The Treasury says its shareholder arrangements with the Steam Packet are “sufficient” and the company operationally effective.
This follows a review of the oversight of company, which was bought by taxpayers in June 2018.
It found the shareholder agreement provides “sufficient control to allow strategic alignment” with no “known instances where improvements are required”.
The report notes: “It was clear from the debate in Tynwald in June 2018, that whilst government desired strategic control, a fundamental tenet of the approval was that the company would be operationally independent.”
Model
The Treasury operates a three-layer governance model, appointing the Chair and non-executive directors but not involving itself in daily operations.
It clarifies: “The Shareholder Agreement is not a mechanism through which the Treasury would or could seek to quasi regulate the company in respect of the broader interests of the public.”
On the separate Sea Services Agreement, the treasury says believes that the DoI “is best placed to enter into commercial negotiations with the company” and to “protect and represent the best interests of the island”…
The only planned actions are a review to update the agreement’s references and a request for a board effectiveness self-assessment from the Steam Packet in 2026/27.
The Treasury concludes it is “content that they are sufficient for the purpose”.