People in Guernsey are being warned that they face cuts in services or higher taxes next year. Accountants Pricewaterhouse Coopers has told people in Guernsey to expect higher bills to fill a �45m black hole.
The island will have to find the sum every year after 2008 to make up for corporation tax which will be scrapped.
Meanwhile, Deputy David De Lisle wants assurances from Guernsey States that cuts in services will be a government priority next year.