Enterprise Minister Lawrence Skelly has insisted he is committed to supporting town centre retailers.

There has been growing concern at the future of Douglas town centre in the face of the twin threat of out-of-town shopping sites and online business.

The government’s current planning policy says that retail should be focussed on town centres but firms selling ’bulky’ goods can operate out of town.

Mr Skelly said the Department for Enterprise ’continues to support the focus of retail in town centres through a variety of initiatives’.

He was responding to a Tynwald question from Jason Moorhouse (Arbory, Castletown and Malew) who wanted to know what assessment had been carried out on the impact of the increase of retail at Isle of Man Business Park, positioned just outside of Douglas, on the ’retail heart’ of both the capital and Castletown.

Mr Skelly said the DfE had worked closely with the Chamber of Commerce retail committee to shape a strategy.

He said the current legislation guiding the government’s planning policy ’dictates that retail should be focussed on our town centres’.

However, the policy ’does allow that businesses that sell bulky goods can be situated out of town centres to allow for more space, hence why some have located in the Isle of Man Business Park’.

Initiatives to support town centres included the town and village regeneration scheme.

’This scheme supports retail businesses, local authorities and other bodies in making external improvements to premises in town centres by offering funding of up to £10,000,’ he said.

The department’s Business Isle of Man agency was now in charge of developing the island’s retail sector and acting as a conduit between businesses and the government.

It has set up a ’Douglas think tank’, said the minister, including representatives from the Infrastructure Department, Douglas Council and retail businesses and was recently involved in the decision to hand back management of Chester Street and Drumgold Street car parks from the council to the government.

’The agency continues to liaise with the DoI and Douglas Council on the car parking strategy, in order to help support the future of retail in town centres,’ said Mr Skelly.

Planning minister Geoffrey Boot, in reply to a separate question, said the planning policy was that new retail developments - other than neighbourhood shops - ’should be directed towards suitably allocated land within settlements’ but exceptions for bulky goods and factory shops could be made ’where such sales will not detract from the vitality and viability of town centres’.

Proposals for a retail development of more than 500 square metres must be accompanied by a retail impact assessment, carried out by the developer, to ensure ’no adverse impact on adjacent retail areas’.

He added: ’The planning system is not intended to protect individual businesses and opposition to business competition is not a material consideration. The [policy] is intended to provide new opportunities for retail development, while protecting existing retail centres.’