Chief Minister Allan Bell MHK has announced proposals for a £50 million Enterprise Development Fund to support the growth of new business and new jobs for the Island.
The scheme is the centrepiece of a new ‘Enterprise Isle’ package of initiatives to boost the economy, increase inward investment and grow the working population, outlined by Mr Bell in Tynwald today.
The package also includes new tax incentives and changes in financial regulation, land use, work permits, and online services for business.
The Chief Minister told Members that entrepreneurs and innovators are the engine room of the economy, creating jobs and generating revenue to support public services. However bank lending to local businesses has reduced by more than half since 2009, and economic competition is now intensifying, from the United Kingdom and elsewhere.
‘Our plan will create an environment that nurtures entrepreneurs and innovation, and targets investment that drives growth’,
he declared.
Mr Bell said that despite continuing economic growth and a low unemployment rate, total numbers in employment have dropped over the past three years by 775, or two per cent of the workforce.
To support the ageing population and the mounting costs of pensions, health and care, it would be necessary to reverse this trend and increase the Island’s economically active population by 500 to 1,000 people a year.
Summing up the Enterprise Isle package, the Chief Minister said:
‘This plan is designed to accelerate the work we are already doing. It will provide a legacy for jobs creation and opportunity for all. It will help secure the quality of life we treasure so highly and will ensure that the Isle of Man will live up to its credentials as a place ‘Where You Can.’
Mr Bell also set out the Government’s broad plan to ensure future fiscal sustainability by addressing the three major areas of Government spending in health and social care, welfare and state pensions.
The announcements were made in a speech to Tynwald which set out Government’s priorities for the remainder of its term of office and beyond.
The Chief Minister told Tynwald:
‘We remain committed to our three core aims – growing the economy, balancing the budget and protecting the vulnerable. Our plan for growth provides a stable platform on which we can create further investment in our Island and jobs for our people. It takes us towards long term financial security and sustainable public services. It reaffirms our commitment to supporting the most vulnerable in our society. And it clearly states that the Isle of Man is open for business.’