The National Competitiveness Council has warned that the country's economic circumstances are serious and challenging, but says there is no place for pessimism or defeatism about the future.
In its annual report, the NCC says that now is the time to focus on policies that will enhance the country's competitiveness and provide for sustainable economic growth.
It urges the maintenance of the country's competitive taxes on labour and says that Ireland should be made an attractive location for purchasing and managing of intangible assets.
The NCC also says that it would like to see the introduction of a recurring tax on property and a move away from stamp duties, which it says act as an obstacle to freeing up the property market.
It also says the Government should continue to invest in infrastructural deficits, including the rollout of broadband, despite the slowdown in current expenditure. However, it warns that a 'rigorous' process of prioritisation of public capital expenditure is required.
The NCC sees high energy costs as a key concern for Irish businesses. It says that climate change should be a central part of public policy while ensuring that measures to meet environmental targets do no weaken the country's relative cost competitiveness.
The Council says that the efficiency of the delivery of public services is an important part of overall competitiveness. 'The challenge for the public service is to deliver better services with fewer resources,' the NCC says.
