National Insurance fund records 10.4 million pound shortfall

Tue, 04 Nov 2014

Eddie Teare MHK

The Island's National Insurance Fund has recorded another major shortfall totalling £10.4 million.

It's the second year running that spending from the fund has exceeded the NI contributions paid into it - last year the shortfall stood at £14 million.

A report published in May estimated that unless changes were made the Manx National Insurance fund would be exhausted by 2054 - with pension spending set to increase by more than 500 per cent.

Treasury Minister Eddie Teare has branded it further evidence that we're at a turning point with the welfare system and must start to make changes to ensure its future sustainability: