InBus_Win09_1-55:InBusiness 1-61 11/12/2009 16:34 Page 10
CHAMBER|NEWS
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The latest news from Chambers Ireland.
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Budget 2010 – Hard but fair Airlines Must
CHAMBERS IRELAND SAID THAT the hard also welcome the re-statement of Government Contribute to Future
but fair decisions made by the Government in commitment to the 12.5 per cent rate of
Infrastructure
Budget 2010 have the potential to significantly corporation tax which is essential to the
boost confidence and get Ireland on the road retention and growth of Foreign Direct
Investment
to recovery. Investment and a key component of our CHAMBERS IRELAND’S AIR
“The crucial requirement for all stakeholders competitiveness,” he said. TRANSPORT Users Council has insisted
reviewing this budget is recognising that the “The Government has recognised that the that airlines must be part of the solution on
Government has made strides to regain costs of doing business in Ireland is delivering required infrastructure
control of the national finances,” said Ian prohibitively high and must come down if investments, such as Terminal 2, that will
Talbot, Chambers Ireland Chief Executive. “We Ireland is to restore its competitiveness. The benefit all users of Dublin Airport in the
expect international markets to welcome this proposed introduction of an equitable system future. Noting the determination on airport
budget as a clear indication that Ireland for water charges for all users, combined with charges in Dublin Airport by the Aviation
intends to take control of its own destiny and site value and property tax will help local Regulator, Seán Murphy, Air Transport
this will create great opportunity for growth. authorities raise vital revenue streams to Users Council Spokesperson said: “This 208-
However, having set out its stall, the continue to deliver crucial, local services and page report will require a good deal of
Government must now implement all alleviate the current pressure on business rates. analysis. However, we must all recognise
measures proposed to ensure credibility.” However, the introduction of a carbon tax will that Dublin Airport is of vital economic
“The reductions in public sector pay and only serve to raise additional – albeit much importance to the country from both a
pension costs will be achieved through needed – revenues. If the Government really tourism and business perspective. New
equitable distribution, thereby ensuring the wants people to alternate their behaviours infrastructure cannot be provided without
least impact on lower paid workers. Whilst then more will need to be done to encourage sufficient funding being put in place to pay
many public sector workers may feel real alternatives. This tax will raise more for it.”
aggrieved by these reductions, it is important revenue but it is unlikely to make any “We must ensure value for money in
to remember that these cuts have been significant impact on reducing CO
2
return for capital investment at Dublin
designed to deliver future job security.” emissions.” Airport and ensuring that a rise in service
“Stimulating business activity is fundamental “Many other initiatives referred to in the delivery commensurate with a rise in airport
to Ireland’s economic recovery. As such the Budget will require more detail before their charges,” he continued. “Any charging
reduction in excise duties on alcohol, following impact can be assessed but the focus on the regime must recognise the cost of previous
an extensive Chamber campaign, and return stimulation of business activity in areas such and future investments. A fair charging
in the rate of VAT to 21 per cent from January as the ‘smart economy’, green initiatives and mechanism for Terminal 2 will go a long
1st, are to be welcomed and we expect a the concept of a National Solidarity Bond way towards future proofing Dublin’s
strong rebound in VAT revenues in 2010. We are welcomed.” infrastructural requirements.”
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“Aeronautical charges must make a
significant contribution towards the provision
Seán Murphy Appointed to National of future airport infrastructure. The idea that
Competitiveness Council
an industry that pays no taxes on fuel and
wants to remove an, albeit poorly structured,
SEÁN MURPHY, Deputy Chief Executive, Agreement, the National Competitiveness air passenger tax and which has consistently
Chambers Ireland has been appointed to the Council (NCC) is a social partnership body fought infrastructure investment charges
National Competitiveness Council by the which reports to the Taoiseach on key needed to underpin tourism and business
Minister for Enterprise, Trade and Employment, competitiveness issues facing the Irish connectivity is not credible and does not
Mary Coughlan, TD. economy and makes recommendations on stand up in an era when wider Irish society
Established by the Government in May policy actions to enhance Ireland's is contemplating social welfare cuts.”
1997 as part of the Partnership 2000 competitive position.
10 InBusiness Winter 09
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