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Publicly-owned companies resist FOI inclusion amid transparency review

Picture credit: Manx Radio

Consultation responses reveal widespread concern over commercial sensitivity, costs, and workload

Several publicly-owned companies have raised strong objections to being brought under the Isle of Man’s Freedom of Information Act, citing commercial sensitivity, administrative burden, and the potential impact on operations.

The views form part of a targeted consultation conducted in mid-2024, published as part of a Tynwald written response from Chief Minister Alfred Cannan.

The consultation was undertaken as part of the Council of Ministers’ wider review of FOI policy, which concluded last month with a decision not to extend the Act to additional publicly-owned companies – including the Isle of Man Steam Packet Company, Manx Development Corporation, and Isle of Man Meat Company.

Consultation responses

The Isle of Man Meat Company claimed it did not believe it should be classified as a public service company, arguing that it was established as an arm’s length commercial venture to trade independently of government oversight.

The board warned that public disclosure could harm farmers, the Department of Environment, Food and Agriculture, and the company’s financial position, citing qualified exceptions within the FOI Act for commercial interests and economic policy.

It added that being made subject to FOI would be “unmanageable” and could increase costs for both the business and the government.

The Manx Development Corporation (MDC) similarly argued that its shareholder agreement with Treasury already provides for public accountability, with major management decisions already subject to FOI through Treasury.

It warned that additional transparency obligations could undermine competitive tenders and reduce value for money, saying that it already publishes audited accounts to Tynwald each year.

MDC noted that it employs only four staff, and that responding to potentially “mischievous” requests could create a significant distraction from its commercial work.

Film investment company Cinemanx Ltd lodged one of the strongest objections, warning that the costs and complexity of handling requests could threaten its solvency. It claims FOI coverage could force it to seek legal advice on each application, jeopardise confidentiality, and deter commercial partners from working with the company.

The Isle of Man Steam Packet Company expressed concern about the potential volume of requests given its public profile, estimating that compliance would require at least one additional full-time employee. It urged that any change should not apply retrospectively and called for a preparatory period if it was to be brought under the Act.

By contrast, Treaco Ltd, which is currently dormant, said it had no objection to inclusion, while DEFA and Treasury both expressed support for transparency – though Treasury warned that additional staff, training, and possibly applicant fees would be needed to manage the workload.

The Information Commissioner raised no objections but advised that companies should first be fully trained and resourced to meet their legal obligations under FOI legislation.

Government position

In its September review, the Council of Ministers concluded that no new companies should be added to Schedule 1 of the FOI Act at this stage, despite public calls to include the additional entities.

The review found that extending FOI coverage could risk undermining the commercial independence of arms-length companies, echoing earlier remarks by the chief minister that including the Steam Packet in particular would “expressly undermine” its operating position.

Instead, the government encouraged publicly-owned companies outside the current legislation to voluntarily publish more information, alongside reaffirming its commitment to maintaining free public access to information without the introduction of fees or cost limits.

Political debate

Douglas Central MHK Chris Thomas, a long-standing advocate for wider FOI coverage, has lodged a motion to December’s Tynwald sitting calling for Manx Radio to be removed from Schedule 1 – aligning with CoMin’s stance that FOI should not be expanded to arms-length companies.

However, his motion also proposes that the law be amended so that information from all publicly-owned companies is automatically covered under FOI when established, except where specific exemptions apply.

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