THE island paid the UK nearly £3m this year for defence and associated services, Chief Minister Allan Bell has said.
He revealed the figure in the House of Keys today when Kate Beecroft (LibVan, Onchan) asked him if he would negotiate a reduction in the Isle of Man’s contribution proportionate to the reduction by 8 per cent over four years in the UK defence budget.
Mr Bell said Mrs Beecroft had misunderstood the issue as the contribution had never been based on actual cost of services provided to the Isle of Man. He said the payments covered not only defence but wider services such as emergency embassy assistance around the world.
He said the island was well served under the agreement. Mr Bell explained the deal was negotiated in 1992 when the payment to the UK was £1,750,000 a year. The figure has increased in line with GDP ever since and the payment for 2011/2012 was £2,823,573.13.