HC Deb 19 July 1973 vol 860 cc702-4
Q2. Mr. Stonehouse

asked the Prime Minister if he will now seek to arrange an official visit to the Isle of Man.

The Prime Minister

I have at present no plans to do so, Sir.

Mr. Stonehouse

Is the Prime Minister aware that, although people from the Isle of Man have rights in the United Kingdom, there are increasing restrictions on United Kingdom citizens inside the Isle of Man? Now that barriers are coming down all over Europe, why are they being raised round the Isle of Man? Why cannot the Isle of Man have the same relationship with the United Kingdom as have other offshore islands such as the Isles of Wight, Skye, Orkney, Shetland, and so on?

The Prime Minister

Those islands are part of the United Kingdom and directly under the Westminster Parliament, and the Isle of Man is not. The Isle of Man is entitled to pass domestic legislation which deals with some of the matters raised by the right hon. Gentleman. I know that he is in close contact with people from the Isle of Man on this, and perhaps what he has in mind is the question of those who wish to settle there investing a certain amount of money in Manx Government bonds. That is a matter which, I understand, has now passed through Tynwald but is awaiting advice to Her Majesty on Her Majesty's action.

Mr. Adam Butler

Is not lower taxation one of the attractions of the Isle of Man? Have not my right hon. Friend and my right hon. Friend the Chancellor of the Exchequer made the country more attractive to live in because of the lower levels of personal, company, and indirect taxation?

The Prime Minister

Her Majesty's Government have greatly reduced taxation. I am afraid that I cannot hold out to my hon. Friend any hope that we can reduce income tax to the level of that in the Isle of Man.

Mr. Lipton

Does the Prime Minister realise that not only in the Isle of Man but in all the Channel Islands the most vicious restrictions are imposed upon the settlement of British subjects? A British subject has to produce many thousands of pounds before he is allowed to settle in any of those places.

The Prime Minister

That was the point I made in an earlier reply—that this is a matter of domestic legislation for those places.