The Kerryman (South Kerry Edition)
‘The hard work of saving our county is only beginning’
BUSINESSES ARE REOPENING AT LONG LAST BUT THERE IS STILL GREAT ANXIETY ABOUT WHAT LIES AHEAD, AND FEARS THAT RECOVERY IS AT LEAST 12 MONTHS AWAY
MOST Kerry businesses expect to see their trade down by over 60 per cent for the rest of the summer according to a new survey carried out by Chambers Ireland.
The study – which was carried out to coincide with the reopening of the economy – found businesses that opened during ‘Phase 1’ from May 18 are experiencing less than half of their normal trading levels.
In Kerry – where the survey was backed by Tralee Chamber Alliance, and 105 businesses across all sectors took part with the majority from the hospitality, retail and tourism industries – most businesses were deeply concerned about what the rest of the summer holds in store.
Half of Kerry businesses surveyed said they expect that their earnings over the coming three months will be down by more than 60 per cent.
Amid growing fears that the situation won’t improve until at least summer 2021, most business owners said they expect their takings to be down by at least 50 per cent for the next 12 months.
Tralee Chamber Alliance said the results of the survey show clearly that much more needs to be done at a national level to stimulate the economy.
“The research clearly shows that the hard work of restarting our economy is only beginning,” said Ken Tobin, Chief Executive of Tralee Chamber Alliance.
“Under normal circumstances, the body of work to support regional towns like Tralee, Killarney and other locations in the county was difficult. For years we have been acutely aware of the regional imbalance that existed in creating new jobs and supporting our existing employers in the county. Now, with that fact that counties like Kerry have been overly impacted by COVID-19 economically, that job has become a lot harder,” said Mr Tobin.
The Kerry chambers and their counterparts nationwide are calling on Government to significantly extend the supports it is providing to businesses in order to save jobs and to keep businesses trading through the next few months.
Critically, the chambers say, the Government needs to help businesses address liquidity issues by extending commercial rates rebates and the employers’ Wage Subsidy Scheme until the end of the year.
“As businesses reopen in reduced trading conditions, they will face mounting debt as they attempt to rebuild, and Government must act now to focus supports on keeping doors open over the coming months,” said Chambers Ireland.
Mr Tobin said it also imperative that a Government is formed as soon as possible.
“Businesses in Kerry, and nationally, are very aware that many of the supports needed will not be announced until a new Government is formed, or at the very least until the Oireachtas is given the power to legislate,” he said.
“In the meantime, while that happens, businesses will struggle and many more will go to the wall without more support.
“Government must realise that the longer they hesitate in forming a Programme for Government, the more damage that is being done to the economy and in particular to regional counties like Kerry,” Mr Tobin said.
Whenever a Government is formed, Mr Tobin believes an entirely new approach will be needed when it comes to rescuing the regions’ economies.
“Government must look beyond initial support packages, and give towns like Tralee the opportunity to develop,” he said.
“We have consistently called for a National Towns Taskforce through the Department of the Taoiseach to be part of the next Programme for Government, who must now be prepared to invest billions, and not just millions to address the crisis in regional economies.
“Town centres, regional job creation and infrastructure must finally be at the centre of the Governments plans if counties like Kerry are to realistically come through this crisis,” he said.
“Government must give the incentives and legislation to our towns to address commercial vacancies, pursue job creation and invest in infrastructure and town centre housing,” Mr Tobin added.