You still could have a good service with an aircraft based in IOM for services to the UK. I met up a few years ago with a proposal, but the apathy shown by your head of the Aviation Dept and Ronaldsway Airport led to nothing happening.
The government gives out over a million to carry on the hospital service to fly be, put a levy on the private biz jets registered on the Manx Registry and you would have enough money to operate 1 aircraft for 12 months, without the treasury putting its hand in or to take money away from other services.
The island has a wealth of experienced guys ie Terry Liddiard, that could lead to a successful small Airline serving the people on vital routes to the UK