Tuesday, 23 Jan 2024

Written Answers Nos. 229-249

Archaeological Sites

Questions (229)

James O'Connor

Question:

229. Deputy James O'Connor asked the Minister for Public Expenditure, National Development Plan Delivery and Reform if he will carry out an assessment of a recorded archaeological monument in County Cork (details supplied); if this structure is suitable for a future planned works programme owing to a decline in the structure of same; if it would be possible for the local authority to apply for funding under the community monuments fund for repair works here under future tranches of the scheme; and if he will make a statement on the matter. [2919/24]

Written answers

Minister of State at the Department of Public Expenditure, National Development Plan Delivery and Reform

Castlelyons Abbey, Co. Cork is a National Monument under the Guardianship of the State.

The Office of Public Works is planning on carrying out masonry repairs and conservation of the monument subject to the receipt of Ministerial consent from the Department of Housing, Local Government and Heritage. The works will be scheduled once Ministerial consent has been granted.

Due to some anti-social behaviour at the site, there is graffiti to be removed and this work will be undertaken by OPW work staff as soon as possible.

A National Monument under the care of the OPW is not eligible for funding from the Community Monuments Fund.

Flood Risk Management

Questions (230)

Thomas Pringle

Question:

230. Deputy Thomas Pringle asked the Minister for Public Expenditure, National Development Plan Delivery and Reform when funding will be provided to Donegal County Council through the OPW for works for a sea wall which is to be built in County Donegal (details supplied); and if he will make a statement on the matter. [2931/24]

Written answers

Minister of State at the Department of Public Expenditure, National Development Plan Delivery and Reform

Coastal protection and localised flooding issues are matters, in the first instance, for each local authority to investigate and address. To assist Local Authorities in managing the coastline for coastal erosion, the Office of Public Works (OPW) has undertaken a national assessment of coastal erosion (including erosion rates) under the Irish Coastal Protection Strategy Study (ICPSS) and the results of this study have been published on the OPW website. This data enables Local Authorities to develop appropriate plans and strategies for the sustainable management of the coastline in their counties.

The Report of the Inter-Departmental Group on National Coastal Change Management Strategy was published in October 2023. This report contains a range of recommendations centred on developing management responses to coastal change over the short, medium and longer terms and providing a comprehensive whole of Government approach to the development of the range of policy responses that the challenge of coastal change encompasses. With regard to short-term measures, the report included a recommendation for local authorities to continue to identify potentially vulnerable locations that could be affected by coastal change, and to engage with local communities to help ascertain the most appropriate interventions.

The Minor Flood Mitigation Works and Coastal Protection Scheme was introduced by the OPW on an administrative, non-statutory basis in 2009. The purpose of the scheme is to provide funding to local authorities to undertake minor flood mitigation works or studies to address localised flooding and coastal protection problems within their administrative areas. Applications for funding from local authorities for measures, or studies, costing up to €750,000 can be made under this scheme. Funding of up to 90% of the total cost is available, subject to meeting specific economic, technical, social, and environmental criteria.

Since 2009, OPW has approved funding under this scheme of approximately €2.3 million to County Donegal. At present, no request for funding has been received by the OPW, from Donegal County Council, for proposed works at Tory Island. The OPW welcome applications from Local Authorities and will review and assess any such application, if received, in line with the relevant eligibility criteria.

Public Sector Pensions

Questions (231)

Emer Higgins

Question:

231. Deputy Emer Higgins asked the Minister for Public Expenditure, National Development Plan Delivery and Reform on the situation confronting gardaí enlisted post-1995 who are required to retire at age 60 years but are ineligible for their full pension until 66 years of age; what measures are in place to bridge this pension gap, which compels numerous retired Garda members to depend on social welfare; and if he will make a statement on the matter. [2935/24]

Written answers

Minister for Public Expenditure, National Development Plan Delivery and Reform

For all public servants who are fully insured (Class A PRSI) and who have been appointed before 1 January 2013 (introduction of Single Scheme) pension payment comprises of three components:

1. Public Service Occupational Pension payable by the public service employer from Voted expenditure, the calculation of which takes account of Social Insurance benefits that may be payable to the individual,

2. Social Insurance Benefit(s) (Jobseeker’s Benefit, State Pension Contributory (SPC) etc.), payable, subject to eligibility, by the Department of Social Protection (DSP) from the Social Insurance Fund and

3. Where the full rate of SPC is not payable, a bridging pension equivalent to a non-integrated pension i.e. a pension based on 1/80th per year of service to max of 40 years, referred as an ‘Occupational Supplementary Pension’, which is payable, subject to eligibility, by the public service employer from Voted expenditure.

