This year's budget for the Isle of Man aims to continue growing its economy and help all areas of the community.
Treasury Minister Alf Cannan MHK spoke in Tynwald parliament today to deliver objectives, such as an increase to personal income tax allowance, a rise in child benefits, £5.5 million pounds funding for Health and Social Care and increasing the number of jobs across all sectors.
Support for working families and improving circumstances of those on low incomes was also highlighted.
Total Government spending projected for 2018-19 equates to around £12,667 per head for every man, woman and child of the island’s population.
IOM Budget 2018-19 at a glance:
- An increase to the personal income tax allowance of £750 to £13,250, lifting 1,700 people out of the tax net.
- Taxpayers will be up to £150 better off, or up to £300 better off for a married couple.
- Child Benefit to rise by 3.3%, building on last year which saw the first increase in Child Benefit payments for seven years.
- An additional £5.5 million for Health and Social Care services.
- An extension to tax relief on nursing expenses to include physiotherapy.
- A five-year capital investment programme of £428 million, including a replacement Castle Rushen High School, an extension to QEII’s Science and Technology block and a national glens and footpaths improvement programme.
- Continuation of the £50 million Enterprise Development Fund and a £4.2 million business support package to aid economic growth.
- A further 10% increase in the rate of the nursing care contribution.
- The introduction of new pension freedoms.
- Pension triviality limit increased to £100,000.
- Continuation of 1% cap on the budget for Government staff pay awards for 2018/19, rising to 2% from 2019/20 allocated on the basis of need
- Basic state pension to rise by 3%.
- A range of other benefits to increase by 3.3%.
- A top up of £1 million for the Brexit Fund, for the continued negotiations arising from the UK’s departure from the EU.
- The benefit in kind incentive to encourage cycling to work to be extended to include electric bikes.