Residents of Douglas will have to pay 509 pence in the pound for their rates.

This is a 8.76% increase on last year's rates in the Manx capital.

The rise is higher than December’s rate of inflation, which was published as 7.4%.

The new rates will be applied in the new financial year, in April.

Council Leader Claire Wells says it was ‘unavoidable’ for the rates to go up and they worked hard to get the rate as ‘low as possible’.

She said: ‘external pressures’ such as inflation, high energy costs and increasing interest rates are the reason for the rise.

The local authority set its rates at a special meeting today.

Other local authorities are currently setting their rates.

Click here to see the second largest local authority's.

To see the government's information about rates click here.

How are rates calculated? Click here.