Govt urged to reduce reliance on low-tax policies

A group appointed to review Ireland’s industrial policy has urged the Government to focus more on training, research and development in order to maintain economic competitiveness in an enlarged EU.

In a report published today, the group, appointed by Tánaiste Mary Harney, said the Government should reduce its reliance on low-tax policies because the new EU member states cold undercut Ireland in this regard.

Instead, the group said the Fianna Fáil-Progressive Democrats coalition should invest more in workplace training and give a higher priority to research and development.

It also said there was a need for third-level institutions to improve links with business to ensure that graduates have the correct skills.