LATEST DUBLIN CITY NEWS

• “Proposed changes to retail guidelines will cost jobs, compromise main streets and cause more dereliction - An Taisce”

  03-01-2012

  Jobs will be lost and main streets will suffer if Forfas gets its way on Retail Planning  according to a recent An Taisce  Press Release

• Rejuvenating Dublin's Tourism Product

  23-12-2011

  Dublin City Business Association commissioned Jerome Casey and Felim O’Rourke to undertake a study of tourism in Dublin and to make least-cost recommendations for its rejuvenation. The World Tourism Organisation concluded (in relation to Ireland) that "there appears to be very little correlation between marketing spending by National Tourism Organisations and international arrivals". 
  

  Within Ireland, there is a mismatch between the Irish tourism market and the public resources devoted to it. 

  33 existing tourist attractions in Dublin were reviewed, and low-cost initiatives suggested for their improvement.

  From 2000 – 2010 Ireland’s share of world tourism visitors has fallen sharply. In 2004, Ireland changed from being a destination country for incoming tourists to an origin country for Irish, outgoing tourists.

  Dublin must move from passive approval of tourist activities to an active development of tourism as a priority industry in regenerating the city’s economy. 

   

   

   

   

   

   

   

   

   

   

   

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International perception crucial for Ireland Inc

Monday the 29th of June 2009

Ireland must join the ranks of Finland, Switzerland and Singapore and position itself as a quality place to do business, writes PJ Henehan
In its report last week, the International Monetary Fund (IMF) said that Ireland’ s priorities should be to restore the health of the financial sector, ensure sustainability of the public finances, and enhance external competitiveness and growth potential over the medium term.
It points out that pragmatic and flexible responses, as well as careful contingency planning, will be required, given the complex policy dilemmas to be confronted and the prospect of only modest recovery ahead.
Although the Irish ‘‘brand’’ of the 12.5 per cent corporation tax rate is recognised worldwide as being one of the lowest available in an ‘‘onshore’’ jurisdiction, this is not enough in the current climate.
For the foreseeable future, minimising taxes will not be high on the corporate agenda; rather the focus will be on survival - securing revenues, reducing costs and managing risks. In this context, Ireland Inc needs to enhance its message if it is to retain existing employment providers and attract new ones.
Increasing competition in the international marketplace will force Ireland to take action.
The move by Britain in its recent budget to introduce full exemption from British tax for dividends from foreign affiliates is just one significant example of the increase in competition and how the tax landscape can change overnight.
If Britain were also to adopt our 12.5 per cent corporate tax rate, life would become extremely difficult for Ireland Inc.
So what practical and urgent steps should the government be taking? Ireland needs to focus more closely on the content of the ‘‘message’’ being used to define ourselves to the international market in the current climate.
The introduction of capital allowances in respect of expenditure incurred on acquiring ‘‘intangible assets’’ is certainly a step in the right direction - however, getting the wider message across in an effective manner is key to our future prospects. There are a number of essential components in any such ‘‘message’’ including cost control, innovation, reputation, skills and stability.
With unemployment rising rapidly, it is essential that the balance between public expenditure and income is rapidly brought under control. The recent budget went some way towards addressing this.
However, there has been too much emphasis on raising additional taxes without sufficient emphasis on cutting expenditure.
The most recent Central Bank quarterly bulletin states that government expenditure has increased by an average of 11 per cent a year for the past three years. This suggests that any balance of adjustment should fall more heavily on the expenditure side, rather than increasing taxes. The short term goal for the government has to be to get more people back working, and increasing taxes will not achieve that.
We need to consider how the ‘‘message’’ to promote Ireland Inc should be structured. It must be compelling, credible and relentless. It needs to set Ireland’s long-term strategy for regaining our competitiveness and it should clearly differentiate us in the international marketplace. The ‘‘message’’ in effect can be summarised very simply:’‘Ireland is a quality place to do business’’.
We need to become the destination of choice for business because of the quality of the environment, skill levels, educational standards, competitive cost base, tax incentives, grant assistance and other state aids, as well as the quality of life. A small elite group of countries - including Finland, Switzerland and Singapore - stand out as models which demonstrate these qualities. Ireland needs to do everything it can to become a member of this group.
The good news is that, apart from some specific shortcomings in regulation and corporate governance, Ireland is well placed to meet most of these requirements.
Our export deterioration appears modest relative to domestic consumer and investment contraction. International firms located here still benefit from the same tax advantages as they did during the Celtic Tiger boom years, alongside a strong education system and much-improved infrastructure.
In addition, the strength of our services sector exports, many of which require specialist skill sets, are predicted to make Ireland less ‘replaceable’ as a centre for producing these exports.
A strong coordinating force to promote all of these positive messages is currently missing and needs to be created. The message we have is being dissipated because of the number of agencies involved in its promotion.
The IDA does a tremendous job to promote Ireland, but is severely constrained due to budget cutbacks, skill shortages and a lack of ‘‘clout’’.
There is no one general who can command all of the troops and have access to the necessary funding to pursue these defined goals. The post must be created without delay.
It should be a political appointee, selected not on party political grounds but on the basis of ability - for example, a businessperson appointed specifically for this purpose to the Seanad and then to the cabinet.
This new Minister for Innovation & Investment could be funded by rationalising existing portfolios and by reducing the number of ministers of state.
The new minister’s responsibility would be to produce and implement a business plan for Ireland, which should be monitored on an ongoing basis and updated as required.
This would ensure that future business trends are identified in good time and that the changes needed to keep us ahead of the curve are implemented quickly. This minister would have political responsibility for the IDA and would have the power to call on cross-departmental assistance as needed.
Another area of focus for this minister would be to coordinate and maximise the business benefits from state visits by the President, Taoiseach and fellow ministers. The minister would draw on expertise from both the private and public sectors as appropriate, and would facilitate greater interaction between private and public sectors by encouraging secondments in both directions.
The minister would also need to have the ability to sequester senior civil servants from other departments, the financial and other regulators and the Revenue Commissioners.
He or she would also have an input into our education process to ensure that we would have an increased focus on developing entrepreneurial skills - maybe even creating a university for entrepreneurs.
Funding is a critical issue for all of this to happen. This could be addressed by investigating sponsorship and PPP opportunities.
There are a number of possibilities to consider and, if a tax deduction were available for such investments, there’s little doubt that there would be no hesitation by business in stepping up to the plate.