DCBA Chairman calls for Leadership and Governance
Monday the 9th of March 2009
Economic Environment & Challenges
Well much has changed since I stood before you this time last year. The dreaded R word has raised its ugly head again for the first time in over 20 years and there is no doubt that for all of us it is the most challenging period than we have seen for some time. Our business charges continue to increase, the Government has increased VAT, unemployment is predicted to rise up to 11% by the end of the year and tourist spends remains static. However it is true to say that all is not doom and gloom as mortgage interest rates continue to decrease and consumer energy costs are predicted to fall. Prices for fashion, footwear and dining are reducing as well. There are still twice as many people in work today than there was 10 years ago. The real economy that employs the majority of our citizens is based on fashion, dining, transport and services and is still being managed effectively on a daily basis. While footfall is lower than recent years because of rising unemployment - it is nevertheless following the trend of consumers' behaviour in the real economy.
We believe the number one most influential factor in our difficult trading conditions is therefore the lack of consumer confidence resulting from the lack of leadership at Government level.
National Government & Economic Management
A modern economy needs a modern functioning government that delivers daily and in the long term. We need a culture of personal accountability and responsibility in the State sector which does not exist at the moment. Retail vacancies are rising and Government is failing to reduce public sector expenditure. Proposals to increase taxes on residential homes and on income tax are misguided and will only result in taking money (disposable spend) out of the real economy (restaurants, shops, pubs, transport, etc.) which will further depress the economy and lead to more job losses in the private sector services such as architects, accountants, designers, media, builders, etc.
The present system of Government is failing and we propose the establishment of Regional Government in each Province to be funded by reducing Central Government across Senate, Dail and staff expenditure. We suggest that all elected representative pay should be benchmarked to the average in the EU for small countries such as Denmark and Sweden. We must remove the link between elected representative pay and public servants pay as it contaminates the role of elected representative as representatives of the tax payers and employers of the public sector. In industry we must streamline regulations to bring Ireland into line with best international practice. We should look at staffing and pay and the overall structure in our organisations such as ESB to bring down costs for businesses, and RTE who is responsible to a great extent for undermining public confidence in our economy before Christmas.
We want the Government to investigate the non Euro supply chain by UK wholesalers who are creating an artificial interference in the market and making Ireland unduly expensive for shoppers. Irish retailers are entitled in EU competition law to have direct invoicing in Euro from Euro zone suppliers. We want the EU to investigate if the Irish Government fail to act.
2008 DCBA Projects Overview
In terms of our own activity we had a particularly busy year last year in the DCBA. Following are just some of the projects we undertook:
We commenced work with Henk Van de Kamp on producing a new report on 'Spatial Vision for Dublin'. This will be completed in the coming months and we will share it with all of you. It will also form part of our submission for the next 'Dublin Development Plan'.
The Dublin Visitor Map performed well in 2008 and we have so far distributed 9 million free to tourists. Demand in 2008 was up 20% and despite decline in US and UK tourist in 2009 demand for the map is very strong.
We have enhanced the Footfall Counting System to record environmental factors that may influence consumers shopping behaviour such as temperature and weather on a daily basis. Access to the electronic footfall counting has been extended to all members of DCBA.
We have had very positive and proactive marketing campaign, despite the economic downturn, in particular focusing on the promotion of the retail, shopping and leisure offering of the city centre. We have a renewed impetus on our marketing for 2009 with very specific tangible objectives laid out.
We have launched a new Dublin portal called www.thisismydublin.com. It will enable the public to interact with businesses and will facilitate the new 'Business Watch' reporting service between the Gardai and the business community in the Central Business District.
Policing
Drugs, knife and gun crime remain the main issues for the city. There is an obvious need for drug treatment centres in the areas where drug addicts live. The Local Authorities in the greater Dublin area have a responsibility here in order to prevent the consolidation of new opportunities for drug dealers recruitment. I would like to take this opportunity to thank the Gardai for their ongoing commitment and hard work in dealing with crime in the city centre.
Access
Perceived lack of access continues to be the number one barrier to people coming into the city centre. The recently proposed Bus Gate (24hr car ban) on College Green is likely to have a disproportionately serious effect on car shoppers. It is absolutely shocking to us that this was proposed without any Economic Impact Report study undertaken on its effects on the Central Business District. Car shoppers spend 70% of all revenue in Dublin City Centre - so any tampering with car access is likely to result in job losses for many of those included in the 25,000 employed in the retail sector in the city centre.
All improved access to the city centre is welcomed by the DCBA however the construction of Metro North in its current form is of serious concern to our members in terms of its potentially catastrophic impact on our day to day business. We hope the Government and the RPA reconsider the current construction proposals in the current economic climate. The number one responsibility of Government is to 'Do No Harm' - we would ask them to consider this first and foremost.
We believe the Irish Rail Interconnector should be our first priority to link all the railway stations and to open the line from Heuston via Croke Park to Docklands to use existing underused infrastructure.
City Development
I would like to congratulate the Dublin Civic Trust and Dublin City Council on the 'Thomas Street & Environs Architectural Conservation Area Assessment Report'. I would also like to extend our congratulations to Mountjoy Square residents on their Vision for the Future of Mountjoy Square and to John Ratcliffe of the Futures Academy who has encouraged and assisted critical thinking about the future of our city.
We particularly thank our City Manager, John Tierney, for his close working relationship with the DCBA throughout 2008.
Conclusion
There is much to be positive about the future of our city centre and our businesses within it. I would like to take this opportunity to wish you all well in 2009. Recession isn't just a period of decline but also one of opportunities to create new thinking about how we make our city better for everybody. So the DCBA looks forward to working with all our members to a more prosperous, stronger future for the city centre and one that is growing in terms of its ethnic diversity and residential components. And finally I would like to wish David McCormick well during his tenure as the new Chairman of the DCBA.