Dáil debates

Wednesday, 23 November 2011

 

Commercial Rates: Motion (Resumed)

8:00 pm

Photo of John O'MahonyJohn O'Mahony (Mayo, Fine Gael)

I am glad to add my voice to the debate on the need to address the commercial rates issue. Commercial rates are becoming an unbearable burden on small businesses, in particular, as has been stated many times. I listened to the Minister last night and welcome the efforts he is making to roll out the revaluation programme and reform local government. It is a little early for this side of the House to be accused of having failed to do many of the things previous Governments put on the long finger or failed to do for many years, but I do not want to get involved in that debate. I support the view that we need to do something quickly.

Bigger businesses and multinationals can absorb costs more easily, unlike the small corner shop or petrol station. They are the ones we listen to time and again as they employ hundreds of thousands of people. We have heard in many debates in this Chamber during recent months about how we cannot continue to spend €50 billion when we take in only €31 billion. Small business are in the same position; they are hanging on by their finger tips. In many small towns in my constituency of Mayo, including Charlestown, Kiltimagh, Swinford and Claremorris, half of the shop units in the centre closed during the past three years. It is in everybody's interest, therefore, to have a rating system that will encourage people to open businesses in these shop units. As 100% of nothing is nothing, the issue must be addressed. A few years ago there were five petrol stations in one of the towns mentioned, now there is only one. When the publicans were out marching last week, they told us that one pub per day was being closed throughout the country. Employment measures have been taken such as reducing the rate of PRSI. However, it is important to have a sense of balance. VAT rates were also reduced, as a result of which tourism has been boosted.

I agree with many speakers that there is a need for a targeted approach to suit smaller businesses which might employ a few workers because they are not in a position to bulk buy or drive down their costs as much as multinational supermarkets. These are the business units which need to be given an opportunity; they need to be supported and helped quickly. Numerous businesses have contacted me, as I am sure they have contacted every other Deputy, about the kite flown on the issue of sick pay. There are many kites in the air. The same individuals who are enduring the burden of commercial rates will suffer again by having to pay the first four weeks of sick pay if that measure is introduced.

I hope it is a kite and that it will fly away and not appear here in two weeks time.

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