See Search Box
lower down this column for searches of Finfacts news pages. Where there may be
the odd special character missing from an older page, it's a problem that
developed when Interactive Tools upgraded to a new content management system.
Finfacts is Ireland's leading business information site and you are in its
business news section.
Finance Minister Brian Lenihan debating the Finance Bill 2011 in the Dáil this afternoon
Finance Bill: Minister
for Finance Brian Lenihan told the Dáil today that the Government is
planning to bring amendments to the Finance Bill relating to
the universal social charge.
The proposal is to introduce
a lower rate of 4% for those holding a medical card, from
the rate of 7% in the Bill.
However, self-employed people earning more than €100,000 will
pay an extra 3% surcharge on any incomes above that amount.
The Minister said this would mean such people would be back
at the levels they were before the Budget.
The charge, introduced in the Budget, amalgamated the
health and income levies. It had three rates - 2%, 4% and
Lenihan said the change would apply for the
lifetime of the four-year plan.
The cost of adjusting the
rate for medical card holders would be €80m, according to the Minister
and is to be offset by the surcharge on the self-employed
who will now pay 10%.
Meanwhile, Minister Lenihan, announced that the 90% banks' bonus surcharge "may be difficult to do," by Friday, when the Finance Bill
is expected to be ratified by the Dáil.
The tax was announced by Lenihan in December after it emerged that the bailedout
Allied Irish Banks was due to pay €40m in bonuses to executives.
The Small Firms Association
has slammed the social charge changes announced today.
“The raising of the Universal Social Change for the self
employed owner manager is not encouraging for small business
development at a time when job creation and retention should
be our primary objective!”
“The question has to be asked of Government who will be
creating the jobs in the future? The small business sector
have shown that they can grow and create employment when the
correct environment is provided. Small firms will create
employment, but can only do so if they receive the correct
support - today’s decision is not giving that support and
shows that Government do not recognise the importance of the
small business sector to the Irish economy,” said the
director, Avine McNally.
George Buckley, chief UK economist at Deutsche Bank told CNBC even without the weather problems the figure would have been on the downside. "Whatever has caused this, recoveries are never smooth," he said:
AIB Delisting:Allied Irish Banks, p.l.c. said today that
it will cease trading on the Main Securities Market (MSM) of the Irish Stock
Exchange and the London Stock Exchange and will instead be listed on the
Enterprise Securities Market (ESM) of the Irish Stock Exchange prior to market
opening on 26th January 2011.
AIB said the
proposed move to the ESM should not impact shareholders’ ability to buy or sell
shares. Shares trading on the ESM can be bought or sold through the normal
channels, including a wide range of brokers and there will be no delay in terms
of trading days between delisting from the MSM and relisting on the ESM.
Insight on the markets, the economy and the Fed, with Danny Blanchflower, an economics professor at Dartmouth, and the CNBC news team:
EU Bond Issue:
The first bond issued by the Eurozone bailout fund has
attracted offers worth €43bn - - almost 10 times what
is required to fund Ireland this month.
The bailout fund, the European Financial Stability Facility (EFSF),
which was established last May in the aftermath of the Greek
seeking to raise in the range of €3 to €5bn.
The €750bn support mechanism comprises
€440bn from the Eurozone; €60bn from the European Commission and the remainder
from the IMF.
Meanwhile, Spain achieved lower interest rates
today when it sold €2.245bn in short-term debt.
The Treasury issued the debt a day after Madrid outlined
plans to provide up to €20bn to bolster regional banks known
as 'cajas', which have been severely hit by the property
Demand was strong with almost
€12bn offered, enabling Spain to meet its target of raising
The Treasury sold €945m in 3-month bills at an
average yield of 0.980%, down from 1.804% at a similar auction on December 21st and slightly
lower than yesterday's market closing rate of 1.05%.
Spain also sold €1.3bn in 6-month bills at an
average yield of 1.817%, down from 2.597% in December but up from 1.425% at
Monday's market close.
Dermot O'Leary, chief economist at Goodbody Stockbrokers on Monday, as the political fallout from the country’s financial meltdown continues. Early elections are looming after the Green Party pulled out of the government led by Prime Minister Brian Cowen:
In New York Tuesday, the Dow
fell 31 points or 0.36% to 11,948.
S&P 500 has slid 0.17% and the Nasdaq has slipped 0.19%.
Since May 2010, the housing market has experienced an unambiguous deceleration
in home price returns: