Since the UK vote to leave, developments have been rapid and dramatic. The outcome has convulsed British politics, significantly increased economic uncertainty and will dominate the domestic and EU agenda for years. The task now is to ensure Irish interests are protected and advanced as we move towards formal exit negotiations.
No other organisation is better positioned to support and represent you at this time. In addition to national and UK media interviews setting out the business perspective, see links below, Ibec has had a series of high-level meetings with ministers and stakeholders to take stock, exchange views and plan ahead. I have discussed the outcome and response with key members of Cabinet at the National Economic Dialogue, the leaders of Europe's business federations, the leadership of the Confederation of British Industry (CBI) in London, and senior EU policy makers. Ireland has a unique economic relationship with the UK and Ibec is working to ensure this is fully appreciated from the outset. But we need to do much more. We need to re-position Ireland for the challenges, opportunities and uncertainties ahead. No time should be wasted.
Yesterday's news that the UK plans to slash corporation tax to shore up their attractiveness as an investment location is an early, but unsurprising indication of the post-Brexit political and economic reality. Ibec has long highlighted the competitive threat from the UK's increasingly pro-business tax regime, others need to take note. I set out some key principles that should define Ireland's response in yesterday's Irish Times and on Morning Ireland, see links below. It should involve a major overhaul of our business and personal tax offering, cooperation with the UK on areas of mutual interest, but aggressive competition in areas where we need to stay ahead.
As sterling drops we need to stay competitive and keep business costs under control, including labour costs. Now is not the time to sit on the sidelines and see what happens. Next week we'll publish a comprehensive submission setting out how the upcoming budget should respond to the vote. I'll be back in touch with full details.
Of course the work of Ibec is always informed by your priorities. Yesterday you should have received a survey from me with a series of questions about how the UK vote may already be affecting your business, or potential future implications. Please take the time to fill it in, or get back to me directly with comments. It's always great to hear from you.
Events are moving fast, I'll keep you posted on how Ibec is working for you.
All the best
Selection of recent Ibec media interventions:
Irish Times opinion piece: Ireland must compete and collaborate with UK: http://goo.gl/OvVb9J
Danny McCoy interview on BBC Radio's The World Tonight: www.ibec.ie/0/BBC
Danny McCoy interview on RTE's Morning Ireland: www.ibec.ie/0/RTEMorningIreland
Danny McCoy interview on the Irish Times Business Podcast: www.ibec.ie/0/Podcast
Danny McCoy interview on Today FM’s The Last Word: www.ibec.ie/0/TheLastWord
Ibec/CBI Joint statement in response to Leave vote:
Tuesday, 5 July 2016