Business lobby welcomes procurement policy changes

The government has changed its procurement policies to prioritise Manx businesses

A move to favour Manx companies in government procurement is a "step in the right direction", a business lobby group has said.

Local firms can now be prioritised for contracts worth up to £100,000 without it amounting to anti-competitive practice, after Tynwald approved changes to the Fair Trading Act last month.

Isle of Man Chamber of Commerce chief executive Rebecca George said the change was "very good news for Isle of Man businesses and the local economy".

However, she said the move was "long overdue" as both the chamber and local businesses had been calling for "this type of support for some time".

'Obstacles'

Ms George said money spent on the island supported business growth as well as "existing and new jobs".

She said the lobby group spoken to the government about the importance of spending taxpayer money in the local economy as far back as 2013.

But, she acknowledged there had been some "obstacles to overcome that were beyond the government's control".

The changes would mean the government inviting Manx businesses to bid on contracts under £100,000 first in future.

If no suitable bids were received, the tender would be opened to off-island firms.

A spokesman for the Treasury said before Brexit, the government had had to "treat EU and Isle of Man businesses equally due to EU rules" but could now "prioritise local businesses and maximise the amount of money going into the local economy".