Tourism bosses in Herm say the cost of running the island is "very difficult".
Reflecting on the recent tourist season, Herm's marketing and PR manager, Kate Moody, said there was an ongoing issue with the cost of running the island.
She said hospitality had "taken a knock" since the Covid pandemic, adding people were "watching their money" at the moment.
Tom Jones, head of hospitality in Herm, said the cost of running Herm was continuing to rise.
Ms Moody said: "It's a very difficult island to run in the current climate, we're very concerned about the introduction of GST, putting extra pressure on us, minimum wage has gone up ... it's a hard task to try and make it wipe its feet really."
"In terms of you know people's satisfaction and the quality of the service and we've had some fantastic feedback at the hotel and at the cottages," she added.
Ms Moody said moving forward the aim would be to reach new audiences and look at the French market.