This approach is often referred to as an ‘integrated’ pension, as it takes into account the fact that employees are fully socially insured and includes the value of the social insurance benefit(s) in the total value of the pension. This is to prevent “double pensioning” where both an occupational public service pension and the SCP would be payable.

In some cases, through no fault of the civil/public servant, they do not qualify for the full SPC or qualify for a Social Insurance benefit at less than the full rate of SPC; however, their occupational pension has assumed that they will receive the full State Contributory pension. The occupational supplementary pension provision provides that the occupational pension may be modified through a supplementary adjustment, to ensure a post 1995 recruit receives a total benefit (both occupational pension and Social Insurance benefits) which amounts to the pension which would have been payable if the occupational pension not been so integrated. The occupational supplementary pension is therefore essentially a bridging payment to ensure that an individual’s overall public service pension entitlement is met.

As mentioned above, the payment of an Occupational Supplementary Pension component is subject to eligibility, including the following:

• A public service pensioner may only qualify for an occupational supplementary pension if they have reached minimum pension age in their scheme, or have retired on grounds of ill-health;

• Are not engaged in paid employment;

• Fail to qualify for a Social Insurance benefit or fail to qualify for such benefit at the maximum rate. Their failure to qualify must be due to causes outside their control.

Under the current process, as per criterion (iii) above, a retired public servant must engage with the DSP and exhaust their entitlement to Jobseeker’s Benefit in order to qualify for the payment of an occupational supplementary pension. The individual must comply with Social Welfare requirements and have proof that they do not qualify for social insurance payments. There is an onus on the individual to engage with the DSP and to comply with any requirements DSP may have.

My Department are fully aware that the requirement to engage with DSP as part of the process for qualifying for an occupational supplementary pension is presenting difficulties for individual Gardaí, and at INTREO offices. My officials are in the process of reviewing the processes involved and have been engaging with key stakeholders with a view to establishing if a more efficient and streamlined approach is possible.

Departmental Data

Questions (232)

Catherine Murphy

Question:

232. Deputy Catherine Murphy asked the Minister for Public Expenditure, National Development Plan Delivery and Reform if he will clarify whether the transfer of data and/or records from his Department that is transferred to other departments, State bodies and local authorities is in aggregated form or on an individual basis; and the reason the data and/or records are provided. [3087/24]

Written answers

Minister for Public Expenditure, National Development Plan Delivery and Reform

I wish to advise the Deputy that a deferred reply will be issued to her in respect of this Parliamentary Question, in line with Standing Order 51(1)(b).

Mining Industry

Questions (233)

Ged Nash

Question:

233. Deputy Ged Nash asked the Minister for Enterprise, Trade and Employment his views on correspondence (details supplied) from a union in relation to a company (details supplied); and if he will make a statement on the matter. [2350/24]

Written answers

Minister for Enterprise, Trade and Employment

I met with the trade unions that represent Tara Mines workers on the 17th January and discussed the Government's commitment to doing everything it can to assist in reopening the mine on a sustainable basis. This includes making available the industrial relations machinery of the State and in this respect discussions are ongoing between the management and unions facilitated by the Workplace Relations Commission.

The objective for all parties is to arrive at a position where a sustainable resumption of operations at the mine is possible and the process at the Workplace Relations Commission is crucial to achieving this objective. It is important that government respects this process.

During the meeting, I reiterated that the Government is committed to providing all possible assistance to facilitate an early reopening of the mine. Relevant Departments and agencies will continue to engage on supports that can assist with an accelerated and sustainable resumption of operations.

The Government, in recognition of the strategic importance of mining in Ireland, has agreed that, subject to the sustainable resumption of activities at Tara Mines, officials will explore the possibility of supports to incentivise longer term investment in the potential Tara Deep project by Boliden Tara Mines

Co-operative Sector

Questions (234)

Jennifer Murnane O'Connor

Question:

234. Deputy Jennifer Murnane O'Connor asked the Minister for Enterprise, Trade and Employment if he has considered the re-establishment of the co-operative development unit within his Department to provide training support and advice to co-operatives; and if he will make a statement on the matter. [2382/24]

Written answers

Minister of State at the Department of Enterprise, Trade and Employment

The issue as to whether the Department would re-establish the co-operative development unit is part of the bigger issue regarding potential overall supports for the co-operative sector. There are a number of aspects to this issue. One of the most significant forms of assistance for the sector will be the introduction of a modern legal framework which will place the co-operative model on a more favourable and clear legal basis. This will encourage the consideration of the co-operative model as an attractive formation option for entrepreneurs and also for social and community activities. A modern legislative basis, including strong corporate governance requirements, will also provide confidence to stakeholders and help to encourage investment in co-operatives.

