'Build up or lose out' - Dublin Chamber warns Government of Dublin's pivotal juncture
+ Chamber President Stephen O'Leary calls on Minister for Finance to reduce CGT rate for indigenous SMEs
Thursday 21st September 2023: Speaking to over 1000 Dublin businesses tonight, President Stephen O'Leary will impress upon attendees Dublin's bold and bright trajectory into the future, while candidly addressing the considerable challenges that must be tackled to progress. Championing both the potential of the city's diverse labour market and the importance of fostering start ups, O'Leary will also urge government to address the urgent need for enhanced infrastructure, housing, and sustainable energy solutions to accommodate Dublin's rapid growth.
O'Leary will also advocate for a reduction in the Capital Gains Tax (CGT) rate to 20%, adding “Dublin Chamber are looking for this lower rate to be applied to indigenous, unquoted firms in Ireland. We look to you Minister, to reward those entrepreneurs who take a chance, who put their spirit and energy into creating and growing the businesses of the future."
Michael McGrath, Minister for Finance, will deliver his own address tonight to the 1000+ business representatives attending Dublin Chamber’s 2023 Annual Dinner.
Below is a copy of Stephen O'Leary's speech.
President’s Annual Dinner Speech 2023
Opening Welcome
Thank you, Mary Rose.
Welcome Ambassadors, Ministers, Oireachtas members, distinguished guests, and all my fellow Dublin Chamber members.
It is my pleasure to welcome you all here this evening. We are drawn together by a deep, shared commitment to the prosperity of Dublin, achieved in a sustainable manner, and with high living standards for all citizens.
Intro
As we celebrate all things Dublin here tonight, one thing remains steadfast – the sense of optimism that pervades our city. At the start of my term earlier this year, I highlighted a host of reasons why the future of our capital city is undeniably a bright one. And, with all I’ve seen and done since, from the people I’ve met, the conversations I’ve had, both at home and abroad, I hold fast to that belief.
Central to this belief is growth. Dublin is growing by all measures, and as exciting as this is, there’s no denying it comes with challenges. As a dad to a 4-year-old and 6 year old, growing pains are something I’m acutely familiar with. My wife and I are presented with constant questions as our daughters try to make sense of the world around them. Explaining that although, yes, I am a president, no, we don’t get to live in the big house next to the Zoo. But for all the questions, we are rewarded with laughter, and love.
What is Dublin
Dublin faces its own growing pains. But before we discuss the challenges and opportunities they present, we must begin by defining what Dublin is.
Dublin is home to almost half of those who graduate in Ireland. This steady stream of talent is the life blood of the many businesses that locate here. Dublin is a proud multicultural city. One in five people living in Dublin were not born in Ireland. People from across the country move to Dublin, as I did from Cork, to make it their home. The Dublin region thrives on the benefits of diversity that can be seen throughout business, culture, and our daily lives.
Dublin is more than just a city or a county; it is a thriving metropolitan region that goes far beyond traditional county lines. Over 170,000 people who live outside of the county of Dublin, work in Dublin. It is this Functional Urban Area – that stretches as far as Naas and Bray – that the Government must consider when addressing the challenges the region faces.
The labour market is tight, so better housing and economic infrastructure is needed for the region. The labour force is diverse, yet many people, be they older or working in the home, face severe financial disincentives for their families if they take up employment. For this reason, we have called on the Minister to remove and lessen these barriers in Budget 2024, with appropriate income tax measures and better universal supports for childcare.
What about how Dublin should be governed? How should Dublin be run? We have welcomed the debate brought about by the Citizen's Assembly on a Directly Elected Mayor, and indeed, with the right powers and budget, a directly elected Mayor has the potential to be a great advocate for champion for Dublin.
Government are considering how best to progress the debate as we speak. We believe further analysis of the functions that may be devolved to a Dublin Mayor is critical. If there is to be a vote amongst Dubliners, it needs to be much better informed, and certainly not rushed.
Growing Pains
When I addressed you at our AGM Dinner, I talked about the growing pains the Dublin region is facing. The growth has continued. Census 2022 shows us population forecasts for Dublin and the wider Greater Dublin Area are being exceeded – projections made as recently as 2018. The Dublin region has some of the fastest growing areas in the country. It will soon exceed the projections made for 2031.
Like any good business, Government uses these projections to assess what investment is required in fur key areas: housing, public transport, water supply and energy capacity. But now that these projections have been greatly exceeded, Government need to act and enhance their plans and ambitions for the region. Delays in decision making are costing Dublin dearly.
