The report to the Council of Ministers shows that: bank deposits are up GBP4.8 billion in 12 months to a total of GBP33.89 billion; funds under management in collective investment schemes are up 41% in the same period; and 3,013 job vacancies were reported in the first half of 2005 compared to 2,039 in the second half of 2004.

Economic growth is currently estimated to be running at around 5-6% p.a. and helping keep unemployment at below the 1.5% level it has enjoyed now for some 7 years. Meanwhile inflationary pressures appear to be subsiding. The annual inflation rate at the end of the quarter stood at 3.2%, well down on the peak of 6.4% at the end of 2004 and expected to remain between 3% and 4% for the immediate future.

The report confirms that the economy is generally achieving solid growth, with exceptional growth and prospects in some sectors, including e-commerce.

“The latest figures show that, despite the recent announcement of job losses by one company, the underlying trend in the Island’s economy is strongly positive, with a confident outlook across the sectors. This is confirmed by ongoing feedback to Government from various businesses," observed Treasury Minister Alan Bell.

Mr Bell added that:

“What we have to ensure is that we remain attractive, and enhance our attractiveness, as a location for inward investment in activities that will create new jobs and generate future incomes. With exciting developments in a number of areas of the economy such as fund management, space, and e-business and with strong order books in many parts of the manufacturing sector, we are currently achieving this.

“But we must be forever searching for ways and means for further improvements, be it through ongoing training and retraining of our workforce, the introduction of dynamic commercial legislation, the adjustment of the regulatory burden or through taxation reform. We can never stand still.”