Oireachtas Joint and Select Committees

Tuesday, 8 November 2016

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

Economic Impact of Brexit: Discussion (Resumed)

4:30 pm

Photo of Aidan DavittAidan Davitt (Fianna Fail) | Oireachtas source

What percentage of product sold by manufacturers do the delegates believe is priced in euro? Today I spoke to a manufacturer involved in the production of car parts. The price of his raw product has decreased because he is importing much of what he needs. His business is priced in euro and he sells into Britain in euro.

My next point is one I threw out at our last meeting, but it did not attract much of a response from the committee. It has to do with having a specific Minister to deal with Brexit and was run a lot in some of the newspapers after the meeting. On another thought I have had, the delegates deal with both sides of the business. Many businesses which import are seeing the upside of the sterling crisis. Would it be possible to match some of these businesses, through a business incentive scheme, with sustainable businesses which are under serious pressure because of the fluctuations in sterling? "Tax break" is a dirty phrase, but perhaps pairing or some other type of mechanism might be used to enable certain businesses to be matched, perhaps a stronger business with a weaker business which is struggling because of fluctuations in the sterling but which is not likely to go out of business. They could be paired in some way to try to ride out the fluctuations. Perhaps they might look at a joint return on a short-term basis. Some of the businesses represented by all of the organisations before us are getting on well because of Brexit, while many others are suffering and on their knees. Perhaps some type of incentive scheme might be rolled out by the Government to help weaker companies. We have had similar measures in business incentive schemes and it would not break the mould to come up with such a scheme. It is something that might be of help.

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