The Irish Stock Exchange (ISE) welcomed yesterday’s announcement by the Minister for Finance, Michael Noonan TD, to end stamp duty on the purchase of shares in Irish companies listed on the ISE’s Enterprise Securities Market (ESM). The exemption from 1% stamp duty comes into effect from 5 June and will reduce the cost for pension funds and individuals of investing in Irish growth companies.
Stamp duty measure makes public equity markets more accessible
The measure should make public equity markets more accessible for companies when raising finance and will enable Irish SMEs to scale more easily, creating jobs and growth in the Irish economy.
Stamp duty measure ensures Irish companies are on a level playing field internationally
The announcement ensures Irish companies quoted on the ISE’s ESM, a market designed for companies in their earlier stages of growth, are on a level playing field with their international peers in the UK and other countries when competing for Irish and international investment.
ISE to continue campaign for MSM companies
The ISE continues to campaign for the abolition of stamp duty for Irish companies listed on the ISE’s Main Securities Market (MSM) and welcomed the Minister’s commitment in last year’s Budget to undertake a review of Ireland’s stamp duty regime in 2017 as part of Government’s response to Brexit.
Deirdre Somers, Irish Stock Exchange
Deirdre Somers, ISE CEO, commented:
This is about making it easier for Irish businesses to scale-up. This is great news for Ireland and Irish companies looking to raise equity finance on the Enterprise Securities Market. Fundamentally this is about making it easier for Irish businesses to scale-up and the Minister deserves every credit for recognising that this measure will benefit Irish companies looking to attract much needed Irish and international investment and creates a better environment for expansion, job creation and growth in Ireland.
We are confident that the benefits for the Irish economy of eliminating stamp duty on investing in ESM companies will become clear very quickly and we hope that the Government’s wider review of the stamp duty regime will result in the measure being extended to all Irish-quoted companies making it easier for them to access finance and scale their business.