VAT Rate Increase Could Jeopardise Creation of 200 New Jobs

DUN LAOGHAIRE, Ireland - Oct. 7, 2013 - PRLog -- “Keep VAT at 9%” is the message from Apache Pizza owner Robert Pendleton to the Minister for Finance, Mr. Michael Noonan, T.D.  Since May 2011, this wholly Irish owned company has created 300 new jobs and opened 32 stores when this Government first mooted this 9% VAT rate.  In July 2011 Minister Noonan did indeed reduce VAT in the food and hospitality industry from 13.5% to 9% as part of the Jobs Initiative 2011.

Just yesterday, Apache Pizza opened two new stores, with ten more set to open by February/March 2014 and a further five in the pipeline. The company plans to create another 200 jobs in the next 18 months, but this is based on keeping costs, including the VAT rate, down.  The Minister has made comments suggesting the rate will revert to 13.5% in the forthcoming Budget.

“Increasing VAT from 9% to 13.5% is effectively a 50% tax hike”, commented Robert Pendleton, Managing Director, Apache Pizza.  “In order to maintain and increase our employment levels we need to retain the current 9% rate.”

Apache Pizza (www.apache.ie) is a fully Irish owned quality pizza delivery company with over 70 stores nationwide. The market for delivered and take-away food is improving on a nutritional level, driven by discerning clients.  Apache Pizza is leading the way by working with Howth-based company, Health Pro, by providing nutritional values advice and portion sizing not only on the website but also on all menus.

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