In its pre-budget submission, the business lobbyist has strongly recommended that the Government establish a national infrastructure fund. Fergal O’Brien, Ibec’s executive director of lobbying and influence, expressed the organization’s desire for budget measures that would ensure consistent investment in infrastructure, regardless of economic conditions. O’Brien’s comments were made during an interview with the Sunday Independent, following the launch of his organization’s pre-budget submission.
Regarding the housing crisis, O’Brien mentioned that employers are reluctantly entering the property market to provide housing for their staff. He acknowledged that employers would prefer not to be involved in this space, as it complicates various issues related to employee relationships with the company. However, some companies have no other choice and find themselves becoming reluctant landlords.
The trend of employers entering the property market is growing across different sectors, from indigenous businesses to multinational companies. O’Brien highlighted that younger workers are more likely to be without a home compared to older generations. This leaves them vulnerable to the negative effects of rising rents and the limited availability of suitable rental accommodations.
When asked about investment in Ireland and its impact on infrastructure, O’Brien pointed out that there are missed opportunities, particularly from foreign multinationals. Many of Ibec’s members, especially those from international groups, are being questioned about their capacity for expansion. While there is demand for increased output, companies are concerned about the constraints they face. O’Brien emphasized that the ongoing capacity pressures represent a missed opportunity for economic growth in a country that is performing well.
Ibec recommends a total additional package of €8.7bn in its submission, including €1.8bn for infrastructural delivery. A significant portion of this funding, €3.5bn, should come from this year’s projected budgetary surplus and be placed in the infrastructural fund. Additionally, the organization suggests allocating the €6bn already in the National Reserve Fund towards this goal. The target is to reach €30bn in the infrastructural fund by 2030.
Ibec is also calling for €700m to improve housing delivery measures. The organization proposes the introduction of a 5% VAT refund on new homes for buyers and further investment in affordable and cost-rental housing. These suggested measures differ from the Government’s proposed package.
Denial of responsibility! VigourTimes is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
