Hi °C | Lo °C Philip Grimason's article on April 17, criticising Finance Minister Peter Robinson's recent financial services agreement with the Republic'sFinance Minister Brian Cowen contains some factual errors.
First, Republic of Ireland finance companies locating in Northern Ireland will not have 'a massive tax advantage' as they will not be displacing activity from any local firms. Second, any Republic of Ireland firms that transfer functions to Northern Ireland will pay all UK taxes due.
Finally, this financial services announcement will allow financial institutions in the Managed-Funds sector to transfer employment to Northern Ireland. These jobs that do not currently exist in Northern Ireland.
This is in line with the Executive's Programme for Government which targeted attracting high value employment to Northern Ireland. That is why both finance ministers declared the initiative a 'win/win' for both economies.
MICHAEL BRENNAN
Finance and Personnel Dept
