Isle of Man businesses call for 'vital support' as costs soar

Manx businesses need "vital support" from the government amid a "cost of doing business crisis", the Isle of Man's chamber of commerce has said.

In a open letter, the lobby group said all sectors were struggling with rising energy costs, inflation and interest rates, and needed help "right now".

Gas prices are to rise 43.9% next month and inflation is at a record high.

The Manx government is set to reveal a package of support this week aimed at reducing the impact of rising bills.

Ahead of the announcement, several food businesses on the island have said they will have to close as a result of soaring costs.

Close Leece Farm Shop and Café in Patrick told its customers it would shut on 4 September due to "spiralling costs and changing customer habits" coupled the impact of the coronavirus pandemic.

Elsewhere, Épernay restaurant on North Quay in Douglas announced it would close for the "foreseeable future due to current trading circumstances".

The chamber of commerce, which represents more than 500 companies on the island, said although high costs were affecting the "whole community", the government needed to do more to help businesses.

It has called for specific support aimed at workers who are not on benefits but face the "same pressure on bills, but with less disposable income", as well as a cap on shipping costs, and the provision of more affordable housing,

The body also wants to see a further relaxation of visa requirements and greater efforts to encourage people back into the workforce due to "serious" labour shortages.

Other requests include a call for a full independent review of the Isle of Man government's Living Wage after a mistake was discovered in its calculation.

The chamber said this came as a "shock" to members, and had "fuelled unnecessary inflation".

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