The results of a quarterly survey aimed at exploring key current trade issues and measuring business and economic confidence suggest optimistic prospects for the island’s economy.
The Isle of Man Pulse survey, conducted by KPMG accountants and in association with the Institute of Directors, indicated an increase in off-island activity and an increase in turnover over the past year. next year in all sectors of activity.
This is a welcome change in trend from recent times, following difficult business conditions during the continuing pandemic.
While there are still depressed sectors, such as retail and hospitality, there is no doubt that the economy as a whole feels like it is taking a turn.
Other challenges remain, such as changes in international tax policy and the implementation of effective environmental, social and corporate governance (ESG) strategies.
The Pulse report offers answers on topics such as business growth, revenue expectations, reactions to Manx border controls, tax policy and ESG plans.
Based on data received before the summer, the main highlights of the second survey are as follows: 44% of Isle of Man businesses surveyed saw an increase in activity outside the island, compared with 26 % in the last survey.
Across all industries on the island, many expect sales to increase over the next 12 months despite feeling their business growth was limited at the time of the survey.
In the two surveys to date, 69% of those polled said they would not change the Isle of Man border policy, despite some trade difficulties.
The majority of companies have expressed concern that changes in international taxation could impact the Isle of Man economy.
Manx companies with an ESG plan in place are very much in the minority.
Survey responses suggest a lack of knowledge and data is the reason.
Simon Nicholas, Partner and Head of Customers and Markets at KPMG, commented: “At the time of the survey, some businesses were improving and thriving as Covid restrictions were relaxed, but others reported that they were limited by an inability to access clients due to the restrictions and remaining border policies that were still in place at the start of the summer.
“But overall there is a sense of optimism in the second survey. The combined results of the surveys so far are just starting to provide real trends and information, and the power of the survey will only increase over time as we collect more data. ‘
The report is available for free at home.kpmg/cds