We opened for business for the first time in Douglas in November 1865. Prior to our arrival Isle of Man had just two banks: Dumbell, Son & Howard (est. 1848) and Bank of Mona (est.1849). Both of these existing banks had suspended payment in 1857. The leading businessmen and officials who promoted Isle of Man Banking Co recognised that the island needed a stronger bank to serve the needs of the growing Manx economy. During the years after our foundation the island flourished with the improvement of the harbour and promenade at Douglas and the establishment of an island railway.

By 1895 we had seven busy branch offices in Douglas, Castletown, Ramsey, Peel, Port St Mary, Port Erin and Laxey. Meanwhile, the economy of the island had begun to change. Although agriculture remained important, fishing and mining declined and, for the first time, tourism became hugely important. Steamship traffic grew and hotels and boarding houses proliferated. Visitors to the island increased from 60,000 in 1870 to 351,000 in 1900, and soon representative offices of several mainland banks opened on the island too. The growth of Douglas was reflected in its incorporation as a municipal borough and the first TT race was held.

The outbreak of the First World War brought an end to tourism on the island. Agriculture, however, prospered and the construction of internment camps provided a boost to the local economy. Many members of our staff enlisted - three were killed on military service - and women joined our workforce for the first time. In 1918 income tax was introduced on the island. During the post-war years poor weather reduced the number of visitors and those who came seemed to have less money to spend. Economic depression was soon biting hard. Massive unemployment in Lancashire further diminished the Manx tourist trade and the fishing and farming industries struggled. The last mine on the island closed.

Overall the economy of the island was detrimentally affected by the Second World War, although bombing raids were limited and the influx of internees and evacuees brought some new business to the Isle of Man. We experienced similar problems to those a generation earlier with controls over foreign exchange and involvement in the operation of the island’s clothing coupon system. Again, many of our staff joined up, requiring the recall of retired employees and use of more women workers. During the 1950s prosperity gradually replaced austerity. Ronaldsway Airport passed into the hands of the island’s government and the first Island Games were held.

During the 1970s the Isle of Man government increasingly focused on attracting business from the UK and a number of other mainland clearing banks established branches on the island. As the economic importance of the financial services sector increased, our bank flourished. We began to enter the offshore market, alongside developing our local business, and grew our shipping and insurance activities. In 1970 our parent National Provincial Bank amalgamated with Westminster Bank to form National Westminster Bank. Meanwhile the Isle of Man Post was established, a Freeport constructed at Ronaldsway and a new power station opened at Douglas.

The 1990s saw the construction of some important new facilities on the Isle of Man - a National Sports Centre, a power station at Peel, the Courts of Justice and the new Noble Hospital. In 2000 our parent company, NatWest, was acquired by The Royal Bank of Scotland and a new chapter in our history began. We embarked upon a major refurbishment of our branches, including a significant spend on our Regent Street office in Douglas. In recent years the way customers use bank services has altered considerably with the rise of telephone and online banking. This shift has been reflected in the recent closure of a number of our branches, but at the same time we have ensured that our customers still have access to local banking services through the introduction of our first mobile branch on wheels.