OPINION is well and truly divided on whether a Tesco Express store in Castletown is good for the town.

A number of MHKs from the south of the Island have been expressing their thoughts on the news that the retail giant will be opening a store in the New Year.

Castletown's MHK Richard Ronan has said it will be "detrimental" to the "small, loyal businesses" that have supported the town for generations.

However Rushen MHK Laurence Skelly, who is a political member for the Department of Economic Development, with responsibility for retail and employment, said he believes Tesco moving into the town could be positive.

He said: "I would endorse and welcome the arrival of Tesco in Castletown on the basis that it will create employment and it could be a new potential magnet for other retailers in Castletown and an overall boost for the retail trade in the long term.

"The retail trade is quite fragile in Castletown and the feedback that I have had up to now, especially while out on the campaign trail, is that most people want Tesco and want a free market.

"Callow's Yard has been a graveyard for retailers up to now and an established name should be a good boost."

Mr Skelly admitted that it was hard to determine what the impact of the shop would be on local retailers as no economic study has been conducted. This is because Tesco did not need to apply for planning permission as the unit they are taking within the Callow's Yard complex is already approved for retail use.

He continued: "There are logistical issues with regard to deliveries and opening hours etc but assuming they are overcome this should be a positive thing for Castletown.

"My view is that I am in favour of a free market but I would like to see food retailers selling more Manx produce. We need to work harder to ensure Manx produce is on the shelves."

This is a view that fellow Rushen MHK Phil Gawne shares. The Environment, Food and Agriculture Minister said he believes the store will give more choice to customers but has emphasised the need for local produce to be on sale.

He explained: "This is the third fairly significant convenience store for Castletown so clearly it is good in terms of choice for consumers.

"Clearly customers like the choice that Tesco gives as is obvious from the popularity of the store in Douglas.

"My concern as Minister for the Department of Environment, Food and Agriculture is to ensure Tesco is as good as promoting Manx food as the other stores.

"When I was Minister (for the Department of Agriculture, Fisheries and Forestry) previously I had a good relationship with the store manager in Douglas and various Tesco representatives came to see me when they came to the Island. I'm quite sure I will have a similar relationship with the new food department."

Mr Gawne added that the issue was "very difficult politically" but said if customers want to use a particular store it isn't right for "government to put hurdles in the way".

He explained: "I think this is one of the big difficulties we have to grapple as politicians. We are told everyone wants to see the hearts of their towns becoming vibrant yet when we ask them where they shop they say out of town because it is easier.

"It (Tesco) may prove positive. Competition is usually a reasonably good thing. My only concern is about price wars – we have to be careful that food producers aren't driven out of business by cost wars."

Juan Watterson, the third Rushen MHK, has taken a similar view to Mr Ronan's and says he doesn't believe Tesco has a good reputation in small communities.

Mr Watterson said: "Tesco does not have a good reputation as far as small communities are concerned. 

"In the same way that supermarkets drove out smaller retailers in many areas Tesco, who may be cheaper, drive out choice and local firms.

"I can only urge people to vote with their feet and decide whether saving the character of Castletown is worth a few pounds on their grocery bill."

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Also see: Castletown MHK says Tesco will be "detrimental" for the town