THE size of the Isle of Man’s government is simply too big, according to the Manx Chamber of Commerce.
The Island needs to find the “right sized” government for a population of 82,000 people and needs to be put into context, said CoC president Nick Verardi, speaking in Douglas yesterday.
“Our stand has been for some time that government is just too big. This is not a recent revelation and, indeed, appeared to be endorsed by Minister Allan Bell at our recent Chamber lunch,” he said. And he felt that there appeared to be some reluctance from within government to accept that cuts need to be made in a community which is equivalent in size to a small UK town such as Hastings.
“It would appear that the new government restructure is in danger of manifesting itself into a lost opportunity, given the reluctance to adopt a number of recommendations in the excellent ‘2006 Review into the Scope and Structure of Government’.
“For instance, we remain concerned that there is little apparent desire to outsource none-core public sector activities; and few substantiated reasons have been offered for this reluctance.
“All the while, inefficiences continue with venues or assets being controlled or run by the government without their full potential being maximised.
“No one is suggesting the selling of the ‘Crown Jewels’, but in this new and challenging environment nothing should be discounted or dismissed. After all, the Cayman Islands in a recent report looking at – amongst other things – opportunities to raise revenue, have concluded that certain government assets will have to be sold and these include the airport, the Stock Exchange, their water authority and even the turtle farm!”
Mr Verardi was speaking at a lunch in the Hilton Hotel following the Chamber of Commerce annual general meeting.
His speech reflected the views of the Chamber’s membership, with some straight-talking comments about the way the Chamber believes the Island should move forward in the light of the economic downturn and the impact of the loss of ?140million in VAT revenue.
He also spoke of the need for government to further look at the spectrum of shared services across departments in areas such as human resources, accounting and property management.
“It is our belief that if these efficiencies are not made in this hard economic environment then they may never be made and the opportunity will be lost, as will the benefit it will bestow on the generations to follow.”
He said that Chamber was keen to see a “strategic plan” from the new Department of Economic Development, setting out its ideas for the future.
He added, “As the Canadians have seen, you must have growth in the economy to maintain cuts. Two and a half months have passed and we have yet to see signs of a strategy with key deliverables designed to promote and provide opportunities for the Isle of Man and its business community.”
