Damien English (Meath West, Fine Gael)

The Government is not doing it. The Minister of State gave a lovely speech about skills, which I agreed with, but it did not address the motion. Government Members keep on slagging off our motions. The reason we keep putting them down is that we want to get real debates to come up with solutions.

The Government fell asleep at the wheel. When it woke up, it took all the wrong actions at the wrong time. It increased the VAT rate when our EU counterparts decreased it. Petrol and diesel prices were 20% higher than the average EU price in October and November. Hopefully, they will be reduced over the next few months. However, this side of the House expects the Government to take a role in driving these prices down more quickly. Of course, there might be an incentive for the Government not to act on fuel prices. Up to 70% of the price at the pumps ends up in the Government's coffers through duty. This is one area where the Government could act to reduce business costs.

Last night we argued for and against a reduction in the VAT rate, a topic I do not wish to go over again. However, the Government could take some pressure off businesses by allowing them to reschedule their payments of VAT and taxes to Revenue. It has been done by the UK tax authorities but in Ireland I am getting reports of the opposite. Revenue is putting pressure on businesses to pay up their taxes and VAT earlier and more quickly. Revenue is normally reasonable to deal with and often will allow people to push their payment schedules over 12 months. I believe it is doing the opposite now, coming down hard on businesses, on the Government's instruction. The Government can address this matter.

Council rates, development levies and parking charges are putting serious pressure on retailers and small businesses. This is a direct result of the Government cutting the percentage funding per scheme to local authorities. Local authorities then have to raise more money locally. The only way to do that is to hit small businesses. The day is gone when small businesses could sustain ever increasing local government charges. These need to be reduced and that is where the Government can play a role.

I see people leaving towns in County Meath such as Navan, Kells and Trim to shop elsewhere. Who can blame them if they believe they will get bargains elsewhere? There is a duty on us to drive retail business costs down to help reduce retail prices. We could make it easier and more attractive for people to shop in our towns and villages, rather than going to the North, if parking charges were reduced and more park-and-ride facilities provided. The Government may argue that is the responsibility of local government but it does not have the funding to provide these services. It needs help from central Government.

Last night the Tánaiste and Minister for Enterprise, Trade and Employment claimed reports due out in a few weeks will show there is a 5% difference in the cost of doing business in the North and in the South. That is untrue. The real difference is between 25% and 30%.

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