Insurance costs forcing firms out of country

BUSINESSES are moving out of the country at an alarming rate as bogus compensation claims drive up the price of insurance.

Hundreds of jobs have been lost as firms decide to expand their businesses abroad because of insurance price hikes of up to 1,000%.

Supermacs boss Pat McDonagh, whose fast-food chain employs hundreds of people, yesterday, said he was planning to focus on business in the US because the cost of premia was crippling his business. Century Homes has also decided to transfer the construction of a major new manufacturing plant to Northern Ireland, while Kildare-based West End Knitwear has moved one of its businesses to the Baltics with the loss of 45 Irish jobs. The owners of Blarney Castle have had to raise entrance fees after paying an extra 250,000 in insurance this summer.