Transcript of "Business Newsletter From John O'Mahony TD"
Autumn 2010 Edition n F i n e G a e l’s N ew s le t te r fo r t h e B u s i n e ss C o m m u n i t y i n I re l a n d Working with 3 years on and only 4% of promised red tape reduction delivered Three years ago, the Government promised to reduce the unnecessary cost of business compliance by €500 million. In today’s ﬁercely competitive business environment that is €500 million that business can’t afford to part with. To date, past the halfway stage, only €20 million in savings have been achieved. Cutting out unnecessary red tape must be a key part of a new Government’s agenda to make the Irish business environment competitive again. Why does the Government make such an important promise and only deliver on 4% of it? They cannot blame the recession for this failure. It is part of what was recently branded “a Chronic Implementation Deﬁcit Disorder,” from which the Government suffers. Only 6% of jobs delivered The Credit under John Review Government O’Mahony TD Ofﬁce – PRSI rebate What it scheme can do Last December the Government for you announced a refund of employer’s PRSI to companies that hired people who had been 6 months on the dole. The target If you’re a small business, sole trader or farm owner who was 10,000 new jobs. Only 629 has had difﬁculty getting credit or loan facilities of up jobs have so far been supported to €250,000 or you have had an unfavourable change to under the scheme. your existing credit terms, get in touch with the Credit Review Ofﬁce for an independent review. Fine Gael believes that all businesses need a PRSI relief Only 20 businesses have taken up this option in the ﬁrst and not just those expanding. six months! The banks are required to comply with the Our plan proposed to cut all D’Alton Street, recommendation or to give their reasons for not doing wage bills by on average 3%. Claremorris, Co Mayo. so to the Credit Review Ofﬁce. The Ofﬁce has overturned This plan would have helped the Banks’ decision in four cases. Tel: 094 93 73560 make 1.7 million jobs more secure and make it cheaper to Fax: 094 93 737339 Call them on 1850 211 789 or visit online at www. Dáil: 01 618 3706 creditreview.ie where you will ﬁnd good advice on how hire new employees. to approach your bank. Text: 086 326 8041 Email: email@example.com web: www.johnomahony.ieBusiness Newslet J OMahony.indd 1 01/11/2010 16:19:24
Fine Gael will rationalise State business inspections As part of its upcoming policy on overhauling the public sector, Fine Gael will propose a One Stop Shop for business inspections by State bodies. Irish businesses face inspections from a growing range of Government bodies, such as the National Employment Rights Authority, the Health and Safety Authority, the Food Safety Authority, the Environmental Protection Agency, and County Enterprise Board funding still the local authorities. These inspections down 10% from last year are often uncoordinated and repetitious. Huge efﬁciency gains for the State, and A Fine Gael survey of all the County Enterprise Boards conducted at the end of far lower compliance costs for business the summer revealed that 37% had no funding or severely limited support for can be secured if they are consolidated new starts ups. Under pressure the Government has now committed an extra under one roof. €3.3 million. However, this is still down 10% on the total funding allocated last year. The number of applications to start a new business is up 20%, but the Government has cut funds by 10%. The future of the economy depends on people having the ingenuity and the courage to set up a new business. The banks won’t touch them and now we see the Government abandoning them too. This makes a nonsense of the Government’s claim that enterprise and jobs are at the heart of their strategy. It now seems that the County Enterprise Boards are set to be integrated into Enterprise Ireland. SME loan guarantee: Banks must be made compete for it The Government still hasn’t woken up to the realisation that NAMA Government is not providing a “wall of cash” responsible for most in credit for small business. It did not take up the Fine Gael plan for of competitiveness a National Recovery Bank, and now it is set to reject Fine Gael loss proposals on a loan guarantee It is simply inexplicable why the Government for viable small businesses. hasn’t produced a Competitiveness Action Plan International experience has to tackle the competitiveness agenda. The shown that a properly designed loan guarantee scheme can 2010 Report on Irish competitiveness shows conﬁne default to 1.5%. The a further decline in Ireland’s position. Of the 36 indicators of competitiveness which are target group would be viable businesses who can’t put up The new Fine Gael in the red zone, government is responsible for 20 of them! Yet there is no attempt to the collateral or the guarantees sought. The banks would retain Business Team go to work on these problems with a sense of a signiﬁcant share of the risk purpose. The Irish Government is a persistent Richard Bruton - Enterprise, Jobs & (at least 25%). Banks would be Economic Planning offender on costs for energy, waste, water and required to bid every quarter communication. It has refused to implement for a slice of the cover, and be Deirdre Clune - Innovation and Research an effective competition policy. Less than half rewarded with bigger slices John Perry - Small Business of the recommendations of the Competition where they can show a record of Authority on the legal profession, the health success. This will not be another Kieran O’Donnell - Deputy Enterprise sector, and transport, have been implemented. way for the banks to unload bad Spokesperson0612 High rent, too should be challenged. loans onto the taxpayer. Business Newslet J OMahony.indd 2 01/11/2010 16:19:31