FOD manifesto: pension tax breaks, tougher rules for late govt payments

The Friends of Democracy (FOD) political party has unveiled a comprehensive policy platform targeting systemic inequities in Barbados’ public financial systems, featuring significant tax relief for retirees and stringent accountability measures for government payment delays. Party President Karina Goodridge presented the proposals during Sunday’s manifesto launch at Bush Hall, St Michael, framing them as essential corrections to what she termed “long-standing unfairness” in state-citizen relations.

Central to the FOD’s 2026 election platform is a groundbreaking policy that would impose interest penalties on government entities for delayed payments to citizens and businesses. This measure would apply to outstanding pension payments, gratuities for public servants, vendor and contractor invoices, tax refunds, and National Insurance Scheme reimbursements. Goodridge emphasized the principle of reciprocal accountability, stating that equitable repayment practices must govern both citizens and government institutions.

In a major welfare initiative, the party proposed exempting 67% of all pension income from taxation, characterizing this as a “golden handshake” for retirees who have contributed decades of service to Barbados’ development. The policy aims to ensure that retirement years remain financially secure rather than burdened by taxation.

Land tax reform constitutes another pillar of the FOD platform, with presidential advisor Jason Bowen outlining four key objectives: protecting vulnerable homeowners from property loss due to tax burdens, stimulating housing market activity, encouraging land development, and ensuring commercial entities bear their fair tax share. Bowen simultaneously called for eliminating the solid waste tax on properties not connected to sewage treatment systems, arguing that charging for unavailable services constitutes fundamental injustice.

Additionally, the party proposes replacing the 17.5% Value Added Tax on imported food with a 16% Point of Entry Goods Levy collected at ports, a measure positioned as a cost-of-living reduction strategy for Barbadian consumers. Collectively, these proposals represent the FOD’s vision for establishing what they describe as “mutual respect and accountability” between government and citizens.