The Steam Packet Company says it will be reducing freight costs from the start of next year.

In a letter to freight customers, the company says it is increasing the rates, but by less than September’s inflation rate.

There is also some good news for those paying fuel surcharges on crossings, as the extra payment is to drop from five pounds per metre to three pounds.

However, the lower rate won’t come into effect until March next year.

The Steam Packet came in for stinging criticism in Tynwald yesterday over its prices and customer service but has so far declined to be interviewed.