Planned reforms for Isle of Man airport outlined in report

Ronaldsway Airport is set to receive a £6.4m subvention in the next financial year

Proposals to move the Isle of Man's airport away from government control have been outlined in a new report.

The Department of Infrastructure, which has responsibility for the airport, has recommend a "stepped transition" to operating it at "arm's length".

Initial changes could see existing treasury regulations used to secure goods and services and underwrite routes, instead of procurement process.

The reforms have been designed to make the facility more commercially viable.

The Isle of Man Airport - Function, Future and Form report looked at how the airport is currently run and how government subsidies, set to reach £6.4m next year, could be reduced.

While the review highlighted a "lack of focus on revenue generation", it acknowledged it was still "unclear how much could be generated" through commercial opportunities.

Improvements

The review outlines phased improvements to the "critical lifeline", with early changes including the relaxation of some financial regulations to encourage commercial agreements.

It also suggests a shadow board, established in December, should remain in place until the future operation of the airport has been determined.

Those reforms would also allow for some decisions to be made independently, and begin to remove the Department of Infrastructure from the day-to-day operational functions of the airport.

The impact of the changes would be gauged to determine whether further steps should be taken to for the airport to become either a statutory board or limited company.

Infrastructure Minister Chris Thomas said proposals could "result in less public subvention" and enhanced services.

The stepped approach would help "to determine whether change is necessary to deliver improvements sought by the travelling public", he added.

Politicians will debate the report at the April sitting of Tynwald.

Plans for the airport to be run at arm's length from government were backed in principle by members in July 2019.