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Warning of Retail Closures: Urgent Government Action Needed to Cut VAT Rates

  • Retailers warn of mass closures without lower VAT rates
  • Retail Excellence Ireland survey shows nearly half of members unable to cope with rising operating costs
  • Factors contributing to rising costs include minimum wage increase, statutory sick pay, high interest rates, tax debt, and supply chain issues
  • Retailers need significant financial support, specifically on VAT, to avoid mass closures
  • New EU rules requiring firms to pay invoices within 30 days also a concern
  • 83% of retailers have made changes to operating model due to increasing costs
  • Retailers believe current economic policies will disrupt their business in the coming year
  • Irish Hairdressers Federation also calls for urgent government action to support the sector
  • Hairdressers face difficulties with minimum wage increase and paid sick leave entitlement
  • Issues with repayment of warehousing scheme, energy costs, stock items, and insurance costs
  • Hairdressers need increased support for hiring trainees and tackling the shadow economy
  • Government announces interest rate on tax debt frozen since pandemic cut to 0%
  • Revenue Commissioners to take flexible approach to repayments
  • Ibec to host round table meeting to discuss impact of labor costs and business competitiveness.


Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.


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