My Department continues to engage widely with key stakeholders to raise awareness of the proposed legislation and the potential for those who wish to follow the co-operative ethos to grow and prosper under the modernised co-operative regime. This includes liaison with the co-operative sector and their representative bodies; the enterprise development agencies within the remit of the Department; other relevant Government Departments; professional advisors and direct communication by the Registrar with individual societies.

Supports to enterprises through the enterprise development agencies are not necessarily based on the model of business formation but on the distinctive needs of a particular enterprise at a key point of its journey. The choice of corporate model is a matter for the founders of any business and this Department does not promote any corporate structure over any other. The forthcoming legislation will complement the already modernised and consolidated regime applying to companies.

At the moment, it is considered that the most appropriate way to raise awareness of the potential benefits of the co-operative model is through existing channels and structures. However, my Department is keeping the matter under review in the context of preparations for the forthcoming legislation.

Work Permits

Questions (235)

Mattie McGrath

Question:

235. Deputy Mattie McGrath asked the Minister for Enterprise, Trade and Employment for an update in relation to the extension of work permits to the equine industry; and if he will make a statement on the matter. [2521/24]

Written answers

Minister of State at the Department of Enterprise, Trade and Employment

The 2023 Review of the Employment Permits Occupation Lists has delivered comprehensive changes to the employment permits system, with changes to 43 occupations eligible for either a General Employment Permit or a Critical Skills Employment Permit.

A report which summarises the changes introduced following the review of the occupations lists can be found on the Department’s website.

One particular occupation in the equine industry for which demand has outstripped labour supply is that of Work Rider. It was initially provided with a quota for General Employment Permits (GEP) following engagement with the sector, relevant Departments and stakeholders. However, it was noted that given the nature of the Work Rider occupation, an application for the role may satisfy the conditions for the grant of a Sports and Cultural Employment Permit (SCEP), subject to the relevant criteria.

Therefore, Work Rider was not included in the process to review the occupations lists. It was concluded that for the purposes of a simplified customer experience, and effective processing, this occupation should continue to be provided for under the Sports and Cultural Employment Permit, at the standard conditions detailed on the Department’s website.

For further information on the Sports and Cultural Employment Permit type, please review my Department’s website at the following link: enterprise.gov.ie/en/what-we-do/workplace-and-skills/employment-permits/permit-types/sport-and-cultural-employment-permit/.

Business Supports

Questions (236, 242)

Alan Dillon

Question:

236. Deputy Alan Dillon asked the Minister for Enterprise, Trade and Employment for details of the business support schemes introduced to support SMEs in relation to the cost of doing business; and if he will make a statement on the matter. [2589/24]

Pádraig O'Sullivan

Question:

242. Deputy Pádraig O'Sullivan asked the Minister for Enterprise, Trade and Employment when the increased cost of business grant will be rolled out; if details of the scheme have been sent to local authorities; and if he will make a statement on the matter. [2700/24]

Written answers

Minister for Enterprise, Trade and Employment

I propose to take Questions Nos. 236 and 242 together.

I understand that the support scheme that the Deputy is referring to is the Increased Cost of Business (ICOB) grant. The ICOB grant was announced as part of the Budget 2024 package and will be particularly targeted at Small and Medium sized businesses who operate from a rateable premises. Firms who do not have a rateable premises are not within the scope of this scheme. The total allocation for the ICOB grant is €257m.

Officials in my Department are currently working with the Local Authorities on the administration of the Increased Cost of Business grant to ensure that support can be provided in early 2024. It is important that I be clear that the scheme is a once-off grant provision and not a commercial rates waiver. Firms should continue to pay their commercial rates due in full.

The administration of the ICOB will be carried out by Local Authorities and it is intended that the grant will be provided to qualifying premises in the first quarter of this year. It is not intended that there be a formal application process, rather it is intended that the business will be contacted directly by the local authorities.

A Service Level Agreement (SLA) is currently being drafted between the Department of Enterprise, Trade and Employment and the Local Authorities, to underpin the operation of this scheme. This SLA will cover the delivery, funding, and oversight arrangements for the grant scheme. The details of this SLA are currently being progressed with the Local Authorities.

To ensure that the smallest firms see the greatest benefit, the grant will be paid at a rate of half the enterprise’s 2023 commercial rates bill, for firms paying up to €10,000 in rates. For those paying between €10,000 and €30,000 in rates, they will receive a grant of €5,000. This further ensures that smaller premises receive a higher proportional grant.

