Budget 2026: ‘Modest’ capital programme will improve critical infrastructure

Treasury says focus is on maintenance

The treasury minister believes investing more than £90 million in capital programmes over the next year will help boost the Manx construction industry and improve critical national infrastructure.

The department says whilst the plan for the next 12 months may appear ‘modest’, its focus is on delivering existing projects and maintenance.

This includes:

• £30.7 million for the public estate
• £23.6 million for infrastructure
• £16.4 million for replacement of assets
• £11.3 million for contingency
• £8.2 million for information technology

A number of new so-called ‘discrete’ projects – totalling £49.8 million – have also been included in the capital programme in this year’s Budget.

It’s also expected that further schemes will be brought to Tynwald for approval.

Treasury adds that there doesn’t appear to be any ‘major risks’ of ‘overheating’ the construction economy with the current rate of capital activity.

However it says that the precise phasing of the capital programme should consider other major construction work including Douglas quayside redevelopment and the Villiers site.

The Project Development Fund will receive an additional £2 million to enable departments to complete full design and feasibility activities.

This, Treasury says, will more accurately scope and cost capital projects.

You can find out more about Budget 2026 by clicking HERE.