Island lawmakers raise concerns over £3 million horse tram restoration project costs
The Douglas Bay Horse Tramway restoration project is facing scrutiny from Isle of Man lawmakers, with questions being raised about whether the latest cost estimates represent value for money. The Department of Infrastructure is now seeking approval for a budget of up to £3 million to reinstate the iconic horse tram tracks along the full length of Douglas Promenade between the War Memorial and the Sea Terminal—a figure that has surprised some MHKs.
Former DoI minister Michelle Haywood (Rushen MHK) and Sarah Maltby (Douglas South MHK) have both expressed scepticism about the figures, with one calling the cost estimate "a bit of a nonsense." The project's price tag has grown considerably since initial estimates, raising concerns among elected members about whether the restoration represents a wise investment for the island's tourism infrastructure.
The Department of Infrastructure attributes much of the cost rise to inflationary pressures stemming from recent global economic events. The original 2023 design came with a 10 percent contingency, but the figures were refreshed in June 2025 to £1.89 million. When Quantity Surveyors reviewed the project again in April 2026, the costs increased significantly, prompting Treasury to substantially raise the contingency funding in response to volatile global financial conditions.
The Department plans to present a Motion before Tynwald in June 2026, asking for approval to progress the business case through formal capital project procedures in line with financial regulations. The item received special permission to appear on the Supplementary Order Paper after missing the original deadline.
For visitors and locals alike, the horse tramway remains a beloved symbol of Douglas's Victorian heritage and a cherished attraction on the island's famous promenade.
Source: Read full article on ManxRadio