A deal to purchase the Steam Packet Company for £124m - as exclusively revealed in this week’s Examiner - is a ‘once-in-a-generation opportunity’, the government insists.

The Isle of Man Government this morning confirmed it has negotiated a deal to purchase the Steam Packet - a move it says will bring stability to the ownership of the island’s lifeline ferry operations.

Full details of the deal, which will need Tynwald approval, are outlined in the Examiner out in the shops now.

Treasury Minister Alfred Cannan has tabled a motion for next week’s Tynwald sitting, which seeks approval for the government to commit £124m to purchase 100% of MIOM Ltd, the Steam Packet’s parent company.

Chief Minister Howard Quayle said: ‘Robust sea links with our neighbours are absolutely vital to the economic and social well-being of the Isle of Man.

’After weighing up a range of options, the Council of Ministers has concluded that we can best safeguard the island’s strategic ferry services by purchasing the IoM Steam Packet’s parent company.’

He added: ‘Our focus throughout this process has been on ensuring safe, reliable and high quality ferry operations. Acquiring this national asset represents a once-in-a-generation opportunity to provide long-term stability for our people and businesses.’

The government has been considering its options since Tynwald voted in July 2017 to reject the Steam Packet’s revised offer of a new strategic sea services agreement.

While the move would immediately bring ferry operations into public ownership, the government has stated that it would not take charge of the day-to-day running of services.

The business would be run at arm’s length from government, with options for either a partner or other investors to be considered in due course after completion.

Finances would be restructured to minimise the outlay from Reserves.

Current Steam Packet management and staff would continue to run the passenger and freight operations to ensure a smooth transition during the takeover.

If the Tynwald motion succeeds, the government would seek to put in place a new strategic sea services agreement within the next 12 months.

The Treasury Ministersaid: ‘We believe it is in the best interests of our people and our economy to take a controlling stake in the national ferry operation rather than commit the island to another long-term agreement with an external provider.’

He added: ‘The government has not been in a position to explain its intentions to the public before now because of the commercial confidentiality of the negotiations.

’However, we believe we are paying a fair price to secure a profitable, cash generative national asset and gain strategic control of our sea services.’

Mark Woodward, chief executive officer of the Steam Packet Company, said: ‘If approved, this deal would consolidate the excellent relationship between the Company and government and create a strong, long-term platform to deliver continued investment and sea services that meet the needs of the island.

’I am confident that these are positive proposals for both the Isle of Man economy and the Steam Packet Company.’