The Irish Small and Medium Enterprises Association (ISME), expressed concern over the continued increases in state influenced business costs.
The Association demands that Government address the underlying inefficiencies that are driving inflation and warned that, though inflation is relatively low at present, the high government influenced costs borne by business are inhibiting employment growth.
Inflation currently stands at 0.1%, a composite rate for all price changes, which conceals increasing state-influenced business costs being borne by SMEs.
According to ISME Chief Executive, Mark Fielding, “although inflation continues to be low, state-influenced business costs such as electricity, gas and local charges are increasing. The latest Eurostat figures show that Irish industry pays the third highest electricity costs in the EU. SME owner-managers are struggling to keep their prices competitive because of the uncompetitive charges which they are forced to pay”.