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2024-25 Budget

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Sustainable finances and long-term stability were the key themes when Treasury Minister Dr Alex Allinson MHK unveiled his second Budget in Tynwald on Tuesday 20 February 2024.

Minister Allinson committed to invest in frontline services in support of the aims of Our Island Plan, while laying out a robust five-year strategy and future proposals to strengthen the Island’s fiscal resilience.

Government revenue spending for 2024-25 is budgeted at £1.3 billion, representing £16,343 for every person on the Island.

Health and education will receive an additional combined total of more than £59 million to their respective departmental budgets compared to the start of 2023-24.

All departments will see increases to their budgets which have been rebased to take account of inflationary pressures and pay-related costs — Infrastructure will receive an additional £7.2m, Cabinet Office £4.6m, Home Affairs £4.2m, Treasury £3.3m and Environment, Food and Agriculture £1.3m.


The higher rate of personal income tax will rise from 20% to 22% in April, with the additional income — forecast to be worth up to £20m — being ring-fenced for the Island’s healthcare services.

Announcing the measure as part of the Isle of Man Government’s Budget package, the Treasury Minister referred to a forthcoming Tax Strategy that will be presented for discussion by Tynwald Members at next month’s sitting. The strategy proposes the creation of a standalone annual NHS levy, which would aim to replace the tax increase and also apply to those residents who do not pay income tax in the Isle of Man.

Company tax on some banks and large retailers will be increased, from 10% to 15%. A Petroleum Extraction Tax will also be brought forward, with the Isle of Man Government taxing income from petroleum operations in the Island, including its territorial sea, at a 20% rate from April.


Most benefits will rise by 6.7% or 5.7% in line with either the UK or Isle of Man CPI rate at September 2023.

The annual benefits uprating is expected to raise spending by £29.3m in 2024-25.

Maternity, paternity and adoption allowances will each increase by 15%, building on last year’s 16.8% rise.

A further boost for families will see the child benefit rate for a second child and subsequent children being increased to the same level as that received for the first child. Including a 5.7% inflationary uplift, this measure is forecast to cost £2.36m and will help around 3,000 families.

Pensioners will continue to benefit from the triple-lock arrangement for the forthcoming year, with the basic state retirement pension and Manx state pension seeing an uplift of 8.5%.


A capital programme commits more than £274.7m over the next five years to deliver approved Central Government schemes and progress the aims of Our Island Plan.

An allocation of £3.2m has been made from the Project Development Fund to support plans to replace Castle Rushen High School.

Funding in this year’s programme also includes £10m for climate change mitigation and adaption projects, £1.5m to undertake work at Isle of Man Airport and an additional £600,000 for improvements to Ramsey Shipyard.

Investment in the Island’s highway network will see £6.125m committed to improvements and refurbishment as part of a rolling scheme, while an additional £1.155m will be available for structural maintenance.

Previous budgets

2023-24 Pink Book

2022-23 Pink Book

2021-22 Pink Book

2020-21 Pink Book

2019-20 Pink Book

2018-19 Pink Book

2017-18 Pink Book

2016-17 Pink Book

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