Survey shows Island businesses facing 'toughest conditions for many years'

Fears over labour costs and electricity prices

A recent survey suggests Manx businesses are facing the 'toughest conditions for many years'.

The Isle of Man Chamber of Commerce - which surveyed 65 businesses - says that's due to labour costs and electricity price increases.

Respondents shared concerns around the impending rise in minimum wage rates from 1 April - it's set to rise from £9.50 to £10.75

Alongside labour and utility costs, a third of respondents said they don't believe they'll be able to absorb cost increases into their prices.

On recruitment and retention - the majority said affordability and availability of housing is becoming a barrier, while over half said they have staff vacancies.

Compared to the final quarter of 2022, the chamber says business confidence and profitability have both remained static.

Chamber CEO Rebecca George says: "Results from the Q1 survey show that there has been a significant shift regarding the immediate future due to heightened fears about rising operating costs. It's clear that businesses in many sectors are facing the toughest trading conditions they have experienced for many years."