Updates to air services policy to be debated

Creating more commercial incentives for airlines are among the updates being put forward to the island's air services policy.

The lack of recovery in the Isle of Man's air services sector following the pandemic is cited as one of the main reasons for re-evaluating the policy.

As a result the government is now looking to grow passenger numbers and ensure the long-term security of strategically important air routes.

Enterprise Minister Tim Johnston said the new strategic framework aimed to "consolidate core routes as well as a broader network of regional routes".

Maintaining the current level of connectivity on key air routes since the pandemic "has only been possible through continued government intervention," according to the Department for Enterprise.

Now, a longer-term approach is needed to "ensure that the island remains well connected" and to secure weekly links on key regional routes, Mr Johnston explained.

The new Strategic Air Services Policy document stated that globally air travel was "broadly returning to pre-pandemic levels" but the same recovery had not been seen on Isle of Man services.

Passenger numbers for 2024 were forecast to be about 650,000, which is down on the pre-pandemic peak of 855,000 in 2019.

The document said the new policy aimed to "make more effective use of commercial levers" to secure strategically important routes.

These "levers" could include the commercial incentivisation of airlines through reduced airport charges or the adding of incentives for new routes.

Under the proposed changes, routes could also be designated as Public Service Obligation, which means the government could subsidise airlines to provide a certain level of service from them.

The government said that while its overall position would be to maintain the open skies policy, it would "intervene in the air services market to the extent that is necessary to provide for the social and economic requirements of the Isle of Man".

The open skies policy is the island's free market approach, which means that any UK-registered carrier can fly to the island without any restrictions, such as those on routes or number of flights.

The proposed Strategic Air Services Policy has been published on the Tynwald register of business, and in January the parliament will debate whether to approve it.

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