Cashel Chamber of Commerce has called on the proposed higher VAT rate increase of 2 per cent from 21 per cent to 23 per cent to be reconsidered for the survival of local SME’s and the local retail sector.
The Chamber sent a proposal to Minister for State, Phil Hogan, in July this year objecting to the already proposed VAT increase of 1 per cent in 2013 and a further 1 per cent in 2014 but this revised timeline and escalation of the increase will have a detrimental effect in the retail and service sectors.
President Mike Ryan said: “With consumer confidence at an all time low, retail and service providers in the private sector are struggling at the moment because of the recession and resurgence of the ‘Black Market’ and ‘Cash Merchants’. The fear of further austerity measures over the coming years has paralysed the local economy both from the consumer and local businesses perspectives.”
Mike Ryan continued “Over the past few years since the recession started, the most vulnerable in the private sector have taken most of the pain to date and for most there is little hope of recovery but if these new measures are implemented then that little hope vanishes”.
Full story in this week’s Tipperary Star