Dáil Éireann Debate, Wednesday - 25 April 2012
97 Deputy Micheál Martin asked the Minister for Jobs, Enterprise and Innovation the actions he has taken in relation to reducing costs for business to enable job creation; and if he will make a statement on the matter. [15192/12]
Amharc ar fhreagraTackling the cost of doing business is a shared objective across the whole of Government. Since coming into office, we have taken a number of measures to reduce business costs.
In the Jobs Initiative last May, we halved the rate of Employer's PRSI on earnings up to €356 per week and reduced the lower rate of VAT on certain goods and services, from 13.5% to 9%. The Restaurant Association of Ireland has acknowledged that this reduction has helped support job creation in its sector.
The Action Plan for Jobs 2012, which was published on 13 February, includes an extensive range of measures across Government which will help to reduce costs for businesses and support job creation. These include simplification and extension of the Employer's PRSI exemption scheme, measures to reduce and manage energy costs, and putting downward pressure on prices in areas such as legal services.
From my own perspective, I have undertaken to reform the statutory wage setting mechanism, to benchmark and develop actions to systematically reduce excessive key business costs, and to encourage all professionals to supply the business sector and other consumers with price quotations in advance.
My Department has already reduced business burdens within areas of its own responsibility by 23%, which will yield potential savings of €198 million per annum for business. It is currently engaged in an exercise with seven other Departments and with the Revenue Commissioners on reducing administrative burdens in their areas.
In addition, I wrote to my Ministerial colleagues in March, asking them to examine all charges which are levied on business by their Departments and associated bodies, with a view to identifying which charges can be reduced, or frozen to the end of 2013 or beyond.
My officials are currently preparing a composite overview of the responses from Government Departments and the bodies under their aegis. However, I can confirm, at this stage, that a number of areas have been identified where charges are being reduced or frozen. I will be announcing further details shortly.
I will continue to work systematically with my Ministerial colleagues to ensure that we reduce business costs in every way that we can.
