A significant feature of Ireland’s strong economic story in 2018 has been a surge in corporation tax receipts. Ibec has championed the analysis that Ireland’s business model – one based on substance – is attracting new forms of global investment which in turn leads to spectacular rises in corporation taxes.
We are lobbying Government to use the recurring corporate tax receipt surge for greater infrastructure investment rather than into current expenditure as is currently the case.
Another trend, however, is also emerging in the Irish economy. Costs are rising and competitiveness in the business environment is eroding.
Looking into 2019, it is imperative that Ireland uses the proceeds of corporation taxes wisely, while simultaneously tackling rising costs that stem from a long-standing infrastructural deficit.