Richard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)

I will pass over the irony of the fact that this motion was tabled by Fianna Fáil, given it did nothing about the rates system during its 14 years in power. Tens of thousands of small businesses are clinging on for survival by their finger nails because of the economic disaster Fianna Fáil inflicted on us and the austerity which it and the new Government continues to inflict. This is depressing demand in the economy significantly and if that problem is not addressed, there is no hope for small and medium-sized businesses, regardless of how much hand wringing is done or how many words of support for small business we hear from any quarter in the House.

The rates system makes no sense in that it does not take into account ability to pay or the profitability of a business. A differential rates scheme should be put in place similar to that in Scotland. Another form of this scheme is in place in France where small businesses pay a different rate from big businesses. It is crazy that a bank branch could be housed in a building with a butcher next door and they both pay the same rate. The bank branch is highly profitable and linked into a much larger entity. A differential rates scheme is needed, which relates rates to profitability and ability to pay. For example, when such a scheme was introduced in Scotland a number of years ago, small businesses and shops were given a discount of between 25% and 100% on rates with a maximum rebate set at stg£4,100. As a result of the scheme, 60% of small businesses experienced a significant benefit. That is what I propose to the Government. One does not have to be a socialist or a revolutionary. This simple measure exists in Scotland and many other parts of Europe to boost small business.

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