Ramsey Town Commissioners have approved the town rate for the 2026 to 2027 financial year, which will take effect from April.
The rate will increase by 18 pence to 528 pence, representing a 3.5 percent rise.
The board said the increase reflects inflationary pressures, not new spending and is necessary to cover rising external costs like waste disposal.
Juan McGuinness, Lead Member for Finance, General Purposes and Establishment, said: “We are very conscious of the pressures households are under, and that was central to our discussions.
“We challenged spending, reviewed how we operate, and deferred a number of projects to keep the increase as low as possible. This rise is driven by inflation and the need to properly maintain what the town already has.”
The authority said no services will be reduced, with the budget focused on maintaining existing infrastructure and assets.
Several potential projects however were deferred to limit the increase.