Too early for 'direct action' over cost-of-living concerns says chief minister

Island's inflation rate jumps to 4.9%

The chief minister has told Manx Radio it’s too early for government to take ‘direct action’ to help people who are struggling with the rising cost of living.

Instead Alfred Cannan says government is keeping the situation - caused by the conflict in the Middle East - under review.

Inflation rose by two percent in April meaning the Island’s inflation rate is now 4.9 percent.

The jump has been attributed to a spike in fuel prices sparked by the war between America and Iran.

Fuel

Around half of Isle of Man households rely on heating oil.

Government says it’s ‘closely monitoring the situation daily’ adding that essential supplies remain stable along with the distribution of heating and motor fuel.

There are also no supply issues for ferries or flights and no immediate changes planned to gas and electricity prices and supply.  

An additional £100,000 has been put towards extending the Energy Efficiency Scheme to improve access to free energy saving kit.

'Strain'

Mr Cannan said: “The conflict continues to dominate global headlines and our thoughts are first with those directly affected in the region.

“It is also putting strain on the global economy.

“Our immediate priorities in March and April have been to ensure we had confidence in the supply and availability of necessary items such as fuel.

“Today's inflation figures reflect what we have already seen and we appreciate that prices now built into the Island's economy are putting pressure on many households and individuals.

“As we have stated before we will continue to look towards the longer term and be ready to offer targeted support if people need it.

“We will keep the situation under review and adapt our response as it develops."

Mr Cannan admits it’s ‘concerning’ and says targeted support could be offered later in the year:

You can watch the full Manx Radio Mannin Line interview here: