money in empty properties because:

  • They avoid tenant hassles and property management
  • Don't need rental income
  • Want to skip rental income taxes

"A £3M empty home during a housing crisis isn't a mere investment - it's wealth hoarding and tax avoidance. My Monthly Levy targets these schemes while protecting normal homeowners."

TRUE SOVEREIGNTY

Precedents prove it's possible:

  • Jersey maintains independent EU ties post-Brexit
  • Isle of Man sets its own fishing quotas
  • Gibraltar negotiates directly with Spain on border issues

"The UK respects Crown Dependencies that assert reasonable autonomy."

  • Create direct trade offices in key Asian and European countries
  • Most imports currently route through the UK (single-point vulnerability)
  • Priority targets: China, Korea, Japan and ASEAN (manufactured goods/infrastructure development) and EU (agricultural/energy)

  • Lower costs: Cutting UK intermediaries would significantly reduce prices of most imports
  • New industries and jobs: Through partnering with Asian tech/manufacturing firms
  • Supply chain security: Backup plan if UK/EU face disruptions due to geopolitical factors

"A direct partnership with the economic giants of Asia could be Guernsey's key to diversifying beyond finance."

  • Economic survival: As a microstate, we can't afford trade sanctions or financial isolation from either East or West
  • Global business hub: Neutrality attracts wealth (like Singapore's $4T asset management industry)
  • Conflict insulation: Being non-aligned kept Singapore safe through Vietnam War, Cold War, and US-China tensions
  • Food/energy security: Neutral ports remain open during crises to receive vital supplies
  • Sovereign leverage: Small states gain negotiating power by being honest brokers to all sides

"Singapore proves neutrality isn't weakness - it's how small states magnify their influence. Guernsey could become the 'Switzerland of the Channel'."

The evidence tells a clear story: Huawei's security risks were deemed manageable by the UK until the Trump administration threatened.

The UK's own National Cyber Security Centre (NCSC) operated 15 years of rigorous oversight through the Huawei Cyber Security Evaluation Centre. Their 2020 report concluded:

  • Risks were "manageable" with proper safeguards
  • No evidence of Chinese state interference was found
  • No malicious backdoors were detected

The 2020 ban wasn't based on new security findings, but U.S. political pressure and coercion:

  • Trump administration threatened to withdraw intelligence sharing with UK
  • UK officials admitted the decision was triggered by U.S. sanctions, not technical evidence
  • Guernsey blindly followed, leaving us with outdated 4G/3G infrastructure

"Our regime is arguably the toughest and most rigorous oversight regime in the world for Huawei... I would be obliged to report if there was evidence of malevolence... by Huawei. And we're yet to have to do that."

- Ciaran Martin, Head of UK's National Cyber Security Centre
Reuters, February 20, 2019

Guernsey could transform into a strategic logistics hub by leveraging three key advantages: world-class port and airport infrastructure, bonded warehousing facilities, and strategic neutrality. This combination would position the island as a "mini-Singapore in the English Channel" - an ideal midpoint for transshipment between Asia and Europe/UK, particularly for high-value or time-sensitive goods.

Chinese and global logistics firms could utilize Guernsey as a staging post for goods headed to both UK and EU markets. Bonded warehousing would allow goods to be stored without paying import duties or VAT until market decisions are made, while our financial sector could provide complementary trade finance, insurance, and currency services.

Example: Chinese Electronics Company

A smartphone manufacturer in Shenzhen could ship to Guernsey instead of congested European ports. At Guernsey's port, containers would be quickly unloaded with some immediately reloaded onto smaller ships for France and Spain, while others are air-freighted to the UK or Germany. Excess inventory could be stored duty-free in bonded warehouses until distribution decisions are finalized.

The magic happens when our three strategic levers overlap:

  • 🚢 Transshipment - Fast, efficient re-routing hub for cargo
  • 📦 Bonded warehousing - Store goods duty-free until market decision
  • 🌍 Strategic neutrality - Not automatically following US/UK sanctions, remaining open to all partners

This combination would make Guernsey an attractive "safe hub" for Chinese firms looking for faster, more flexible supply chains into Europe, especially if geopolitical tensions result in restrictions elsewhere.

The Result: Instead of merely being a passenger stop between the UK and France, Guernsey would become a global logistics hub generating income from port fees, airport cargo, warehousing, financial services, and creating new employment opportunities.

"Guernsey could become the Singapore of the English Channel - a neutral, efficient hub where global trade and finance converge."

ECONOMIC DIVERSITY

Finance sector faces mounting risks:

  • Geopolitical uncertainty compounded by Guernsey's lack of foreign policy independence
  • Automation has replaced most fund administration - AI will accelerate this trend
  • Dependent on US dollars while global de-dollarisation accelerates
  • Central Bank Digital Currencies (CBDCs) will disrupt traditional banking

We must future-proof Guernsey: While maintaining our finance sector today, we need to develop alternative industries for tomorrow.

FOOD & ENERGY SECURITY

High-tech solutions for small spaces:

  • Vertical farms: 1 acre of vertical farming = 50 acres traditional (Singapore model)
  • Aquaculture: Fish/mussel farms in our territorial waters
  • Emergency stockpile: 3-month reserve of staples (rice, grains, canned goods)

"Food sovereignty is national security. Never forget the lessons of WW2."

