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Dáil Éireann debate -
Tuesday, 12 Feb 1974

Vol. 270 No. 3

Ceisteanna—Questions. Oral Answers. - Dublin Growth Restraint.

25.

asked the Minister for Finance if he will specify the measures indicated in reports (details supplied) which he intends to take to restrain the growth of Dublin.

The policy of containing the growth of Dublin is implemented mainly by encouraging development in other parts of the country. The creation of employment outside Dublin reduces migration to the city, thus restraining its growth. This is one of the objectives of the Government's regional policy, which is implemented, for example, through the systematic improvement of infrastructure and through our schemes of industrial incentives. Measures have been taken under this policy to make provincial areas more attractive financially than Dublin for certain kinds of investment. Industrial grants are obtainable at higher rates outside Dublin, and, since last year, the rate of stamp duty on certain contracts for the construction of office blocks is higher in Dublin than elsewhere.

That is all very much "old hat".

Is the Minister satisfied that the differentials available by way of grants and incentives to areas outside Dublin are realistic and useful?

There are clear indications that they have been sufficient to attract more industries to less developed areas than would otherwise be there.

Does it not appear from past practice over many years that the differentials in favour of the non-Dublin area just are not sufficient to make any real impact on development throughout the country and with a view to restraining the growth of Dublin? In other words, they are not enough.

One may argue about this. The truth, probably, is that, no matter what financial incentives were given by the central Government in any country, there would be some industries which would prefer to locate themselves in highly developed urban areas. On that account there are probably some industries in the Dublin region which, if they were not located in the Dublin region, might not have come to the country at all.

There are many in Dublin that could have been elsewhere if they had not been induced to come here.

Possibly. For example, the IDA will make grants available to industries outside the Dublin region where they would not make grants available to the Dublin region.

The gap is not big enough.

We will keep looking at it.

Doing is better than looking.

Would the Minister agree that the county development teams as at present constituted are a great help in bringing industries to rural areas?

I am quite certain that the county development teams have played and will continue to play a very useful part in the distribution of industry.

Thank you.

But that is not to assume, as the Deputy seems to assume, that the advice of the Public Accounts Committee of this House will be ignored.

The Deputy does not assume anything.

In view of the continuing loss of people in some counties, particularly Mayo, would the Minister give serious consideration to the point of view put to him by Deputy Blaney, namely, that the differential is not enough between the grants given in western areas and the grants given elsewhere?

As I have already informed Deputy Blaney, we will continue to look at this and be advised by the people who are in the best position to know, that is, the IDA. It is probable that no matter what incentives and encouragements are given, some industries will decide to locate in the developed urban regions because the infrastructure may be there which may not be in the more remote regions. We are anxious to distribute industry and our own domestic regional policy and, we hope, whenever it arrives, the regional fund of the EEC, will make it easier to locate industry in the less-developed regions.

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