LATEST: Government committed to small business, hospitality and retail, says Lowry

Tipperary TD Michael Lowry has today issued a statement stating that the new Government is committed to supporting small businesses and those operating in the hospitality and retail sector.

This statement comes following the news during the week that Lowry and his Regional Independent Group would form part of the formation of the new Government.

The Programme for Government includes a strong focus on supporting SMEs, says Deputy Michael Lowry, who underlined this requirement as a priority issue for the Regional Group of TD’s during Government formation talks.

"Measures will be brought forward to support SMEs, in particular those in the small business, retail, and hospitality sectors. The increased cost pressures on these sectors are stifling business owners, with too many already closed or just barely hanging on. These measures will entail changes to VAT and PRSI among others.

"Small, independent restaurants, pubs, cafés, and other hospitality businesses which, in total, employ 270,000 nationwide have been crippled by rising costs in recent times," he says.

"The food and hospitality sector has long called for the lower 9pc VAT rate to be reinstated as they point out that operating costs for produce, wages, and energy bills have risen with inflation in recent years.

"These widely welcomed changes will form part of the normal Budget process.

"The incoming Government will also move to establish a new Small Business Unit within the existing Department to back small businesses. This will ensure that they have support and a dedicated focus in Government.

Deputy Lowry added that: "A Cost of Business Advisory Forum’ will come into place. This Forum will include a review of all business taxes and costs and ensure businesses are consulted before new legislation or policies are introduced that impact small businesses.
 
"The SME test to scrutinise every new piece of legislation and regulation to assess its impact on SMEs will be rigorously implemented. This will ensure that any obligations that increase business costs are phased in and that consideration is taken of the broader implications of any decisions affecting businesses across Government.
 
"There is a commitment to review the public procurement process to make it more transparent, in addition to works to ensure greater participation from Irish small and medium-sized enterprises in the procurement process.
 
"Work to support the development and retention of community-run shops and cafes has also been agreed, which is crucial to many towns and villages where vital services have been lost when businesses have closed. In many places vital hubs were lost as local people were left without a place to meet," concluded Deputy Lowry.