DoI to run operation until 2018
Horse trams will continue to run on Douglas promenade for the next two years at least.
It's after Tynwald approved a package of measures which will see the Department of Infrastructure to operate the trams as part of the Island's Heritage Railways, for two further seasons, to assess the attraction's viability.
Government will hold talks with Douglas Council - which withdrew from the service earlier this year - to take over ownership of horses, rolling stock and the tram depot.
However, plans by DoI chiefs to shorten the service by running trams between Derby Castle and the War Memorial were blocked, after South Douglas MHK Bill Malarkey called on the court to allow trams to run the full length of the prom, retaining links with transport offerings at both ends.
After a range of other amendments fell, Tynwald ultimately supported Mr Malarkey.
The vote approves laying of a new single line track between Derby Castle and the War Memorial within a future Promenade improvement scheme.
DoI minister Phil Gawne also won approval to set up an 'arm's length' governance body to oversee the tram operation, and a charitable body to receive donations.
Bill Malarkey told Tynwald he wanted to ensure a full-length tram operation remains a possibility for the future:

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