Treasury Seeking Solution to Charity Banking Charges

Treasury Minister Alf Cannan says his department is continuing to seek solutions to a Tynwald resolution requiring banks to provide basic banking services free of charge for small charities and other not for profit clubs, societies and associations.

But it is unlikely to be resolved before the General Election.

The motion, moved in April by Speaker Juan Watterson, came about as a result of the Isle of Man Bank’s decision to introduce charges for these basic services. The bank has since agreed to delay these charges until 2022.

Providing an update to Tynwald, Mr Cannan said: ‘Treasury is conscious of developments in terms of how banks are used, how services are provided and of the general move in society away from traditional means of delivering services.

‘Treasury also notes views expressed during the debate in Tynwald urging caution, lest the Government becomes involved in regulating how private companies, or certain private companies, may make their operational decisions. Treasury is nevertheless considering and discussing with the Financial Services Authority whether there are appropriate regulatory options that may be pursued or other measures that could be provided for in legislation.

‘Treasury recognises this is a matter of public interest, which requires resolution. However, it is also important to find a solution that secures both the social and the economic well-being of our community. This is unlikely to be achievable within the life of this Administration.’

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