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Interview

 Danny McCoy

Danny McCoy, CEO, Ibec with former Ibec President Edel Creely and An Taoiseach Leo Varadkar pictured at Ibec’s annual President’s Dinner at the RDS last year

“MY PREDICTION IS THAT BRITAIN WILL LEAVE THE INSTITUTIONS AND REMAIN FULLY ALIGNED ON ALL THE THINGS THAT MATTER TO BUSINESS. IT WILL NOT DEVIATE FROM EUROPEAN RULES.”

“It’s only in the last year that we’re starting to see some solidity where people believe that Britain will now leave. And the ones with an alternative proposition – the ‘remainers’ – are saying they want to have another referendum. They may, they might not. The most likely scenario now, in my view, is that Britain will be out of the European institutions come next March or there will possibly be some delayed timeframe, and I think the EU will facilitate that delay. “My prediction is that Britain will leave the institutions and remain fully aligned on all the things that matter to business. It will not deviate from European rules. They will try to get an agreement on services so Britain will stay fully aligned. This actually is 180 degrees from where the Brexiteers told the people they would take them. Yes they’ll be out, they’ll have no influence, but they will be fully aligned.”

Over Reliance Meanwhile, as Brexit negotiations continue, Ireland has been forced to take a closer look at itself and its economy. Among concerns raised has been this country’s reliance on foreign direct investment. According to

McCoy, we need to question what aspect of FDI we’re reliant on. “The FDI is actually very diversified; it’s not all eggs in one basket when it comes to food and drink, pharmaceutical, medtech, financial services and so on,” he explains. “It’s not concentrated; it’s spread across the sectors, and makes a huge contribution to our GDP and exports. “Where we have an over-reliance is on corporate taxation. Ten companies pay 40 per cent of our corporate tax. Our overreliance is really from the money we get from taxation and while over-reliance isn’t a good thing, the money is.” McCoy advises that we need to properly invest the fruits of FDI, and thereby assure companies that they have made the right locational choice in Ireland. “How do we use this really positive thing that has happened to us? Take that money and make sure that we spend it on sustainable, renewable, productive assets like public infrastructure, completing the motorway system, making sure universities are ranked higher than they are now. This is not just about corporate taxation. If it was just based on being a tax haven, there would be better places to go in the world than Ireland.”

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19/10/2018 09:59

Profile for Ashville Media Group

Better Business Q3 2018  

Official magazine of Small Firms Association

Better Business Q3 2018  

Official magazine of Small Firms Association