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A Budget of Confidence INCOME £1,039.8M Spending £1,037.8M

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A Budget of Confidence INCOME £1,039.8M Spending £1,037.8M Personal Tax allowance Isle of Man Child Benefit Rates (£) £25 £22.60 £21.50 2019 £14,000 £20.80 £20.40 2018 £13,250 budg£t £14.90 £14.20 £12,500 £13.75 2017 £13.50 2016 £10,500 £9,500 2015 £0 0 £3,500 £7,000 £10,500 £14,000 2016-2017 2017-2018 2018-2019 2019-2020 2019-20 Rate for 1st or only child £pw rate for additional child(ren) £pw A budget of confidence INCOME £1,039.8m spending £1,037.8m Fees, charges and employee pension Health & Environment, Food Other income contributions Social Care & Agriculture £132.6m £26.8m £276.7m (+£5.2m) £20.6m (+£1.1m) Value added tax Other Customs V.A.T and Excise Revenue education, sport Government Grants £287.2m £93.3m and culture and Reserves £118.8m (+£7.3m) £13.4m (+£4.3m) Resident Income Tax Company Tax £198.9m £12.3m Infrastructure, Home Affairs, including Non-Resident Tax national Insurance including roads, ports, Police, Prison and on social social housing, buses, Probation, and Fire and £19.3m £269.4m trains and trams Rescue Service Chips Cafe S HOP £124.6m (+£5.4m) £38.7m (+£4.4m) Select Capital projects OPTIC Tax, Benefits and Enterprise, including TT, Financial Governance business support and air Administration and ship registries media Douglas Prom Communities, Glens The Douglas Promenade More investment will be made to (+£0.3m) Refurbishment scheme will step up maintain and improve our glens and £24.6m (+£0.9m) £26.7m a gear over the coming months, with footpaths. more than £10m forecast to be spent on this major capital scheme. fibre optic network OPTIC A commitment to improve our Wildlife Park communications network will see £2m The Curraghs Wildlife Park is set allocated for spending on fibre-optic Pension Expenditure * Other Government to be redeveloped, with £497,000 connectivity. funded by employee Boards committed to modernising the facility. contributions mayfield, ramsey @iomgovernment Chips Cafe S HOP Peel east quay £3.8m is committed over the coming £33m (+£1.9m) East Quay in Peel is set to be year to progress Mayfield Sheltered £26.8m (+£2.7m) reconstructed in a major capital project Housing scheme in Ramsey. • Attorney General’s Chambers £5.4m forecast to cost £2.4m. regional sewage works •General Registry £4.9m castle rushen school Work will progress in refurbishing Social Security Construction is due to start on a new regional sewage treatment works in •Manx National Heritage £5.5m Benefits and Payments high school in Castletown, with £2.3m Peel, Laxey and Baldrine, with £3.5m 13 •Legislature £4.9m due to be spent during the next year. committed over the next financial (+£13m) year. £301.9m •Financial Services Authority £6.2m HERITAGE RAILWAYS 13 Investment in the Island’s heritage JURBY DEVELOPMENT •Gambling Supervision Commission railways is set to total £24m over the £1.75m is allocated to the Jurby £1.2m Cabinet Office next five years. Development Initiative, where small •Other Agencies & Boards £4.9m iomgovernment industrial units are planned alongside Highway improvements £48m will be committed over five years housing, community facilities and £32m (no change) to improving roads around the Island. landscaping. Number of Registered Unemployed people has Capital Budget has been raised to £129m Income Tax over the Past Five Years Fallen from September 2016 to December 2018 129.7M 1000 £250m 116.8M 232.9M 232.7M 800 #iombudget2019 92.6M 88.4M £200m 216.8M 203M 199.5M 73.5M 72.9M 600 £150m 400 £100m 200 0 0 0 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 Sep - 16 DEC- 16 MAr - 17 JUN - 17 Sep - 17 DEC - 17 Mar - 18 JUN - 18 Sep - 18 DEC - 18 (Forecast) FEBRUARY 22-28 2019 BuDGET 2019 Unemployed Unemployed 12 Month Moving Average Case studies: HOW THIS YEAR’S BUDGET will make a difference Co-habiting couple with one child aged 15 Single parent with Couple with two one has full-time job, other in two school-age school-age children Couple over State receipt of Child Benefit only. children paying mortgage interest Pension Age paying mortgage interest Income: Income: Income: Income: £20,000 a year £75,000 a year, plus Child Benefit , plus Child Benefit at reduced rate as they earn more than (from pensions Will pay £75.04 less tax/NI over a £45,000 a year £100,000 a year £50,000 and investment income) year, taking home £1.44 more each A £94 increase in Child Benefit will week. The couple’s joint income will help them become £171.24 better Will be £335.44 better off over a Will pay £300 less tax over a year, also increase by £57 a year/£1.10 a off over the year. Weekly take year, taking home £6.92 more each