Wednesday 20 June 2018

What it says in the papers: business pages

Michael Cogley

Michael Cogley

Here are the main business stories from this morning's papers:

Irish Independent

* The board of directors overseeing the Central Bank has questioned its proposed response to the damning findings of the Banking Inquiry.

The Commission, or board, that oversees the Central Bank of Ireland is made up mainly of outsiders including the Secretary General of the Department of Finance, Derek Moran, and the former head of the Economic and Social Research Institute (ESRI) John Fitzgerald, along with the bank's own most senior officials like Governor Philip Lane.

* Balance sheet management and "window dressing" were interchangeable terms in banking for a known industry practice, a former senior accountant with Anglo Irish Bank has told a trial.

Four former senior bankers from Anglo Irish Bank and Irish Life and Permanent (ILP) are alleged to have conspired to mislead investors by setting up a €7.2bn circular transaction scheme to bolster Anglo's balance sheet in 2008.

* A skills shortage in key building trades from glazing and electrical to plastering is threatening to hold back a revival in the construction sector, a new report has found.

According to building consultancy Bruce Shaw, the construction sector is expected to grow by more than a fifth this year as the property market continues to recover.

The Irish Times

* The overall cost of Dublin Airport's new runway could rise to as much as €370m as a new 87 metre high traffic control tower is needed alongside the 3km stretch.

According to a report in The Irish Times the Dublin Airport Authority must now push ahead with the construction of a new tower that could cost between €40m and €50m.

* AIB's former chief executive has said potential investors into the bank ahead of its flotation on the stock market would like to see bank officials signed up to a long-term incentive arrangement.

Mr Duffy said that investors would want executives have an incentive for the bank to succeed ahead of its expected IPO of 25pc.

* Increasing insurance costs have gone against the grain of weakening inflation across the country after average consumer prices fell by 0.3pc over the last 12 months.

Costs in insurance have been increasing and have been exceptionally so in motor insurance, where costs have increased almost a third higher than last year.

Irish Examiner

* Both rent and car insurance costs are to be at the centre of future political discourse in Ireland as they are the only two items in the average cost of living that have continued to soar.

Rent prices have continued to increase over the last three months despite the Government's rent controls that were introduced last year. The cost of renting hit its highest level since records began in March.

* The European Commission is looking to present a new raft of changes to the way in which tax is collected in order to help tackle fraud.

The Commission unveiled its new 'VAT Action Plan' on Thursday, which also includes moves grant extra autonomy to member states when it comes to rate setting.

* Visitor numbers to Kylemore Abbey in Connemara, which is home to 11 Benedictine nuns, last year increased by 15pc to 300,000.

The Abbey and its Walled Gardens is one of the most popular tourist attractions in the country and new figures show that the operation at Kylemore, in Co Galway, is a lucrative one.

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