The looming Isle of Man general election has placed the cost of living at the forefront of public discourse, with residents, business operators, and charitable organizations reporting significant financial pressure. Growing the economy has emerged as a critical priority for most candidates as the island faces what experts describe as a challenging period ahead.
In Ramsey, several independent retailers noted a decline in customer traffic alongside rising operational expenses. At a broader level, the Isle of Man Foodbank revealed that demand for its services has doubled over the past two years, highlighting the severity of the issue across the community.
The Isle of Man Chamber of Commerce issued a stark warning, predicting “a very hard five years” due to a contracting tax base and the recent departure of numerous high-earning positions. Consequently, candidates are being urged to outline clear strategies for funding their proposals, bolstering business resilience, and alleviating burdens on working families.
Sharon Cox, a Douglas resident, described daily life as increasingly unaffordable, particularly for elderly and vulnerable populations. She observed that price increases were substantial, often jumping by 25 or 30 pence per item during shop visits rather than incremental changes.
Caitlin Gibson, a mother caring for her young daughter while living with her own mother, stated she was unable to save money or consider moving out. “Everything I earn, which is very little in the first place, is going on my baby,” Gibson explained.
Andrew Cairns, another Douglas resident, cited surging fuel and energy costs as a major concern. He noted that prices were visibly higher month on month, prompting him to consider how households could reduce their expenses.
Business owners echoed these sentiments. Tania Dolores, who has operated a shoe and accessory shop in Ramsey for over a decade, reported that her revenue remained stagnant compared to ten years ago despite significantly higher bills. Similarly, Amy Salter from the Brunch cafe mentioned that rising costs for supplies and energy had forced operational changes since the family business opened three years prior.
Linda Murphy of Oma Sustainable Living pointed to a sharp drop in footfall following the removal of government services from the local Post Office earlier this year. She called for elected officials who understand the importance of small businesses and high streets to local communities.
David Gawne, chairman of the Isle of Man Foodbank, described the charity as a “barometer” for economic health. He revealed that monthly parcels distributed had risen from 200 to 400, noting that 80% of those seeking help were employed full-time yet still could not afford to support their families. Gawne emphasized that many were living on a financial knife-edge, just one missed paycheck away from relying on food banks.
Isle of Man Chamber of Commerce spokesperson Claire Watterson highlighted that the economy contracted by 7.4% in the two years leading to March 2024. She also noted the loss of approximately 1,000 jobs in the export sector, including finance, insurance, and manufacturing, over the last year. Watterson expressed concern over the yet-to-be-quantified impact of artificial intelligence on the workplace and called for the September election to focus on national economic growth and international competitiveness.
A 7.4% contraction is staggering. I wonder if the new government can actually reverse this trend or if it is already too late.
It is alarming that 80% of foodbank users are employed full-time. The economy is failing working people, not just the vulnerable.