The Small Firms Association has warned that strict adherence to the Programme for Prosperity and Fairness (PPF) will be necessary if the Republic is to remain competitive and sustain further strong economic growth.

In its spring economic statement, the SFA chairman Mr Kieran Crowley states that although nominal wage costs in the State will rise faster than those in the rest of Europe, provided the pay element of the PPF is strictly adhered to, there will be no negative impact on competitiveness because of increases in productivity.