TT merchandise provider makes upfront payment for contract

No local businesses tendered for the five-year deal

The new provider of TT merchandise has had to make an upfront payment to the Department of Enterprise ahead of starting its contract.

The minister says it's one of a number of measures which he hopes will improve the procurement process.

The previous supplier, Cube International, had its contract terminated after it failed to pay £220,000 to Manx businesses and the government.

Source Lab has been appointed for the next five-years for the licensed supply and production of TT goods.

Five businesses tendered for the contract - none of them were Isle of Man based. 

Mr Johnston said: "Source Lab is a reputable business with a wealth of experience working within the sporting merchandise sector. 

"The length of this new contract will offer long-term security for Island retailers and also provides assurances for the department with the payment of an upfront licensing fee.

"Since the contract was executed Source Lab have been building good relationships with Island retailers and is on-track to deliver a new core product range in May for distribution across wholesale, the official online store as well as on event via the Fan Park and Grandstand stores.

"The quality of the samples and reduced pricing of the new core range has been well received by the Island retailers to date and as such the department is confident in the capabilities of Source Lab and looks forward to seeing their delivery of products for 2024 and beyond." 

The minister told Manx Radio he hopes the relationship with the new provider will 'draw a line' under last year's issues: