A budget of government spending cuts and savings was backed by an overwhelming majority of Tynwald members yesterday.

After around eight hours of debate, only MHKs Zac Hall, Kate Beecroft, Brenda Cannell and Peter Karran voted against the motion.

Although there’s no change for income tax and national insurance, the government will now bring in a new tax on retailers operating on the Island.  The 10% tax on profits of more than ?500,000 has been dubbed the “Tesco Tax” as it will mean large UK retailers paying Manx income tax for the first time, but the rate will also apply to local traders. 

Chief Minister Allan Bell says after fighting to revitalise the Island’s economy after it hit the doldrums in the 1980s, any budget with cuts is a difficult one: