Treasury Minister Allan Bell has warned Tynwald the next year is likely to be the most difficult any of the current members have known.

Concluding his eighth budget speech, he said there would be unexpected challenges, but the economy was stronger than it had been during previous downturns, and the Island wasn't in recession.

This was the closing section of his 50 minute speech (play extended audio file):

Key features of the 2009 Isle of Man Budget include:

?127 million capital spending programme plus ?22 million for the local authorities housing programme.
?5 million more for the Marketing Initiatives Fund to promote the Island internationally.
Overall Government net spending to rise by 1%.
Net spending on health and social care (DHSS) to increase by 5.7% or ?13.3 million.
Jobseekers Allowance to be made tax-free.
Personal Allowance Credit for people on low incomes to increase 10% from ?500 to ?550 per person, or ?1,100 per couple.
Basic pension and pension supplement to increase by 5%.
No change in income tax rates, allowances, reliefs and thresholds.
?2.4 million Overseas Aid Budget.
?15 million transfer to Public Sector Employees Pension Reserve.