GST threshold
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WQ.329/2025
WRITTEN QUESTION TO THE MINISTER FOR TREASURY AND RESOURCES
BY DEPUTY M.B. ANDREWS OF ST HELIER NORTH
QUESTION SUBMITTED ON MONDAY 15th SEPTEMBER 2025 ANSWER TO BE TABLED ON MONDAY 22nd SEPTEMBER 2025
Question
"Will the Minister state when the GST business registration threshold (currently £300,000) was last reviewed and advise whether a review is currently underway or is being considered; and if so, will she indicate when the outcome of that review will be available?"
Answer
The GST registration threshold was introduced in 2008. At that time, the decision was taken to introduce the threshold at a purposefully high level so that it did not need to be habitually increased.
The £300,000 figure remains exceptionally high by international standards. For example, the VAT registration threshold is £90,000 in the UK. Research suggests that only Singapore has a higher threshold, but its tax rate of 9% is also higher.
Many businesses find it advantageous to be voluntarily registered, not least because it means they can reclaim the GST they pay on purchases, and it enables quicker transits via Customs for their imports.
The Minister considers the full range of options available each year for the Budget. The case for increasing the GST registration threshold was specifically considered earlier in 2025.
Although not a formal review, the Minister concluded that the threshold is set at an appropriate level, which helps keep the rate at 5% and ensures the GST regime aligns with the published tax policy principles of low, broad and simple.
On that basis, there are no current plans to further review the figure.