Eligibility for the ICOB grant will be assessed on the basis of an applicant satisfying a minimum of the below conditions:

• The business is a commercially trading business operating directly within a premises that is commercially rateable by a Local Authority.

• The business has provided confirmation of its bank details to the respective Local Authority.

• The business is rates compliant, including those businesses with a phased payment arrangement in-place.

• The business is tax compliant, and in possession of a valid Tax Registration Number.

Industrial Disputes

Questions (237)

Darren O'Rourke

Question:

237. Deputy Darren O'Rourke asked the Minister for Enterprise, Trade and Employment if he is aware of the ongoing industrial action at the emergency call answering service in Navan; if he is aware that they have balloted for strike action; if he is aware that a company (details supplied) has refused to attend the hearing at the Workplace Relations Commission; if it is permissible that a company carrying out a State contract can refuse to attend a hearing at the Workplace Relations Commission; and if he will make a statement on the matter. [2595/24]

Written answers

Minister of State at the Department of Enterprise, Trade and Employment

At the outset, it is important to emphasise that Ireland’s system of industrial relations is essentially voluntary in nature and responsibility for the resolution of industrial disputes between employers and workers rests in the first instance with the employer, the workers and their representatives.

This dispute is essentially a matter for the company and its employees to resolve. I, as Minister have no role in these matters.

I would urge the parties to come together in an effort to resolve the issues which should hopefully lead to a resolution to the current situation.

For its part, the State provides the industrial relations dispute settlement mechanisms to support parties in their efforts to resolve their differences.

The Workplace Relations Commission (WRC) and the Labour Court are independent offices of my Department. Recommendations arising from the WRC and the Labour Court are not legally binding. Therefore, the State cannot compel a party to comply with a recommendation.

The awarding of State Contracts is a matter for the Office of Government Procurement.

Flood Relief Schemes

Questions (238)

David Stanton

Question:

238. Deputy David Stanton asked the Minister for Enterprise, Trade and Employment if he is considering supporting owners of business properties who were not operational and not covered by flood insurance at the time of the flooding caused by Storm Babet so that the property can be repaired for future business use; and if he will make a statement on the matter. [2596/24]

Written answers

Minister of State at the Department of Enterprise, Trade and Employment

The Emergency Humanitarian Flooding scheme is available to businesses with up to 20 employees, (whole-time equivalents), community, voluntary and sporting bodies that through no fault of their own cannot secure flood insurance.

For the purpose of this scheme a small business is defined as one with up to 20 employees (whole-time equivalents). The business premises must have been damaged by flooding caused by the severe weather events which occurred during the period 17th October to 13th November 2023. This fact must be verified by the relevant Local Authority.

At the time of the flood, the business must have been trading and in rateable premises (where the premises is not subject to commercial rates, the applicant should supply a tax clearance certificate as supporting documentation, or where this is not available, a recent official document from Revenue showing the tax registration number of the business). Some businesses which were temporarily closed at the time of the flooding may be eligible as long as they had been trading in the 6 months prior to the date of flooding (to cover seasonal businesses etc) and that the support provided will be used to get the business back up and running.

Financial assistance by way of a low-cost loans may be available from Microfinance Ireland to small businesses that cannot get loan financing from other lenders. Loan options include cashflow loans of up to €25,000, which can be used for general business purposes including re stocking and other business costs. Loans for capital expenditure are also available which could fund the refurbishment of premises or the replacement of equipment.

The Emergency Humanitarian Flooding Schemes closed to applications on 15th December 2023.

Flood Relief Schemes

Questions (239)

David Stanton

Question:

239. Deputy David Stanton asked the Minister for Enterprise, Trade and Employment if outdoor businesses which have not been able to secure flood insurance and who were subsequently affected by flood damage caused by Storm Babet will be considered for funding under the Red Cross emergency business flood relief scheme; if not, why such businesses are not considered for the replacement of business fixtures and fittings under the scheme; if there exists any scope for the review or appeal of an application refusal in this regard; and if he will make a statement on the matter. [2597/24]

Written answers

Minister of State at the Department of Enterprise, Trade and Employment

The Emergency Humanitarian Flooding scheme is available to businesses with up to 20 employees, (whole-time equivalents), community, voluntary and sporting bodies that through no fault of their own cannot secure flood insurance.

For the purpose of this scheme a small business is defined as one with up to 20 employees (whole-time equivalents). The business premises must have been damaged by flooding caused by the severe weather events which occurred during the period 17th October to 13th November 2023. This fact must be verified by the relevant Local Authority.

At the time of the flood, the business must have been trading and in rateable premises (where the premises is not subject to commercial rates, the applicant should supply a tax clearance certificate as supporting documentation, or where this is not available, a recent official document from Revenue showing the tax registration number of the business).

