Castletown Commissioners have agreed the proposed introduction of permanent speed bumps in the town cannot go ahead.
It follows concerns future rally events would have to be cancelled, causing a significant financial loss.
Other measures previously suggested have been discounted because of its impact on motorsport.
Colin Leather, who sits on the board, says the rally is of great value to the region:
Ramsey Remembrance service to be marked by maroon rockets
MEDS phone line to be down temporarily
Committee to examine link between poverty and poor academic performance
Police advice for trick-or-treaters to stay safe
How will Manx Care reduce the number of negligence claims?
Manx Language Festival to be held next week
Manxman sailings in doubt from tomorrow
Car falls down steep bank on Mountain Road