Family Business Network stresses urgent need to undertake thorough review of rapidly rising public spending

50% increase in Government day-to-day expenditure in last seven years alone

Dublin, 6th October 2022 – Family businesses have called for the establishment of a new Government Commission on Public Expenditure in the wake of the rapid increase in public spending in recent years.

Family businesses gathered today in Killenard, Co. Laois for the National Family Business Conference expressed concern that the burden for funding continuing large increases in current day-to-day expenditure will fall on indigenous firms. It noted that voted Government current expenditure increased from €51.4bn in 2016 to a planned €77.5bn in 2023.

Business leaders highlighted the proposed increase in PRSI to fund the State Pension and other employment costs which are increasing the cost of doing business for family-owned firms.

Speaking at the conference in Killenard, John McGrane, Executive Director of the Family Business Network, said: “In the past seven years alone, Government spending has increased by 50%. While it is prudent to put in place measures for businesses and households from the current cost of living crisis, Ireland’s economy cannot sustain the rapid growth in public spending nor the hikes in businesses taxes that will be needed to fund it.

“Before we start imposing additional burdens on indigenous firms by raising PRSI and other employment costs, we should conduct a thorough review of the spending that those taxes fund.

“If we keep increasing taxes on businesses and the jobs they deliver, then we’ll ultimately have fewer jobs. Instead, we should look at where there’s waste in public spending. Every cent we save from wasted spending avoids the need to raise taxes.

“At today’s conference, the Family Business Network has committed to working constructively with government and like-minded others to identify where da-to-day expenditure could be more effective, delivering the best benefits to all of society with the best value for taxpayers’ money.”

Firms gathered today at the National Family Business Conference in Killenard, Co. Laois organised by the Family Business Network (FBN) to discuss the latest measures brought forward by the Government in Budget 2023 to tackle inflation, energy prices and the cost of doing business crisis.

Speakers included Jennifer Carroll MacNeill TD, Chair of the Fine Gael Parliamentary Party and Spokesperson for Equality and Louise O’Reilly TD, Sinn Fein Spokesperson on Workers’ Rights, Enterprise, Trade, and Employment.