Chief Minister Howard Quayle said the government was always looking to help those on low incomes.

The pledge came during his ’state of the nation’ address to Tynwald on Tuesday.

’We are always looking to help those people in our society on low income,’ he said.

The Council of Ministers already has charged Policy and Reform Minister Chris Thomas MHK with coming up with a plan to help the ’cold, hungry or homeless’, but Mr Quayle admitted that more needed to be done.

He announced that Social Care Minister David Ashford MHK is to chair a new committee ’to look carefully at the issues by those faced on zero hours contracts’.

He added: ’This is something that I’ve been concerned about for some time.

’I know that some workers, like those in the care industry, or those in seasonal work, rely on this type of contract.

’But we need to ensure that they are not being abused by employers.’

He also confirmed that the government was increasing the pay of 86 public services commission and healthcare workers who were not earning the living wage of £8.61 per hour - something Mr Thomas was due to give more detail on later in the sitting.

The living wage - which is significantly higher than the mandatory minimum wage of £7.85 - is only voluntary and in the past the government has come under fire for failing to ensure all of its own employees and service providers did not receive the £8.61 figure.

Figures released in June showed about 1,200 workers in the Isle of Man were earning below the living wage and more than one tenth - 123 - were employed by the government.

During his address, Mr Quayle said there had been economic growth.

’Our GDP in real terms has increased by 7.4%,’ he said. ’The amount of money people take home in their pocket has increased by 4.4%.

’While we cannot expect growth like this every year, I believe that we are heading in the right direction.’

Concluding his address, Mr Quayle said: ’The government is well-placed to continue delivering sustainability for the Isle of Man.

’But we are not complacent. We have a lot more work to do.

’We will continue to make the right decisions for the present and for the future.’