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23 Oct 2025

Incentives needed to help Longford businesses survive

Reinstatement of the VAT rate has been detrimental to the hospitality sector

Incentives needed to help Longford businesses survive

reinstatement of the VAT rate has been detrimental to the hospitality sector. Image by Nenad Maric from Pixabay

There was a substantial debate on the need for incentives for small businesses in rural areas at the May meeting of Longford County Council.


A motion calling for such incentives to be introduced was tabled by Fine Gael councillors Garry Murtagh and John Browne.
The motion stated, “We are calling on members to write to the Taoiseach Simon Harris and the Minister for Enterprise, Trade and Employment, Peter Burke, to incentivise businesses in small rural villages, such as shops, fuel stations, pubs etc., supporting them into financially viable, sustainable and sought after business, by means of making them tax exempt on a percentage of their annual turnover.


“Thus preserving the survival of small villages, the fabric of small rural life and putting an end to ghost villages where vacant premises have been left to crumble or in more recent times turned into accommodation.”


Speaking on the motion, Cllr Murtagh said that “villages like Cashel, Killashee and Abbeylara need support from ministers and the Taoiseach.”

Also read: Palpable fear as Longford's St Christopher’s running a €4.4 million deficit


Cllr Browne told the meeting that, “small businesses are eking out a living. They have already paid VAT on goods brought in.”
Supporting the motion, Cllr Warnock said, “this is a common sense motion. Rural Ireland has got an awful wallop. Rural towns and villages have not recovered. The reinstatement of the VAT rate has been detrimental to the hospitality sector. There have been in the region of 1,000 restaurant closures. I believe that a task force or action plan is needed in order to restore rural Ireland to some semblance of what it once was.”


Cllr Ger Farrell also supported the motion. “I am involved in a small business. The rates rebate scheme that was introduced is not enough. Costs for business have skyrocketed,” he explained.


Cllr Seamus Butler also agreed with the motion. “A lot of things have been piled on small businesses. The increase in the minimum wage is an example. Some owners would not even be getting the minimum wage themselves,” he commented.
“The council has one incentive within our gift. That is the incentive scheme for commercial premises. It was introduced in March 2015,” he added.


Cllr Peggy Nolan called it an “excellent motion.” “Pubs and restaurants are closing early in Longford town. Until recently, when Herterichs opened on a Sunday, it was nigh impossible for people to get breakfast in Longford on a Sunday,” she stated.


Cllr Pat O’Toole also supported the motion. “The Government needs to look at the 13.5% VAT rate. One size does not fit all,” he stated.

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Cllr Colin Dalton told the meeting that “restaurants are struggling. They need support. We need to have a strong voice on this, we have great businesses in Longford.”


Cllr Martin Monaghan also contributed to the debate. “VAT increases are detrimental to business. It is the small costs that will kill rural Ireland,” he commented.


“These small business owners are willing to put their neck on the block. We will lose rural Ireland,” he added.

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