collecting £5.77 more each week. week. week due to the increase in Child home pay will rise by £5.09. Benefit. Couple with no Single person with Single person, Single person with Single person over children no children Full Feature no children paying mortgage interest and self-employed with State Pension Age mortgage interest of £6,000 a nursing home fees for year no children Income: Income: elderly relative Income: Income: (minimum wage) £15,103 a year £25,000 a year Income: £33,000 a year £18,000 a year Will be better off over a £115.04 Will be £150 better off over a year, £110,000 a year Will be better off over a £194.04 Will pay less tax and year and weekly take home pay will taking home £2.88 more each year, taking home an extra a £75 £29.12 Will be better off £3.66 less NI over a year. rise by £2.21. week. £380.08 week. over a year, taking home £7.30 what it means for you Inside today a week more. A budget of confidence he Isle of Man’s solid financial foundations and its ability to Tmeet the challenges ahead were the key themes when Treasury Minister Alfred Cannan MHK deliv- ered the Isle of Man Government’s 2019 Budget in Tynwald on Tuesday (19 February). Mr Cannan highlighted a package of measures designed to support working families, to target fur- ther job growth, to invest in vital infrastructure and to strengthen frontline public services, with a particular focus on policing and healthcare. LIVERPOOL While acknowledging the ongoing uncertainty around Brexit, Mr Cannan said: ‘We have solid foundations on which we can adapt to meet our challenges. In a year that promises international political and economic turbulence, this Budget provides a platform for confidence in our Island and the future.’ The Minister revealed the Isle of Man Government’s accounts are forecasting a surplus of £28m in OPTIC the current year — representing an increase of £18m on the budgeted amount — and that Treasury’s five- year financial plan designed to re- duce reliance on reserves remains This will mean more than 1,550 take place over the next five years, benefit from an additional £12m, in- This year’s Budget supports on target. people will be lifted out of the aimed at delivering focussed invest- cluding £2.5m to be used to support working families, invests In addition to higher than expected income tax net. ment for the benefit of the Island policing in the community. in vital infrastructure income tax receipts, spending on The cost of the measures will be and its residents. Mr Cannan said: ‘The safety and and strengthening public employment-related welfare support £6.2m and maintains the current Addressing the needs of business, security that we enjoy are precious, services, and introduces has been significantly lower than measures to stimulate job administration’s commitment to Mr Cannan announced a National but we must not take them for growth anticipated, as a result of continued support hardworking families. Insurance Holiday Scheme designed granted. Neighbourhood policing low unemployment and business Above inflation increases are also to attract workers, support firms will be redesigned and modernised, growth. applied to Child Benefit, Employed aiming to recruit employees and with extra officers being provided A total of 439 new taxpayers have Persons’ Allowance, Maternity Pay- increase the working population - a to tackle offending and anti-social been added to the workforce during ments and Disability Premiums. key objective of the current admin- behaviour across the Island. It will the past year, while 73 employers A total of £1.5m has been ring- istration. also provide more effective support have registered with the Income Tax fenced while proposals to help par- Business will also be boosted by to vulnerable people.’ Division. ents supporting children in higher £6m for related support schemes This year’s Budget recognises Referencing the ‘family heartbeat’ education are brought forward. and a commitment to provide £1.5m that the forthcoming Independent of the Isle of Man, support for work- Significant investment will be com- for additional resources to ensure Review into the Isle of Man Health ing families was a prominent theme mitted to improving roads around the Island remains compliant with and Social Care System could result as the Treasury Minister made a the Island and developing our international standards, preserv- in significant changes when Tynwald number of key announcements. telecommunications infrastructure. ing its reputation as a responsible considers the report later this year Personal tax allowance will rise for These form part of a £479 million jurisdiction. and up to £5m has been made availa- the third year in a row, to £14,000.
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