Where the fixtures or fittings of the business are outdoors due to the nature of the business, they would be considered eligible for the scheme.

The Scheme closed to applications on 15th December 2023.

Enterprise Support Services

Questions (240)

Jennifer Murnane O'Connor

Question:

240. Deputy Jennifer Murnane O'Connor asked the Minister for Enterprise, Trade and Employment the status of an application from Carlow County Council for an enterprise campus in Carlow town (details supplied); and if he will make a statement on the matter. [2616/24]

Written answers

Minister of State at the Department of Enterprise, Trade and Employment

Balanced regional development is a priority for this Government. Since 2017, my Department, through Enterprise Ireland, has approved over €134m in funding for 79 enterprise focused projects through the Regional Enterprise Development Fund and Border Enterprise Development Fund.

The Regional Enterprise Innovation Scoping Scheme (REISS) supports the development of potential innovative regional projects aligned with the objectives of the nine new Regional Enterprise Plans. The REISS offers feasibility and priming grants to help create a strong pipeline of projects for future funding calls; 49 projects were approved REISS funding of €3.5m in 2022.

Carlow Community Enterprise Centres CLG secured €72,422 in funding through the REISS. This funding was earmarked for the formulation of a business plan and design master plan for the enterprise campus situated on O'Brien Road, Carlow.

I have been advised by Enterprise Ireland that these plans were finalised in late 2023, and active engagement has commenced with Enterprise Ireland’s Southeast Regional team to compile a comprehensive application for consideration under the €145m Smart Regions Enterprise Innovation Scheme (SREIS), which is co-funded under the European Regional Development Fund and opened for applications last October.

The overall objective of the SREIS is to drive innovation, job creation and enterprise development in each region throughout Ireland by delivering key enterprise ecosystem supports.

Applicants to the SREIS are required to submit a comprehensive business and funding plan, which will undergo thorough review and assessment by Enterprise Ireland. Carlow Community Enterprise Centre is expected to submit a formal application in the coming months following successful completion of the REISS Priming funded activity.

Official Travel

Questions (241)

Catherine Murphy

Question:

241. Deputy Catherine Murphy asked the Minister for Enterprise, Trade and Employment he will provide a schedule of official flights and costs of same taken by him in 2023; if a schedule will be provided of all hotels he stayed in in 2023, including hotel name and cost per night while on official State business; and if the same information will be provided in respect of all accompanying staff and advisers. [2641/24]

Written answers

Minister for Enterprise, Trade and Employment (Deputy Simon Coveney)

My Department is compiling this data and is in communication with some of our Agencies in respect of details for input, where they led on parts of the travel arrangements. I will provide the information directly to the Deputy as soon as possible and within ten days. 

The following deferred reply was received under Standing Order 51

Please see document below.

Parliamentary Question 2641/24

Question No. 242 answered with Question No. 236.

Export Controls

Questions (243)

Catherine Connolly

Question:

243. Deputy Catherine Connolly asked the Minister for Enterprise, Trade and Employment further to Parliamentary Question No. 250 of 28 November 2023, to which no reply has been provided to date, the details of all export licences under the various categories of the Control of Exports (Goods and Technology) Order that have been approved and are currently in existence for export of goods to Israel; the number that fell within the scope of Commission Delegated Regulation (EU) 2018/1922; the type of export licence issued in each instance; if his Department has been made aware of exemptions from licensing requirements by exporters; and if he will make a statement on the matter. [2718/24]

Written answers

Minister for Enterprise, Trade and Employment

Commission Delegated Regulation (EU) 2018/1922 was an instrument to amend Council Regulation (EC) No 428/2009 setting up a Community regime for the control of exports, transfer, brokering and transit of dual-use items.

To take account of changes to the list of goods that are classed as dual-use, the Regulation is amended periodically, by way of updates to the Annexes. Regulation 2018/1922 was one such amending regulation.

Regulation 428/2009 and Regulation 2018/1922 are no longer in force and have been replaced by Regulation (EU) 2021/821 of the European Parliament and of the Council setting up a Union regime for the control of exports, brokering, technical assistance, transit and transfer of dual-use items (recast).

The Regulation sets out in Annexes the list of dual-use items that are included in controls. There is no provision within Regulation 2021/821 for the Department to issue licensing exceptions, and no such provision existed in the previous regulations.

The number of live individual dual-use licences issued to Irish traders in respect of exports to Israel is set out in the table below by category.