Guernsey has untapped tidal potential:

  • Prime location: 5km offshore, tides reach 5m/s (perfect for turbines)
  • More predictable: Compared to solar and wind
  • Energy security: Could implement Singapore's 2-month fuel stockpile as backup

"We pay premium rates for French electricity while ignoring this natural resource on our doorstep."


MORE POLICY IDEAS AND Q&A

Housing Type Quota: A Smarter Approach to Guernsey's Housing Crisis

Guernsey's limited land and soaring housing prices demand bold action. My Housing Type Quota policy proposal will ensure developers build the homes islanders actually need - not just luxury properties. By setting annual, island-wide caps on large homes while mandating affordable flats and mid-sized housing, we can maximise land use, stabilise prices, and give young families a fighting chance to stay in Guernsey. Below, I explain how this flexible, data-driven system works - and why it's the fairest solution for our island's future.

The Housing Type Quota is a smart cap system to guarantee Guernsey gets the right mix of homes each year. Here's how it works:

  1. Annual Island-Wide Caps
    The government sets yearly limits for all developers combined (example for 2026):
    • Max 10% large homes (e.g., 10 of 100 total units)
    • Max 40% medium homes (e.g., 40 units)
    • Minimum 50% affordable flats (e.g., 50 units)
    *Percentages are illustrative and will be adjusted yearly by experts.
  2. Developer-Level Enforcement
    Once the island hits its annual cap for a category (e.g., 10 large homes), no further approvals are granted for that type. Developers must then choose between remaining medium-home or flat quotas.
Why This Works for Guernsey:
Prevents Oversupply of Luxury Homes
Caps stop developers flooding the market with unaffordable properties.
Land Efficiency
50+ affordable flats can house families on land that would otherwise fit just 10 luxury homes.
Real-World Example:

If Developer A builds 8 large homes in Q1 2026:

  • Only 2 large-home slots remain for all other developers that year
  • Developer B must now choose between medium homes or flats for their project
  • Result: Guaranteed diversity of housing types island-wide

Note: Percentages would adapt yearly based on housing needs assessments.

While many countries mandate affordable housing percentages per development, the proposed Housing Type Quota implements a smarter, island-wide system tailored to our unique constraints:

Traditional Affordable Housing Rules Proposed Housing Type Quota
Developer-level mandates
Requires each project to include (e.g.) 20% affordable units
Island-wide caps
Sets annual limits for all developers combined (e.g., max 10% large homes)
Static percentages
Fixed rules that rarely adapt to changing needs
Dynamic balancing
Percentages adjust yearly based on expert housing demand reviews
Luxury-heavy outcomes
Developers still prioritize high-end units in remaining 80%
Strict luxury limits
Hard caps prevent oversupply of unaffordable homes
Land inefficiency
Affordable units tacked onto sprawling developments
Optimized land use
Prioritises affordable housing (e.g. Flats to house 50+ families per acre vs. 10 luxury homes)
Why This Matters for Guernsey:
  • Prevents neighborhood imbalance: Stops luxury home clustering in prime areas like the south end of the island
  • Prevents affordable housing from being an afterthought: Forces developers to view construction of affordable housing as primary task rather than something to tack on at the end of a project
  • Adapts to real needs: If first-time buyers surge, quotas can shift toward more affordable types of housing (e.g. flats)
  • Clear developer signals: No guessing games - firms know exactly what types they can build
Real-World Difference:

Traditional approach: One developer builds 80 luxury homes + 20 affordable units on a plot of land. Another developer can do the same on another plot.

Quota system: Once the island hits its 10% luxury cap, developers must build flats or mid-sized homes regardless of location on the island.

Note: Percentages shown are illustrative and would be set annually by housing experts.

Key Takeaway

The Housing Type Quota replaces piecemeal affordable housing rules with a strategic, island-wide approach that:
1) Guarantees diverse housing options that reflects our diverse population
2) Adapts to Guernsey's changing needs
3) Maximises every square mile of our limited land

Affordable homes will be built - whether our private developers participate or not.

The Ideal Solution: States-Led Construction

Following Singapore's world-renowned HDB model where the government:

  • Directly builds high-quality flats
  • Sells at cost to first-time buyers

(Currently limited by Guernsey's public construction capacity)

The Immediate Path: Incentivising Local Developers

Through the Housing Type Quota system:

  • Priority land access for compliant developers
  • Fast-tracked planning for affordable projects

The Guarantee: Global Alternatives

If local developers won't participate, we'll:

  • Open tenders to qualified international developers
  • Prioritise firms with proven affordable housing experience

"Housing is a fundamental right - not a luxury to be rationed or held hostage by developer profit margins. If our local developers prioritise returns over roofs for their fellow islanders, then government must intervene to protect the people."

GET IN TOUCH WITH ME

Please provide your name.
Please provide a valid email.
Please provide a subject.
Please write your message.

Note: As your Deputy, I'll use your information only to help with your inquiry. Your details will be kept private and secure under Guernsey's data protection laws. I may refer to the issues you bring to my attention in States meetings, but will never share personal details without your consent. Full details are in our Privacy Policy.

You must agree to continue.