The Department of Agriculture, Fisheries and Forestry has today announced that it is temporarily closing the Farm and Horticultural Improvement and Fishing Vessel Financial Assistance Schemes, with immediate effect.
Minister Phil Gawne said, "In the light of the recent budgetary changes, I feel it is important to re-assess the investment priorities of the Department in relation to these capital investment support schemes, so that we can maximise the impact of the tax payer’s money towards improving the sustainability of the farming and fishing industries.
"We would like to take time to discuss and agree priorities with the industries and may seek to re-open tighter focussed and slimmed down versions of the schemes if money is available."
He continued, "We view the Farm and Horticultural Improvement Scheme as an important area of support, however, the current financial climate means it is essential we focus on how to make every penny of support deliver real improvements for the agriculture industry."
"The elements of the Fishing Vessel (Financial Assistance) Scheme providing grants towards the purchase of fishing vessels, engines or winches will be closed with immediate effect.
"This will come as a blow for those skippers planning on purchasing vessels in the near future.
"However, recent investigations have indicated that the wider benefits of the Scheme to the Manx economy are marginal and many vessel owners choose not to take advantage of the Scheme when they purchase vessels."
"9 of the last 11 potting vessels purchased by our fishermen have received no grant aid whatsoever.
"The Isle of Man is the only country in Northern Europe that continues with vessel grants of this nature, and evidence from the UK, where a similar Scheme was abolished over 20 years ago, indicates that young skippers still manage to progress into the industry.
"In making this anouncement, I wish to make absolutely clear that saftey of Manx fishermen remains my highest priority so we will not be closing the elements of the scheme which support the purchase of saftey equipment and assist in vessel modernisation.
"Overall, the closure of these schemes will save in the region of ?300,000 of tax payers money in the current financial year which is important at this time of financial pressure on government finances.
"It should be remembered, however, that support for capital investment in both the fishing and farming industries is important in improving their ability to enhance their contribution to our economy so we will be working hard to identify ways in which such support can be maintained in the future."
