The Isle of Man Treasury has published ‘The Manx National Insurance Fund – Addressing the long-term sustainability of the Island’s Social Security Benefits and National Insurance Scheme’.
This report includes analysis carried out by the Government Actuary’s Department (GAD).
Background
GAD carries out a review of the Manx National Insurance Fund every 5 years for the Isle of Man Treasury. These reviews assess the financial position of the Fund and project how it is expected to change over the next 60 years.
The most recent review was carried out in 2022 and showed that, without any additional financing, the Fund is projected to be exhausted by 2048. Following this, the Isle of Man Treasury worked with GAD exploring how potential changes to the benefits paid out of the Fund would impact its financial position.
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Sustainability report
The Isle of Man Treasury has used GAD’s analysis to feed into its considerations around the long-term sustainability of the Fund and has now published a report summarising its position.
The report sets out the background of the Isle of Man’s Social Security scheme. It also includes the options the Isle of Man Treasury is considering, to ensure the long-term funding is sustainable and Fund exhaustion is prevented.
GAD actuary, Laura Young, has been leading the actuarial work and said: “It has been very interesting to work on the Manx National Insurance Fund and see our calculations being used by the Isle of Man Treasury to consider key policy decisions.
“Knowing our analysis will be read and discussed by senior figures within the Isle of Man government is really exciting and I am proud that GAD’s work is feeding directly into such an important debate.”
GAD showed the impact of various changes in benefit increases which have been included in the sustainability report. The Isle of Man Treasury plans to engage with Tynwald Members and provide a further report ahead of their next budget in February 2025.
