Mr. Denis Murphy:

Our business model is a very simple one. We are a low-margin, low-volume business. When one loses volume, one loses profitability. We are into the seventh year of the recession. One would wonder how much longer we will have to wait for the recovery. I do not foresee any recovery in the market due to the fact that disposable income has fallen so much. We have gone back to the situation that prevailed in the 1960s, when one nearly had to be in the top 5% of income earners to afford a car. There must be some movement.

I have so many things to do in my business. I have plant, equipment and computers to replace. I have four premises and I have renovations to make to all four. I am talking about basic stuff such as painting and repairing tiles, doors, cracked windows and leaks in the roof, but none of that is getting done because we are not making any money.

My staff took a pay reduction in 2009 of 7.5% and they have not received a pay increase since. There is no prospect of it either this year. How much longer do we have to sit and wait while we are stuck with a high level of taxation? It is not just me saying this; it has been proven over and over by independent economists that if one reduces the tax, one will increase demand. The scrappage scheme proved that. If the tax is reduced by the Government, then demand will increase. How much more proof is required? The Department of Finance is a large one and surely someone can do a proper analysis of what I say. If we increase the tax by 3% then 3% more will be gained in taxation.