No-Deal Brexit must be prepared for, but capital projects must be delivered

Following the Cabinet level agreement that Budget 2020 is to be prepared under a ‘no-deal’ Brexit scenario, Chambers Ireland Chief Executive Ian Talbot has welcomed this decision, specifically the regional and sectoral approach, and calls on Government to ensure that spending for capital projects is delivered.

“Decisions on Budget 2020 must be based on what we know.

Currently there is no Withdrawal Agreement, so the departure of the UK from the EU without a deal at the end of October must be the working assumption.

While we support this prudent approach by Government, Budget 2020 must back the National Development Plan and the Climate Action Plan while also engaging with the immediate challenge of Brexit.

In the short-to-medium term, all businesses across the country will require supports during the uncertainty of a ‘no-deal’ scenario.

Should a ‘no-deal’ Brexit occur, we call on the Government to collect VAT, PAYE and PRSI from all entities on the last possible working day of each month, instead of the 25th day of each month; businesses across the country will benefit from the extra working capital.

This proactive approach should not affect the monthly exchequer taxation returns. Though the Government may incur a nominal interest charge, this will have no impact on State finances while providing a welcome boost for small businesses.”

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For further information please contact Gabriel Doran, Communications & Media Executive on 01 400 4331, 086 608 1605 or email gabriel.doran@chambers.ie