Failure to contain business cost will retard job growth
At the release of the CSO inflation figures for April, today (11th May) ISME, the Irish Small & Medium Enterprises Association warns against the continued rise in the cost of doing business. The Association calls on the Government to reduce costs on businesses.
Prices on average, as measured by the CPI, were 0.9% higher in April compared with 2016. Transport (+7.2%), Education (+1.7%), Miscellaneous Goods and Services (+0.21%), and Health (+2.0%).
ISME, CEO, Neil McDonnell said,“Today's’ figures show government-influenced costs continue to rise. The ‘Miscellaneous’ category, which includes another increase in insurance, shows no sign of moderation. This has a direct impact on business”.
“High costs make Ireland less attractive to foreign markets; this impacts our exporting sectors, and it drives consumers to look at other markets for cheaper goods”
The Association called on the Government to:
Reduce exorbitant insurance, bank interest and legal fees.
Ensure that all state-influenced business costs are benchmarked internationally.
Ensure that SMEs are not hampered by labour, tax or regulatory increases.
Reduce public sector costs.
Outsource more state sector services to SMEs.
“Given the economic uncertainty around Brexit, government must do more to tackle the high costs of doing business; failure to act will impede job creation.”