Education Minister Anne Craine says her department's budget will have to be 'trimmed' in the wake of this week's 'VAT bombshell'.
But she is insisting the construction of the new secondary school at Bemahague, Onchan won't be affected.
The government's budget is due to be slashed by up to £90 million next year and £140 million thereafter, but Mrs Craine says the new school remains firmly on track:
Reports of people not listening to marshals on day one of MGP
Police issue warning as qualifying underway on Snaefell Mountain Course
Arrow returns to service after repairs
Steam Packet vessel spent several days in dry dock after oil leak found
A Manx bap and chicken katsu curry included in new school menu
Pupils will also have a vegetarian option to choose from
Study finds Isle of Man's clothing offering rates poorly for women
Does the Isle of Man have a weak high street?