IKEA plans submission to retail planning review

Swedish furniture giant IKEA has confirmed that it will make a submission to the retail planning review set up on Tuesday by …

Swedish furniture giant IKEA has confirmed that it will make a submission to the retail planning review set up on Tuesday by the Minister for the Environment and Local Government, Mr Cullen.

A spokeswoman for the firm, which is known to be interested in entering the Irish market, said IKEA would submit its position "along with many other interested parties".

IKEA's submission to the review, which will not be made for another few weeks, is likely to be considered closely by Mr Cullen.

The company has told the Government in the past that it would open in the Republic if a sufficiently large store could be constructed.

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IKEA outlets typically span 28,000 sq m. Under existing rules in the Republic, the largest single-use retail warehouse cannot exceed 6,000 sq m.

It was reported a few months ago that the company was seeking accommodation close to the Border in the North, where the retail cap does not apply, but this later turned out to be inaccurate.

IKEA's spokeswoman said the company continued to monitor developments "in the whole of Ireland" that could accommodate one of its hyperstores.

"IKEA remains enthusiastic about the Irish market," she added.

All submissions to the Minister's review must be received by October 3rd.

Other interested parties will include British DIY chain B&Q, which would open larger stores in urban centres such as Dublin and Cork if the planning rules could be relaxed.

The Irish Hardware and Building Materials Association, which represents domestic operators, has meanwhile cautioned the Minister against "merely amending the guidelines at the whim of certain large-scale retailers".

The review will examine whether and the extent to which the cap on retail warehouses has affected Ireland's price competitiveness.

Úna McCaffrey

Úna McCaffrey

Úna McCaffrey is an Assistant Business Editor at The Irish Times