Cole Simons, the One Bermuda Alliance leader, has accused the Government of being “detached from reality” in the wake of three damning economic reports.

Mr Simons asked what planet Cabinet ministers were living on when they predicted economic growth of up to 4.5 per cent, when the World Bank is warning of a global recession.

He was speaking after a study by Narrative Research Bermuda showed that consumer confidence had slumped to its lowest level since the first wave of the Covid-19 pandemic in June 2020.

Another report from the firm found 71 per cent of people questioned said they had been going without or cutting back because of the cost of living crisis.

While 60 per cent of people said paying for their retirement was a financial concern, with 42 per cent citing health insurance costs and 54 per cent naming being able to buy healthy food as a worry.

A survey by the Chamber of Commerce revealed that just one third of businesses are confident in Bermuda’s economic future.

Mr Simons said: “It is time for the Government to take a good hard look at reality and get serious about doing something about it.

“The Minister of Economy and Labour, Jason Hayward, stated that he sees Bermuda’s economy as positive.

“Clearly, Mr Hayward is looking through rose-coloured glasses as the Business Barometer Survey, the World Bank and the International Monetary Fund paints a vastly different picture for 2023 economy.

“There is a definite disconnect between what the minister sees and respected global financial institutions.

“The minister stated that he expects an economic growth of 2.5 per cent to 4.5 per cent for Bermuda in 2022-23.

“What universe is he living in when the head of the International Monetary Fund said that we should expect one third of the global economy to be in a recession in 2023?

“In addition, just days ago, the World Bank also confirmed their expectation of a recession.”

Mr Simons expressed concern about the impact of prices on people.

“There has been a steady decline in consumer confidence over the past two years, with people fearing not being able to afford health insurance, buy healthy food or pay for their retirement.

“While on retirement, let us not forget the underfunded position of our government pensions which is in the billions of dollars.

“Due to the cost of living increases, 71 per cent of people surveyed say they are now going without or have had to buy less to survive.

“And sadly, the number of applications for financial assistance continues to grow at an unsustainable rate, as more than 2,250 people now depend on Government for financial assistance.”

Mr Simons warned it was time for the Government to realise its economic recovery plan was not delivering.

“Only one third of businesses are confident in Bermuda’s economic future.

“Their biggest concern is the cost of doing business and supply chain issues, which are reported to have significantly worsened in the last 12 months.

“While three quarters of respondents stated that their business premises costs have increased, one fifth state that they anticipate moving in the coming year.

“We note that by far, reduced profit is the greatest impact experienced by businesses because of rising inflation.

“While the Government has its economic recovery plan – the communication of its content is extremely poor among businesses.

“Only 41 per cent of those surveyed are aware of the plan, and of that 41 per cent – 82 per cent are neither supportive, somewhat unsupportive, extremely unsupportive of it.

“Two years ago, when the PLP crafted their economic recovery plan, they boasted some 29 initiatives – in 2023, with our economy failing, 80 per cent of the plan has not materialised.”