Isle of Man to grow cannabis business to diversify economy
The Isle of Man has for decades been dominated by offshore financial services, but now its government is planning a push for a new kind of economic growth: medicinal cannabis.
The British crown dependency is hoping to license as many as 10 firms by the end of 2025 to grow and export medicinal cannabis products from the island as part of a strategy to spur development.
Tim Johnston, the Isle of Man’s minister for enterprise, said the island’s government was “really looking to diversify our economy”, and that encouraging a medicinal cannabis industry was one aspect of a plan to nearly double GDP by 2032, create 5,000 more jobs, and give younger Manx opportunities on the island.
Johnston said: “We recognise we’ve got an older population. We’re keen to see that change.”
The island in the middle of the Irish Sea has a population of 84,000, and an economy that has long left behind sectors such as fishing in favour of financial services.
Insurance is the largest sector of its economy, accounting for nearly a quarter of the £5bn annual output, while the next largest is gambling: island firms offer “white label” services to essentially lend their licences to non-UK companies.
It is also judged as a tax haven and a financial secrecy jurisdiction by tax campaigners. The Tax Justice Network judges that financial flows through the territory cost other countries billions of pounds every year in lost revenues.
Johnston rejected criticisms of the role of the Isle of Man’s financial services industry in the global economy, saying the island has strong regulation and transparency. However, he said there was overwhelming support for looking towards medicinal cannabis and other industries as the government seeks to increase the island’s population
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