Budget 2017: Challenges faced by small firms not addressed
Now, with economic growth moving in the right direction, one could be forgiven for thinking the benefits of this improved economic situation would reach all sectors of the economy. SMEs have suffered greatly throughout the recession and the independent off-licence sector is no exception.
As chairman of the National Off-Licence Association, which represents independent off-licences throughout Ireland, I am keenly aware of the 3,000 jobs that have been lost, and 551 off-licences that have closed in our sector since 2008. Our experienced and trained members have been forced to close their doors, and the community has lost businesses which employed locally and traded alcohol responsibly.
This budget once again fails to address some of the very significant and complex challenges facing small businesses. My business has been operating for nearly 40 years in Cork and like many other local businesses we are investing locally. However, failing to reverse severe excise duty increases from 2013 and 2014, hampers our potential to further invest in our communities and create jobs.
If the Government is committed to achieving full employment by 2020, retailers must be assisted to play a part in achieving that goal. A return to the 2012 level of excise on alcohol would go toward this by creating almost 2,000 jobs in communities all across Ireland. Without a ban on below invoice cost selling, alcohol can simply be used to drive footfall in large mixed-trade outlets which poses a threat to communities. The continuation of such a punitive policy especially in the wake of Brexit makes us fearful that retailers and SMEs operating in the drinks sector will be left behind in terms of the ongoing recovery.
Our members have already experienced lost sales due to an increase in cross-border shopping, driven by a weak sterling.
With Brexit approaching, we simply ask for an equitable and sustainable trading environment to ensure we can contribute to the growing recovery across the country.
