Fianna Fáil Jobs Spokesperson Willie O’Dea TD has criticised the Government’s decision to hike VAT rates.
Deputy O’Dea commented, “At a time when all analysts agree that the single most important priority in the economy is to generate consumer confidence, it is completely counterproductive to hike the tax on consumption at this time. This will hit businesses in every community in the country and is another example of the Government taking the easing options instead of having the courage to tackle public spending.
“It was highly ironic that Minister Noonan chose to confirm the plan while in the North. The only people who will benefit from this policy are northern retailers. The irony seemed lost on him however as he sought to muddy the waters claiming that it was a requirement of the EU / IMF deal. This is not correct. While we agreed to increase VAT rates, our approach was to do it much more gradually, as economic growth returned and consumer confidence stabilised.”