Government influenced cost account for 48% of CPI.
30% of members experiencing plus 6% increases in transport costs.
At the release of the CSO inflation figures for December, today (19th January) ISME, the Irish Small & Medium Enterprises Association highlights its concern with the continued increases in the cost of living.
Prices on average, as measured by the CPI, remained unchanged in December compared with December 2015, while also the monthly CPI figures for December remained unchanged -0.2%.
ISME, CEO, Neil McDonnell said, “Our latest research shows that 30% of our members have experienced inflationary pressures of over 6% in transport costs, while a further 67% have experienced over 6% increases to their insurance premiums.”
The Association called on the Government to:
• Reduce exorbitant insurance, bank interest and legal fees.
• Ensure that all state-imposed 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.
“These increases are unsustainable for businesses, Government needs to address the issue of state influenced costs which account for 48% of the consumer price index and create an environment that is conducive to supporting and growing the SME sector in 2017” concluded McDonnell.