Dr Hubert Minnis
By KHRISNA VIRGIL
Tribune Staff Reporter
kvirgil@tribunemedia.net
FREE National Movement Leader Dr Hubert Minnis yesterday lashed out at the Christie administration over its proposed new tax to facilitate National Health Insurance.
Calling the government “insensitive”, Dr Minnis said implementing a new tax just one year after the roll-out of Value Added Tax (VAT) would have dire effects on the middle and poor classes.
Dr Minnis further questioned what the first phase of NHI would entail as he expressed doubts that a payroll tax could generate the revenue needed to cover the cost of universal healthcare.
The comments came a day after Health Minister Dr Perry Gomez revealed that financing NHI would likely come from a payroll tax. The Tribune was told that the government was considering a one per cent tax rate.
Dr Minnis said: “Additional taxes will kill some people because in this country there are people who don’t have electricity, people who can’t buy food, people whose homes are in foreclosure and those who simply cannot afford the bare necessities of life.
“I am sure we will see an increase of poverty and a shrinkage of the middle class and our economy. The government should be focusing on taking measures to grow the economy not doing the opposite.”
Leading surgeon and former FNM deputy leader Dr Duane Sands said the next 10 months is simply not enough time to implement NHI.
“Any right thinking individual would embrace NHI and universal healthcare,” Dr Sands said. “I want to make it clear that I support the initiative. However, the questions we have to ask as a country are: what should it look like? What can we afford now? When can we afford it?
“This becomes an issue of prioritisation. If we are true patriots we must arrive at the best solution. Are we truly about nation building?”
Dr Sands said he could not see the decision by the government to implement NHI one year after VAT as a smart move. He said the economy was still under performing and struggling in the face of a heavy debt to Gross Domestic Product ratio.
“It will be very, very hard to sell this idea to Bahamians, who will a year from now still be adjusting to VAT. The PLP likes to say that the FNM’s position is always yes, but not now, while in reality the FNM have certainly in the last 25 years been the movers and shakers of most of the significant development in this country.”
The first phase of NHI is expected to be implemented in January 2016.
Under the previous Christie administration, the Blue Ribbon Commission had decided on a payroll tax of 5.4 per cent to foot the cost of NHI. At the time the commission was formed to lay the groundwork for NHI.
Dr Gomez told parliamentarians on Monday that NHI plans were well underway. He said Sanigest Internacional and the Ministry of Health executed a consultancy agreement which was signed last Monday. It is to provide technical assistance for the implementation of the insurance scheme.
Comments
jackbnimble 9 years, 10 months ago
When since does the fact that there are poor Bahamians out there who cannot afford it ever stopped the Government from taxing our arses off! Get real! It was never about "the poor Bahamian".
Honestman 9 years, 10 months ago
NHI is NOT about improving Health Care in this country.
NHI is about a) creating more large government contracts where a small amount of well connected vested interests can profit and b) the PLP trying to desperately to boost its election prospects by offering something to the masses for free.
The implementation of NHI will further discourage the shrinking working class by burdening hard working Bahamians with another unnecessary tax. It WILL cause the credit rating agencies to downgrade Bahamas still further once it is clear that the country really can't afford the scheme at this time.
We should look to introduce a National Lottery the proceeds from which should be used entirely to improve National Health care in this country. But let's have NO MORE taxation on the hard working and honest working class and NO MORE politicians getting rich through hidden side deals at the expense of the public purse. And finally NO MORE administrations that will do and say anything just to stay in power.
Cas0072 9 years, 10 months ago
For example, the Georgia lottery has funded the pre-k and post high school education for tens of thousands of students to the tune of hundreds of millions of dollars per year. The program is so successful that they continue to expand the eligibility requirements for these scholarships so that they are more inclusive. People will continue to buy numbers whether the Christian Council likes or not. Why not make it beneficial for some in our community?
ted4bz 9 years, 10 months ago
With these guys in charge, to me "death is better than taxes". With them at the helm most of us are dead any-which-ways. Speak for yourself cronies, you don't speak for me.
Cas0072 9 years, 10 months ago
I have always personally believed that we should implement taxes to improve and maintain infrastructure and to expand our social services capabilities. To propose this level of taxation, plus VAT, with no added benefits for the middle class is indeed sad. Even the people who are accustomed to using health and other services for free won't see the benefit since they are already accustomed to free or the bare minimum. My fear is that soon it will be more beneficial for a person to not work on the books for fear of having their wages "garnished" for services that they may never require.
The US system is currently as such, that if you are not rich, it is more beneficial to be officially poor than to be middle class. Perhaps we need a flat income tax of say 10% that is then proportionately allocated and added to the additional allocated resources of each ministry. This would mean that the government ministries are then tasked with the challenge of meeting their budgets, cutting wasteful spending, and otherwise being held accountable for any shortfalls. For the MOH, this may mean going after some for monies due and writing off others. There just has to be a better way.
Honestman 9 years, 10 months ago
There is a better way but it requires the country to identify and enlist leaders who love their country more than they love their bank balance and the trappings of power. Honesty and Transparency is what The Bahamas needs in government. Unfortunately, we have neither.
Cas0072 9 years, 10 months ago
I agree, but at the same time, the voting populace needs to be properly engaged and not vote for people based on personality and other factors that are irrelevant to the issues that matter. How a politician intends on addressing real and pertinent issues is key to holding them accountable. I believe that even the most sincere politician can be swayed away from their goals, when their voice is constantly silenced and they can easily see the benefit of being onboard with the politicians for profit crew.
DEDDIE 9 years, 10 months ago
The cost of private insurance is brutally high. I am actually prepared to pay a couple of extra dollars so that my family and I could have insurance.
birdiestrachan 9 years, 10 months ago
There is a real need for the Bahamian People to do their very best to avoid the causes of high blood and sugar (I can not spell diabeties) It will do much to lower the cost of health care. Even as I know some of these conditions are passed down from generation to generation.
DillyTree 9 years, 9 months ago
birdiestrachan and I tend not to agree very often, but she makes an excellent point. Our healthcare system should be more about prevention than treating. Thousands of Bahamians are overweight, have high blood pressure, suffer from diabetes and a host of other ailments that, in many cases, can be avoided with eating healthy, exercise and looking after ourselves.
While we all get sick at some time or another, I think more people will get even sicker with yet another tax to pay -- when we are getting so little back in return as it is!
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