Treasury responds to UK Autumn Statement

Some changes will be implemented this evening

The treasury minister says his department is 'examining the full impact' of the changes announced in today's UK Budget.

The UK Autumn Statement was delivered by Chancellor Rachel Reeves in the House of Commons this afternoon (30 October).

Some changes will be implemented straight away here on the Island - including the duty rates for tobacco products, which will increase from 6pm this evening.

The rates of most tobacco products will increase by Retail Price Index (RPI, UK) plus two percent, with the rate for hand-rolling tobacco increasing by an additional 10 percent.

Meanwhile, alcohol duty rates for non-draught drinks will increase in line with RPI from 1 February 2025, however, duty on draught drinks will fall by approximately a penny on an average pint (4.58 percent alcohol by volume or ABV).

In line with today’s announcement by the UK Government, VAT will be applicable in the Isle of Man to private school education, training and boarding services from 1 January 2025.

The Soft Drinks Industry Levy and Plastic Packaging Tax will both increase, however both the rate and date of implementation will remain uncertain until the publication of the UK Finance Bill.

And in accordance with the Customs and Excise Agreement with the UK, the Isle of Man will continue to apply the cut in fuel duty by 5p per litre which has been extended for a further 12 months.

Treasury Minister Alex Allinson said: "The Treasury is examining the full impact of the announced changes for our Island. 

"There was extra support for working families and investment in the health services and education, all of which were main policies of our own Budget this year."