Category	Number issued
0	1
2	4
5	27

Enterprise Policy

Questions (244)

Louise O'Reilly

Question:

244. Deputy Louise O'Reilly asked the Minister for Enterprise, Trade and Employment where Ireland currently ranks on the World Bank 'ease of doing business' index; what plans his Department has to improve this; and if he will make a statement on the matter. [2812/24]

Written answers

Minister for Enterprise, Trade and Employment

Publication of the World Bank’s (WB) indicators, in the Doing Business report, has now been suspended indefinitely, while the WB formulates a new approach to assessing the business and investment climate in economies worldwide. It is expected that a new set of indicators, to be published as the ‘Business Ready’ (B-Ready), will not be available in the near term. However, there are alternative tools that can be used to assess Ireland’s performance in this regard.

On 20th June 2023, the Institute for Management Development (IMD) published its World Competitiveness Yearbook 2023. This year’s report ranks Ireland as the most competitive country in the euro area and the 2nd most competitive economy in the world (out of 64 economies), an improvement from 11th position last year.

The IMD Competitiveness Yearbook assesses and ranks 64 economies around the world based on their ability to create and maintain a competitive business environment. The rankings are based on more than 336 indicators grouped across four pillars: Economic Performance, Government Efficiency, Business Efficiency, and Infrastructure.

Ireland rose six places under Economic Performance between 2022 and 2023 (up from 20th position in 2021). Ireland’s ranking under Government Efficiency continued to improve in 2023, reflected in a move from 13th to 7th place in 2023. Ireland’s performance in Infrastructure improved marginally in 2023 (ranked 19th up from 23rd in 2022). Finally, Ireland improved its performance under the Business Efficiency pillar in 2023, moving up from 11th in 2022 to 3rd place in 2023I.

The National Competitiveness and Productivity Council published its Competitiveness Challenge report in September 2023. The Council has made 19 policy recommendations to Government centred around the areas of infrastructure delivery, energy generation and consumption, as well as improved performance on research, development, and innovation. The Government published its response to Council’s recommendation on 28th November 2023.

The Government’s approach to enterprise policy continues to be guided by the priorities set out in the White Paper on Enterprise 2022-2030 – published in December last year. The White Paper aims to ensure that Irish-based enterprises can succeed internationally, through a focus on innovation and productivity. To achieve the vision set out in the White Paper on Enterprise, across Government we are focused on seven priority enterprise policy objectives:

• integrating decarbonisation and net zero commitments;

• placing digital transformation at the heart of enterprise policy;

• advancing Ireland’s FDI and trade value proposition;

• strengthening the Irish-owned exporting sector;

• enabling locally trading sectors to thrive;

• stepping up enterprise innovation; and

• building on Ireland`s existing strengths and opportunities, through a clustering approach.

Wider supports for SME`s and Entrepreneurs set out in the White Paper on Enterprise 2022-2030 include; supporting firms to decarbonise and providing fiscal support for firms in the green and digital sectors; improving access to finance for start-ups and scale-ups; increasing the number of first time exporters; increasing productivity growth in domestic sectors; expanding programmatic supports to capture additional SME`s/Entrepreneurs; enhanced assistance for HPSU`s; and reducing the regulatory burden on SME`s/Entrepreneurs.

The White Paper also includes an examination of the key components of the competitive enterprise environment including cost of doing business, alongside infrastructure, skills and talent, access to finance, taxation and regulation. The first Implementation Plan for the White Paper on Enterprise was published in May of this year, and identifies a portfolio of 40 new and ongoing initiatives and projects across the seven priority objectives set out in the White paper. The first update report detailing progress made across Government on these initiatives and projects is due to be published shortly.

Enterprise Policy

Questions (245)

Louise O'Reilly

Question:

245. Deputy Louise O'Reilly asked the Minister for Enterprise, Trade and Employment for an update on the application of the SME test since its introduction; if he feels it is being applied in a manner which delivers for SMEs; and if he will make a statement on the matter. [2813/24]

Written answers

Minister of State at the Department of Enterprise, Trade and Employment

The SME Test is a regulatory impact assessment tool that encourages policymakers across Government to consider the impact new legislation or regulations may have on SMEs. The Test was designed by my Department to ease the regulatory burden on SMEs, and should be applied by all Departments to new relevant legislation.

Implementation of the Test is a commitment in the Programme for Government and is one of the reforms under the National Recovery and Resilience Plan (NRRP). As part of the NRRP reform, a series of milestones were agreed between the Department of Enterprise, Trade and Employment and the European Commission, including the establishment of a reporting framework across Government Departments to measure uptake of the Test. In Q1 2022 my Department established a cross-Government network to identify and ensure that the SME Test is applied to all relevant upcoming legislation.

