Jason Moorhouse MHK says the Budget leans too heavily on reserves, ignores structural issues and risks leaving the next administration with “an empty pot”.
Moorhouse praised Treasury Minister Chris Thomas for taking on the role just weeks before Budget Day, and welcomed the rise in income tax thresholds and National Insurance changes.
However, he argued the personal allowance increase “goes too far”, saying the previously proposed £750 uplift “would have done the job” without exhausting future options.
Pattern of Overspending
He criticised what he described as a five‑year pattern of overspending, claiming the government will have taken £558 million from reserves over the life of the administration, “over half a billion pounds to pay for day‑to‑day expenditure such as filling potholes”.
He questioned whether the Budget’s assumption of £156 million in investment growth is realistic after a strong year for markets.
He criticised past decisions on electricity pricing, saying the government’s intervention during the energy crisis “cost a fortune” and left the Manx Utilities Authority needing further support.
He also highlighted the soaring cost of healthcare, now £412 million, or £1.1million per day, and said the Budget fails to address the pressures facing local businesses or the long‑term impact of population changes.
Moorhouse said the Budget’s focus on putting more money in people’s pockets will help households “reduce the size of the gap at the end of the month”, but warned it will not drive investment or productivity.
“This is not a budget for structural reform,” he said. “It’s all about razzmatazz, a look‑at‑me budget.”
You can listen to Mr Moorhouse’s speech below:
