The Royal Institute of the Architects of Ireland has made a Pre-Budget Submission to Government on key issues that could positively affect the construction sector and support the viability of architectural practices.

Registered architects are providing vital services to the community particularly in rural Ireland, providing a necessary service and not a luxury but the current VAT threshold limits for services is impacting on their ability to survive and operate successfully. RIAI Proposals therefore include a reduction in the VAT rate charged on residential projects from 23% to 13.5%.

The RIAI also proposes an increase in the threshold at which architects are obliged to register their business for VAT which is when turnover exceeds €37,500. The threshold compares unfavourably with our nearest neighbours in the UK, where a threshold of STG £85,000 applies.

Other recommendations focus on increasing public infrastructure investment; and a review of the process for tendering for public works, to ensure that unnecessary regulations do not exclude the ability of small practices from tendering for public contracts.