Minister Noonan urged to save jobs and not increase VAT

RGDATA urged Minister Noonan to refrain from introducing new VAT or excise increases in October's Budget

RGDATA is urging Minister Noonan to not introduce new VAT and to focus on supporting family owned shops

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4 October 2013

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This week RGDATA, the representative body for the independent retail grocery sector in Ireland, urged Minister Noonan to refrain from introducing new VAT or excise increases in October’s Budget and to support family owned shops that are struggling to stay in business and keep their staff in jobs.

The group believes that it is important for the survival of independent family owned that steps be taken in Budget 2014 to facilitate recovery and growth.

The RGDATA Budget submission urges Minister Noonan to extend the 9% VAT rate in the hospitality sector, which also includes newspapers and magazines, to January 2015.

"Small newsagents and newspaper readers have benefited from this scheme with price reductions passed on by the Irish publishers. Newspapers sales are contracting and any increase in VAT will cause a price increase which will escalate this problem and potentially put small newsagents, who are struggling to survive, out of business," explained Tara Buckley, director general, RGDATA.

The association, which represents over 4,000 shops in Ireland, equating to 90,000 Irish jobs, has also called for no increases in the cost of employment, for the Government to take a tougher line with the banks on increases in charges and that the reduced PRSI for low paid workers be extended. RGDATA also called for measures to support local entrepreneurs to retain and create jobs.

"RGDATA urges the government to ensure that the budgetary provisions, to be announced on 15 October, form part of a consistent approach to building consumer confidence, promoting an enterprise policy and ensuring the retention of existing jobs and creation of new jobs. Local independent shops are part of the SME sector that provides the backbone to the Irish economy. This government must introduce practical policies to support these local entrepreneurs who are solely dependent on domestic demand for business," said Buckley.

 

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