Oireachtas Joint and Select Committees
Wednesday, 24 September 2025
Joint Oireachtas Committee on Enterprise, Tourism and Employment
Competitiveness and the Cost of Doing Business in Ireland: Discussion (Resumed)
2:00 am
Aubrey McCarthy (Independent)
I thank our guests for being here today. I could not agree more with them on what they have been saying, even about housing, the minimum wage and the cost of living. I am involved in a an LDA project in Bluebell, in a cost-rental housing scenario. We got people in and discovered cost rental is set up such that the people it is meant for cannot afford the rent, based on the wages they are on. There is, therefore, a huge gap.
I noticed that the report identifies chronic underinvestment in infrastructure for energy, housing and water, and it states this is Ireland’s main competitiveness weakness. What immediate Government actions, funding models, regulatory changes or timelines would quickly work to lower energy and infrastructure costs for businesses and households?
The statement recommended a high road rather than a low road regarding expenditure on research and development, lifelong learning and technology diffusion, especially for SMEs. Is there a single policy lever that could work, such as tax credits or direct grants? What has the best short-term impact in raising SME productivity?
Reference was made to how VAT or tax cuts can be counterproductive. I run an enterprise, a restaurant, and just know that as you put up the minimum wage, there is a knock-on effect on customers. Then the customer has to pay a higher price and will be giving out. It is a case of squeezing and squeezing. What criteria should the State use to decide when subsidies or tax decisions of the kind in question are justified for small businesses?
Reference was made to low-wage earners, the relevant figure being around 20%. Over a quarter of workers are in poor-quality jobs. What are the best measures to make a difference beyond wage increases to improve job quality, reducing in-work poverty while keeping Ireland competitive?
I run a homeless cafe called The Light House, which is on Pearse Street. We encounter guys who have jobs but who cannot afford to feed themselves. They are paying rent, which is over €2,000 a month in Dublin, and they come into us for dinner. They are decent and not messing; they come in because they cannot afford anything else. Those are my questions.
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