Isle of Man election: Douglas South candidates debate lifting tax cap

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Douglas South election hustings 2021
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Candidates debated over whether lifting the tax cap would address inequality

The candidates hoping to represent Douglas South in the House of Keys have been outlining their policies at a public meeting.

Claire Christian, Gerard Higgins, Sarah Maltby and Paul Quine are in the running for the two constituency seats.

Means testing, mental health services and police pay were among the issues discussed at the hustings, which was held at Anagh Coar School.

The candidates were also asked if they would back changes to the tax system.

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Claire Christian wanted living wage and rates reform over tax rises

Claire Christian (independent) said she would not support tax rises and wanted to focus on other areas to address inequality.

"A competitive tax strategy is an essential lever to ensure the Isle of Man keeps its edge and if we do other things, like rates reform and adopting the living wage, then we can keep tax cap," she said.

She added that the island's "economic recovery post-pandemic is so important right now and it is essential we support businesses and ensure we have a vibrant economy".

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Gerard Higgins said lifting the tax cap would drive the wealthy away

Gerard Higgins (independent) said he was against the raising of personal tax allowances and would rather see the Treasury spend that money in other areas.

"The rises have only helped those who actually pay income tax and what I want to do is use funds better to help people with things like energy bills, childcare, and to assist carers," he said.

He said he was opposed to getting rid of the tax cap as "wealthy individuals would leave the island, creating unemployment and problems in terms of our VAT-sharing agreement with the UK".

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Sarah Maltby said taxes should be progressive

Sarah Maltby (Manx Labour Party) said she wanted a progressive tax system to help address income inequality

"For too long, there have been tax loopholes which benefit those who are high-net-worth individuals and it is about time those systems were reviewed," she said.

She added that government had a "social responsibility to put families first" and not be "constantly protecting the wealthy".

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Paul Quine caution against any changes to the low-tax model

Paul Quine (independent) said the island's low-tax model has "sustained us with growth that we would never have known for over 60 years, and we mess around with it to our peril".

"If we start taxing high-net-worth individuals on the island, all they will do is leave and run into the arms of our competitors, leaving a big hole in our economy," he said.

He added that businesses "do not have moral obligations and if they think they can get an advantage somewhere else, they will go".

The two seats in Douglas South have been held by Claire Christian and Paul Quine since August 2020.

Polls will be open between 08:00 and 20:00 BST on 23 September.

Read more about the Isle of Man election:

BBC Isle of Man will be featuring all 12 of the constituencies for the House of Keys in the forthcoming general election during the run up to the poll on 23 September.