EXCLUSIVE INTERVIEW WITH TAOISEACH
SPOKE ON RANGE OF ISSUES FROM VAT TO EMPLOYMENT
Former TD Brendan Mcgahon greets An Taoiseach Enda Kenny TD at the Fine Gael Christmas Party along with Mairead Mcguinness MEP and Senator Jim D'arcy.0
DUNDALK was praised by Taoiseach Enda Kenny for efforts to stimulate the local economy and attract new investment.
The Taoiseach visited Dundalk on Friday night ahead of a Fine Gael dinner at the Ballymascanlon hotel, speaking on a range of issues from the impact of the proposed 2% VAT hike in the border area to the battle with Limerick for a major jobs investment by US company PayPal.
'I am delighted to be in Dundalk tonight to honour a commitment I made to Deputy Peter Fitzpatrick,' said Mr. Kenny.
Speaking at the Dundalk TD'S offices in Market Square, he remarked on the celebrations taking place for the unveiling of the new plaza.
' There is a fabulous energy in Dundalk tonight, and it is great to see people bustling in and out of shops. It is a real sign of a vibrant, positive atmosphere.
'I commend the efforts that are being made to stimulate trade and the local economy, and I wish them well.'
But the Taoiseach acknowledged the impact on towns in the border area, particularly Dundalk, of a VAT increase in the budget, but argued that it was not the main 'conduit' for shoppers heading north.
' The evidence shows that it is currency fluctuations that have the biggest impact on the decisions people make on where they shop.'
He did admit, however, that a VAT increase on alcohol, which at the time of going to press was being flagged, would have an impact on cross border shopping.
'It is all about perception. Any increase will not impact on all goods... there is tremendous value for people shopping at home.'
He defended the move, saying that a decision had been made not to increase income tax rates.
' You have to make choices, we are not increasing income tax rates, and feel it is better not to take money from people, but give them that certainty.'
The Taoiseach also indicated his support for the campaign to reduce commercial rates for businesses along the border.
'Fine Gael have been at the forefront of this issue. There is no doubt there is serious pressure on the retail industry.'
He added: 'It is within the remit if local authorities to freeze or reduce rates, and I am aware that a number have already done so.'
'It is all about getting confidence back (in towns like Dundalk).'
- OLIVIA RYAN