Firstly – housing. Although supply is increasing – and in the right places – sustained progress and delivery for many years ahead is required. One of the key attributes of more sustainable cities is they are higher density. Brownfield sites – land often used for low level commercial or industrial purposes – must instead be used to provide more housing close to the city, in tandem with transport orientated development projects across the Dublin region. With around 50,000 inactive sites, and planning permission ready to go, creating high density living should not have to mean urban sprawl. More houses must be built on zoned serviced land next to public transport hubs in the commuter areas around Dublin.
This leads to our second growing pain – public transport. Government must accelerate Metro, rail, tram and Bus Connects projects that can service these areas. People living in Wicklow are left to deal with a single-line slow rail service into Dublin. This is not workable. What is needed is twin tracking and a passing loop for intercity trains to provide commuters from the Southeast a quick, efficient and sustainable rail link to their places of work. Progress through the planning system on public transport is simply too slow.
Cities are inherently sustainable as they allow for the more effective and efficient delivery of services and means of generating growth and employment. Better public transport will allow Ireland to meet its emissions targets, but also help companies, whose staff and customers use these services, in their efforts to go green.
The third key growing pain is water supply. Legislation to allow water flow from the Shannon in the West to meet the needs of the East was passed last December. Nine months later, we are still waiting on the relevant Statutory Instruments to make that legislation live.
And last, but by no means least – the fourth key growing pain is Energy. Dublin faces two key energy challenges. One, an antiquated grid system straining at the seams to meet the growth in population and business needs. And Two, simply not enough energy supply. Dublin can be part of the solution. By upgrading the grid, electricity generated by offshore wind can be brought onshore when needed, and converted to storable, sustainable fuels such as hydrogen when not. Although it will cause disruption in the short term, it is critical that the Powering Up Dublin project is completed on time for the 2029 target outlined by Eirgrid.
While the growing pains are clear – so too are the opportunities they present. Central to the future of the Dublin economy will be the continued growth of startups, stay-ups, entrepreneurs and SMEs. 15 years ago, I founded Olytico, and the growth of the Data and Analytics sector in Dublin since then has been phenomenal. However, with rising interest rates impacting the availability and affordability of finance, now is the time for Government to look again at the question of Capital Gains Tax. It was a Fianna Fail Minister for Finance in the past who cut the rate of CGT to 20%. Dublin Chamber are looking for this lower rate to be applied to indigenous, unquoted firms in Ireland. We look to you Minister, to reward those entrepreneurs who take a chance, who put their spirit and energy into creating and growing the businesses of the future.
Conclusion
Finally, I would like to take this opportunity to thank AIB who have kindly sponsored tonight’s Annual Dinner and are great supporters of entrepreneurial ambition in Ireland.
Thank you to all the staff who have organised and put together this event, a true celebration of Dublin Business.
To Mary Rose and all the team at Dublin Chamber: thank you for your continued commitment in ensuring the best for Dublin business.
I grew up in Cork, idolising Sean Óg and a generation of Cork hurlers and footballers, their success instilling a sense of pride, and reminding us of what was possible, of the opportunities.
Today, my two girls have their own role models, players like Hannah Tyrell and Cara Rowe inspiring them to show up on a Saturday morning in Na Fianna, with hopes and dreams of emulating the success of their heroes. Dublin is their home, and 20 years on from first coming here to study, I’m proud to call it my home too.
As President of Dublin Chamber, I’ve been privileged to gain a greater insight into how people in this city work, and how the city works for them. How businesses of all shapes and sizes are not just surviving but thriving.
The challenges facing Dublin are formidable. But my optimism and excitement for the future of the city has never been greater. With continued co-operation between the business community and Government, I am confident Dublin will fulfil its unlimited potential.
Thank you.
-ENDS-
Notes for Editors:
Stephen O’Leary is the 134th President of Dublin Chamber. Stephen is Founder and Managing Director and Founder of Olytico.
Cathy Bryce from event sponsors AIB and Rosheen McGuckian, CEO, NTR, will also speak at the event in the Convention Centre Dublin.
For further information please contact:
Órla Mannion | Public Affairs Manager | Dublin Chamber | orla@dublinchamber.ie
About Dublin Chamber:
Dublin Chamber is the largest chamber of commerce in Ireland with over 1,300 member companies. It is the most representative and broadly-based business group in the Greater Dublin Area, providing representation and networking services. Its policy work focuses on developing the Dublin region’s infrastructure & transport, promoting competitiveness, and improving local governance. Dublin Chamber is also one of the oldest chambers of commerce in the world, tracing its origins back to 1782.