‘Topics’ – Media Round Up – week ending 27 October 2013
Welcome!
Welcome to our “Weekly Round Up” – our complimentary summary of this week’s financial news. This publication includes my own commentary and index of links to articles, allowing you to scan over and tune into what’s important to you.
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Dermot.
Commentary
Following last week’s Budget, the financial news was relatively low key this week. The main stories concern the issuing of the Finance Bill which gives legal standing to the taxation measures announced in the Budget plus some additional provisions. See ‘Taxation’ below. The other main storey was the announcement that ACCBank is to cease its banking operations in 2014, with the loss of 180 jobs, to focus on debt recovery. This will be of particular concern to the Farming sector as the bank was originally established in 1927 to provide banking to the sector. All deposit accounts will be repaid in full to its 5,000 customers. It remains to be seen what affect the closure will have on the wider banking sector as it further reduces competition and availability of credit to customers.
Irish Economy
- Ireland has third biggest deficit in EU. Read more.
- Fáilte Ireland says tourism survey reveals upturn. Read more.
- SMEs to benefit from Institute of Technology links. Read more.
- Govt launches €58m advanced materials research centre. Read more.
- Trips to Ireland by overseas residents up 7.8% between July and September. Read more.
Taxation
Finance Bill 2014, which gives Budget 2014 a legal standing, is issued.
- Major changes from Budget speech / previously unannounced items are:
- The Government is introducing new measures to stop Revenue officials from prying into taxpayers’ affairs when it is not required.
- an exemption from income tax for the annual allowance of €1,000 paid to volunteers in the Garda Reserve.
- grants paid to companies participating in the JobsPlus scheme, which encourages employers to hire the long-term unemployed, will not be subject to tax.
- home renovation, which can now be claimed on work undertaken from 25 October as opposed to jobs that begin in January 2014.
Local Property Tax (LPT) – Points to note…..
- In case you’re about to sell / purchase a residential property this coming week, 1 November 2013 is the date on which residential property must be held in order to be liable for LPT 2014.
- The Revenue will be writing to taxpayers over comings week(s) requesting details of how they wish to pay their 2014 LPT tax. November 7 is the deadline to respond should you wish to pay by paper payment instructions OR November 27 should you decide to confirm online to pay by phased payments.
- Anyone you paid their 2013 LPT by direct debit or by deduction at source do not have to notify Revenue as these methods of payment will continue to apply for 2014 unless you wish to pay 2014 by another method.
- There is no need to value your property when replying to Revenue as the valuation chosen when calculating the 2013 LPT will apply until 2015.
Banking / Credit
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Bank of England to raise rates sooner than expected? Read more.
- ACCBank to close banking network with loss of 180 jobs: Irish Times Business 26 October 2013
Property
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Northern Irish property depressed: NAMA chairman. Read more.
- Development land prices triple in less than a year; Read more Sunday Business Post Property 27 October 2013
Global Economy
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US job growth lost momentum before budget fight hit. Read more.
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Exports pull Spain out of recession in third quarter. Read more.
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£25m fund established for Northern Ireland’s SMEs. Read more.
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Britain’s economy growing at its fastest pace in more than three years. Read more.
Stock Markets
- Trend positive despite mixed global data: Irish Times Business 26 October 2013
- London FTSE advances after report shows UK growth tallies with quarterly forecast
- Dublin Iseq slips back as dealers indicate ‘pretty flat’ session with values up just over 0.5%
- European stocks posted a third weekly gain
- Stoxx Europe 600 up 0.5%
- New York stocks erased gains as losses in raw-material producers and healthcare providers offset rally in IT sectors