Dáil debates

Thursday, 23 May 2024

Ceisteanna ar Sonraíodh Uain Dóibh - Priority Questions

Small and Medium Enterprises

10:40 am

Photo of Matt ShanahanMatt Shanahan (Waterford, Independent) | Oireachtas source

As the Minister knows, some of the burden in costs is due to the environment of increased costs inflation, but a large part has been brought about by the progressive costs introduced by the Government. I have advocated for quite some time to Deputy Varadkar, when he was Taoiseach, and to Deputy Coveney, when he was Minister, and now I am saying it to Deputy Burke as Minister, as I have said it to the Minister of State, Deputy Calleary, about the importance of having a proper consultation on the labour employer economic forum, LEEF. I ask the Minister to assist in bringing ISME onto the labour employer economic forum so that we have a proper discussion on costs and we do not go off on a solo run, as we did the last time, in terms of adding costs of employment onto businesses. The SME sector has to be considered in those negotiations.

The most obvious thing in terms of the food and hospitality sector is a return to the 9% VAT rate. It is absolutely critical in that sector. The Minister has outlined that some costs are going to be deferred for a number of months, such as excise and so on, but does he have any concerns about the four months of declining consumer confidence? This is being seen in footfall, especially in the food and hospitality sector and most notably in small café sector. The Minister is going to have to look again and I ask him again for a return to the 9% VAT rate.

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