The President of the Isle of Man Trade Council has sent a defiant letter to the United Kingdom chancellor defending the Island's finance industry.

Bernard Moffatt has responded to comments made by Alistair Darling during questioning by a UK Treasury committee about depositors with Kaupthing Singer and Friedlander Isle of Man, earlier this week.

Mr Darling warned the UK Government was going to take "a long hard look" at the Island's status as a tax haven.

Mr Moffatt begins his letter by saying how disappointed and angry he was when he heard the remarks, and suggests the chancellor has no idea of the damage that could be done to the Island, and the 30,000 hard working families here.

He goes on to refer to the recent cancellation by the UK of the long-standing reciprocal health agreement, and says the Manx public has received what he calls "a double whammy" from a Labour Government which purports to be the champion of hard working families.

Mr Moffatt (pictured) concludes by telling Mr Darling that "playing to the gallery" at the Treasury Select Committee did the Island a great injustice and could cause real harm to ordinary people's livelihoods.