In a word, yes. There are shops in each town that sell National Lottery tickets. To date there have been several large’ish wins from punters playing from the IOM. The Isle of Man can also benefit from National Lottery funding initiatives.
It’s worth noting that you can also play the National Lottery online. The sign up process for Isle of Man residents is slightly more long winded in that you’ll need to provide a utility bill as proof of your address but it’s still a simple process, your account will usually be opened in a couple of days.