The Test sets out the following four-steps for policymakers to consider when drafting legislation as part of the Regulatory Impact Assessment: identification of affected businesses; consultation; assessment of impacts; and consideration of mitigating measures.

Since its launch in 2021, officials in my Department have been monitoring, on a quarterly bases, the application of the SME Test and to date 11 Departments applied the test to 21 pieces of legislation.

This Department is committed to ensuring the SME Test is being applied in a manner which delivers for SMEs and will be increasing engagement with the cross-government network in 2024.

Enterprise Policy

Questions (246)

Louise O'Reilly

Question:

246. Deputy Louise O'Reilly asked the Minister for Enterprise, Trade and Employment for an update on the 'Global Ireland 2025'; the successes to date on diversifying export markets and delivering inward investment and tourism; and if he will make a statement on the matter. [2814/24]

Written answers

Minister of State at the Department of Enterprise, Trade and Employment

Global Ireland 2025 is a whole-of-Government strategy, led by the Department of Foreign Affairs, that aims to double Ireland’s global footprint and influence in the period 2018 to 2025. In July 2023, a review of the strategy found that implementation has brought significant benefits to Ireland, including by equipping our country to better withstand the challenges of recent years; positioning Ireland to make effective contributions on issues of national and global concern, and supporting a diversification in markets and international alliances.

With regard to the actions in the Strategy for delivery by the agencies of my Department, I can update as follows:

Accelerate diversification of export markets by Enterprise Ireland clients

Enterprise Ireland (EI) is working to double the total value of client exports outside the UK from the 2015 baseline; to double Eurozone exports; and to increase the diversification of client exports into new markets by 2025. This approach is working. EI client companies are achieving international sales at record levels, driving innovation and bringing the Irish Advantage to a wide range of sectors including MedTech, High-Tech Construction, Fintech, Agri-Tech, ICT and emerging technologies.

Enterprise Ireland reported strong levels of export performance by its client companies in 2022 - €32.1bn, up over 55% since 2015. In 2022 exports to the Eurozone region saw record levels of €7.9bn, while exports to North America stood at €5.5bn in 2022, up from €2.9bn in 2015. The UK market, with exports of €9.2 billion now accounts for 29% of client exports, in 2015 this was 37%. These performances reflect EI's emphasis on the importance of diversifying into new markets as a result of Brexit whilst also retaining a strong export presence in the UK where exports have increased by €1.7 billion since 2015.

EI has expanded its global presence through the opening of eight new offices internationally in Munich, Lyon, Manchester, Copenhagen, Montreal, Seattle, Melbourne and Ho Chi Minh City. These offices are being embedded into the Enterprise Ireland overseas network; and will help to build new buyer relationships in markets where growth opportunities have been identified.

EI continues to scale its international export marketing campaign “The Irish Advantage”, a digital export promotion campaign focused on stimulating awareness of Irish products and services in international markets and encouraging buyers to source from Ireland.

Accelerate diversification of FDI source markets, doubling growth in IDA-supported project investments from non-US markets in the period 2018-2024.

As part of its current Strategy Driving Recovery and Sustainable Growth 2021-2024 , Market Diversification is a key focus for IDA Ireland in terms of sectors and broadening the geographic profile of investment.

IDA Ireland will continue its focus on winning investment from Europe, the UK, and Asia-Pacific and is aiming to grow the base of clients from Asia-Pacific in Ireland, building upon the strategic projects secured in recent years and on the international ambitions of target clients. IDA Ireland will continue to build awareness of Ireland’s value proposition in locations with significant potential as FDI source markets.

The United States, as the world’s largest economy and innovation leader, will remain a key market as IDA Ireland continues to target job creating investment opportunities arising from disruptive innovation, digital transformation and environmental sustainability.

IDA’s focus on diversifying investments has paid dividends over the past number of years with an increasing share of investments coming from outside North America, this share has increased from 29% for 2010 to 2014 to 33% for 2015 to 2019, to 35% in the current strategy to date (2021-2023).

Actions in Global Ireland 2025 relating to the development of the tourism sector are a matter for my colleague the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media.

