A partner in an Isle of Man law firm is praising the Manx government after a delegation travelled to Iceland to discuss the Kaupthing affair.

Chief Minister Tony Brown and Treasury Minister Allan Bell were among the party who held talks with officials as part of the ongoing efforts to help Kaputhing Singer and Friedlander depositors recover their funds from the parent bank.

Although politicians accept there is no realistic prospect funds will be recovered in the near future, Jonathan Smalley says such a trip can only strengthen communications.

He told Manx Radio:

"I think it's an excellent idea that the chief minister went to Iceland - I've been urging that the Isle of Man send a delegation for some time (and) I'm glad that it's been at the level of the chief minister.

"I hope he stressed the links between our two islands, that he has built up good will there and made some friends, which can only help the process of working out with the Icelandic recovery committee what can be done in all the circumstances.

"Any good will that we've got from Iceland can only be good for us and will help in the long term."