Ibec launches priorities for next phase of recovery

Tuesday 25 March 2014 13.29
'An Ireland That Works' puts forward 5 ideas about areas where action is needed
'An Ireland That Works' puts forward 5 ideas about areas where action is needed

Employers group Ibec's new campaign - An Ireland That Works - has put forward five ideas about areas where action is needed as the country goes through its next phase of recovery. 

Broadly it wants to see the tax burden reduced, better government, investment in the future, an extending of Ireland's global reach and promotion of enterprise and entrepreneurship. 

Some of its solutions include the income entry point to the higher marginal tax rate increasing while it would like to see a reduction in the marginal income tax rate to below 50%.

It recommends that the pension levy should be abolished will it also calls for infrastructure spend to be ramped up to 4% of GDP.

The campaign has also called for the radical reform of public sector pensions and a fairer, more transparent system of local government charges. 

Ibec said that across a range of important areas the country is not working as it should and the Government needs to act. 

"We have important choices to make on how to build the economic progress already made, tackle unemployment and drive growth across the economy," commented Ibec's director of business representation Mary Rose Burke.

Ms Burke said that the country's tax system is not working for growth. The tax burden is too high and is a drag on employment, investment and consumer spending, she explained.

"It makes the move from welfare into work less attractive and makes it more difficult to attract mobile talent to the country," she added.

Ibec also said that the international debate on corporation tax has the potential to significantly shape the country's prospects over the next few years. "There are opportunities for Ireland, but it is vital that Irish interests are protected and advanced in debate and reform of international tax rules," Ms Burke said.