Enterprise Policy

Questions (247)

Louise O'Reilly

Question:

247. Deputy Louise O'Reilly asked the Minister for Enterprise, Trade and Employment where Ireland stands on the Total Early-Stage Entrepreneurial Activity index by comparison to the OECD average; and if he will make a statement on the matter. [2815/24]

Written answers

Minister of State at the Department of Enterprise, Trade and Employment

Entrepreneurs are vital to the success of the Irish economy and the continued growth of our economy is highly dependent on entrepreneurs and the businesses that they create, develop, and grow.The Total Early-Stage Entrepreneurial Activity (TEA) Index, is a product of the Global Entrepreneurship Monitoring Report. Ireland last participated in this report in 2021/2022 and the TEA rate for Ireland was 12.5%, significantly above the EU average of 8.4%. The report does not include an OECD average for comparison. The OECD Missing Entrepreneurs 2023 report states that in Ireland, “the proportion of people working on start-ups and managing new businesses (i.e. TEA rate) was above the EU average between 2018 and 2022 (12% vs. 7%). The shares were higher for women (9% vs. 6% in the EU), youth (18-30 years old) (15% vs. 9%) and seniors (50-64 years old) (9% vs. 4%)”.The SME & Entrepreneurship Growth Plan (2021) was developed by the SME Growth and Entrepreneurship Taskforce made up of entrepreneurs, business leaders and other individuals uniquely positioned to contribute to a long-term vision for the SME sector. This built on a comprehensive review of SME & Entrepreneurship Policy in Ireland, completed by the OECD in 2019.The Taskforce’s Growth Plan sets out a wide range of recommendations with long-term strategic relevance for SME and entrepreneurs, including measures to assist companies to start up, scale up, enhance their digital and green capabilities, and increase export activity.There has been significant progress on implementation of the priorities. The Taskforce brings annual progress reports to government. The Taskforce will continue to meet and report to Government in 2024.

Enterprise Policy

Questions (248, 249, 258)

Louise O'Reilly

Question:

248. Deputy Louise O'Reilly asked the Minister for Enterprise, Trade and Employment for an update in relation to his Department's efforts to stimulate more exporting and internationalisation in the SME population, including broadening export markets beyond the British market; and if he will make a statement on the matter. [2816/24]

Louise O'Reilly

Question:

249. Deputy Louise O'Reilly asked the Minister for Enterprise, Trade and Employment for an update on the percentage of Irish SMEs currently exporting and the domestic value added in Irish exports from SMEs; and if he will make a statement on the matter. [2817/24]

Louise O'Reilly

Question:

258. Deputy Louise O'Reilly asked the Minister for Enterprise, Trade and Employment the current percentage of Irish SMEs who export; whether exporting by SMEs has increased, decreased, or remained the static since this Government came to office; if his Department has a target to increase SME exporting; if so, the target; and the timeframe for same. [2837/24]

Written answers

Minister of State at the Department of Enterprise, Trade and Employment

I propose to take Questions Nos. 248, 249 and 258 together.

To achieve sustainable, diversified growth, and enhanced economic resilience, it is vital that the Irish-owned enterprise sector fulfils its potential to scale and succeed on global markets.

The White Paper on Enterprise sets out an ambition for 2,000 additional Irish-owned exporters by 2030. To help achieve this ambition, Enterprise Ireland has a strategic priority of fostering an environment that nurtures entrepreneurship, supports the sustainable growth of Irish-owned firms and increases and diversifies Irish exports. In addition, the Local Enterprise Offices are working to help smaller prospective exporters to develop the required capacities.

Enterprise Ireland supports to exporting SMEs include direct financial assistance through grants, loans, and equity investments; Market Research and export development assistance; funding and mentoring for Innovation and Research; and facilitating international trade missions and market access opportunities.

Enterprise policy is supporting Irish companies in their growth into international markets by addressing barriers in access to finance and building stronger pipelines for company development through consistent agency support measures.

Irish-manufactured products continue to compete very well on world markets. The most recent figures illustrate that 2022 was a record year for Irish-owned business in terms of international sales. Companies supported by EI achieved export sales of €32.1 billion, an increase of 19% on the previous year, and growth occurred across all overseas regions and in individual industry sectors. Exports to the UK increased by 13% and the Eurozone increased by 28%. The Eurozone now accounts for 25% of all exports by EI client companies with a value of €7.9 billion.

In the UK, which remains EI clients’ largest market, exports increased to €9.2 billion, or 29% of total exports, despite the continued challenges of volatility and uncertainty. The North American Market remained strong during the year with a growth rate of 13% of exports and now accounts for €5.5 billion or 17% of total exports. Food and Sustainability, Technology and Services, and Industrial and Life sciences were the fastest growing sectors, increasing by 22% to €16.258 billion, 18% to €7.397 billion and 14% to €8.525 billion respectively.

These are significant exports results and reflect the incredible innovation and ambition of the Irish enterprise sector and demonstrate the continued strength of Irish products and services in international markets.

I have referred the Deputy's request for statistics relating to the percentage of SMEs that currently export and the domestic value added from exporting SMEs to the Central Statistics Office, who have undertaken to engage directly with the Deputy on this.

Question No. 249 answered with Question No. 248.