p001front.qxd (Page 1) - Isle of Man Today

2
Businessupdate
Isle of Man Examiner, March 2006
INDEX
COMMENT
NICK YATES
nick.yates@newsiom.co.im
FORUM
ISSUES AND
OPPORTUNITIES
A step ahead of the
Channel Islands PAGES 3-6
SPECIAL
FEATURE
Young Enterprise
expanding
PAGE 7
CENTRESPREAD
Island needs to
embrace science
PAGES 10-11
REGULARS
Business &
Pleasure
Picture special PAGE 15
Your Portfolio
Equities and property PAGE 17
Books
She’s an
entrepreneur,
not an
apprentice
PAGE 19
Turning the tables
on a tax handicap
Congratulations should
go to Allan Bell and his
team for listening to
the needs of the business community
and taking the bold step of
implementing some serious tax
reforms.
The zero-tax strategy and income
tax cap have been criticised by some
as being more for public relations
gain than concern for the Island
population. Others have said that
none of this will benefit the average
man in the street. These arguments
are flawed.
It is true that the Budget
announcements did receive publicity
across the British Isles and beyond.
It’s also true that the changes are
designed to be attractive to high
earners and the super-rich.
The flip side is that when new
businesses and people move here
(attracted by the tax changes) they
will be injecting an awful lot of
wealth into the Manx economy as
well.
In my experience most millionaires
WELL DONE: Allan Bell’s tax initiatives have put
politicians in the Channel Islands under pressure
or business owners like to spend
money as well as make it. If they
move to the Island they will bring
their families. They will spend money
in shops and restaurants, buy flash
cars and even flashier houses, they
will need investment advice, bank
accounts and advocates — they may
even buy a newspaper every now and
again.
If they set up a business they will
create employment and even though
they don’t pay corporation tax, there
are other ways in which they will
contribute to the government’s tax
coffers, be it VAT, income tax or
withholding tax.
Some people complain that the
Island’s rising population has meant
a shortage of dentists, a rise in crime
and a loss of the Island way of life.
These are just narrow-minded and
blinkered viewpoints.
Bigger and better public services
must be funded by the government
and these initiatives will allow
Treasury to raise the required money
without hitting the present Island
population where it hurts most — the
pocket.
A bigger population will also mean
more bars, restaurants, culture and a
more cosmopolitan society, to the
benefit of every person — be they
Manx, comeover, stayover, or visitors.
The vicious circle of not enough
people to support more facilities and
not enough facilities to attract more
people will finally be broken.
The Channel Islands have always
claimed a position as our more
sophisticated offshore neighbours,
but it may not be long before we have
a better nightlife as well as a better
tax system than our friends down
south. Is that a bead of sweat I see on
the furrowed brows of Messrs Morgan
and Walker — my word I believe it is!
Island Online
New Windows opening PAGE 16
CONTACTS
Editorial
Nick Yates 695689
nick.yates@newsiom.co.im
Penny Kay
pennykay@manx.net
Advertising
Sonya Watterson 695668
sonya@newsiom.co.im
Layout & design
John Sherrocks 695602
john.sherrocks@newsiom.co.im
PHOTOS
Cover shot by Mike Wade and
artwork by Ray Lister.
Debate photos by John Maddrell
BROUGHT TO YOU IN
ASSOCIATION WITH
SIX OF
THE
BEST
AIRCRAFT
Simon Hull is managing director of Alliance & Leicester
International. He got his private pilot’s licence (PPL) while
training at Biggin Hill airfield in Kent. He has clocked up 148
hours’ flying time including nine hours of solo flying.
1Grumman AA5-A Cheetah:
There is no better aircraft in
which to learn to fly. It has low
wings, is very stable and has been
described as having the
responsiveness of a fighter!
2Cessna C150: A two-seater
aircraft found at many UK and
US flight schools. It is
sometimes difficult to convince nonflyers
it will fly, but it does.
3Cessna C172: This is a Skyhawk
four-seater tourer with a useful
load, excellent low-speed
handling and unsurprising stall
characteristics. It feels like a real
aeroplane even though the wings are
in the wrong place. You do however
get great views of the ground.
4GF 109: The German-built Grob
is a pleasure to fly if you are
lucky enough to find one. The
TOP FLIGHT: The Grumman AA5-A Cheetah
RAF bought a few as elementary
trainers. I got lost in one of these
near Cambridge in 1996.
5B737: Is a large mid-range
commercial aircraft,
comfortable and fast but not for
the inexperienced. I have never flown
one but would like a go.
6Diamond Katana DA20-A1: A
very quiet and easy to fly trainer.
This is the first aircraft I have
flown with GPS! A 41 knot stall speed
makes this a real pleasure to fly with
the engine off.