Isle of Man Bank is an organisation so focused on profit and so neglectful of Manx society that it no longer seem worthy of its name, an MHK has claimed.

Speaker Juan Watterson pulled no punches as he ripped into the bank and its decision to charge charities for using its services.

In a motion debated at last week’s Tynwald sitting, he called for Treasury to bring forward legislation to make basic banking services free of charge for registered charities and not-for-profit clubs and associations.

He also argued that the Financial Services Authority should determine a mechanism to ensure all registered banks here undertake a fair share of the administration of small charities.

Mr Watterson said he moved the motion with a ’great degree of sadness and a sense of anger’.

He said: ’For over 150 years Isle of Man Bank has been the island’s community bank.

’After years of steady decline, following branch closures, this year marks the end of that proud boast.

’We now have an organisation so focused on profit, so neglectful of the society whose name it bears, it no longer seems worthy of the name Isle of Man Bank.’

He pointed out the bank’s parent company NatWest group posted a profit of £3.1bn in the last financial year.

And he blasted the bank’s ’hypocrisy’ for charging Manx charities while offering free banking to similar groups in the UK with a turnover of less than £100,000.

Mr Watterson warned that other banks will follow suit.

’If we don’t protect our charities, who will?’ he asked.

Treasury Minister Alfred Cannan questioned whether Isle of Man Bank was interested in continuing as a community bank given that it has ’almost no connection’ with the island.

But while he shared the anger and frustration, he said other banks do currently offer free banking services to charities.

He tabled an amendment calling for Isle of Man Bank to reconsider its decision.

He cautioned about bringing forward legislation to force the private sector to do something without full consideration of the impact.

Attorney General John Quinn warned of the unintended consequences of ’alienating’ the banking sector.

Lawrie Hooper (LibVan, Ramsey) said it wasn’t just registered charities that are affected but sporting clubs and associations.

He tabled an amendment which called for the ’nuclear option’ of legislation to be drafted to be used as leverage against the bank. It would say ’We don’t want to go down this road so please don’t make us’, he told the court.

Mr Hooper’s amendment was carried and the motion as amended was voted through unanimously.