andMr. Tully asked the Minister for Industry, Commerce and Tourism the reason there was a shortfall of £0.47 million in the take-up of the estimated capital expenditure of £4.4 million on tourism in the Public Capital Programme for 1980; if he will identify those areas in which capital expenditure wa not made; and if he will make a statement on the matter.
Ceisteanna — Questions Oral Answers - Tourism Expenditure.
19.
The shortfall took place in the allocation for Bord Fáilte's New Bedroom Scheme for hotels under the Development of Holiday Accommodation subhead of my Department's Vote. A sum of £2 million was provided for this scheme in 1980. This sum was in respect of progress payments on the number of new bedrooms which were expected to get under way in 1980. In the event the number of actual "starts" was less than the number envisaged when the allocation was settled because of delays encountered by developers in launching their projects.
Has the Minister, in conjunction with Bord Fáilte, made a detailed investigation of the reason why these delays in the starts took place? Can he indicate whether it reflects the difficulties that the tourist industry and in particular the hotel industry are experiencing?
Bord Fáilte have carried out an in-depth discussion with the people involved. The people who have not arranged their starts have found that there were many difficulties, some concerning planning permission, others with arranging finance. Also the main tourist season intervened and the starts were postponed until the autumn. Bord Fáilte have been in contact with the people who have not made the starts and are in constant contact with the industry about making the starts.
In view of the overall cutback in expenditure, are the Department, through Bord Fáilte, in a position to signal the continued availability of these moneys in the forthcoming year once the delays have been overcome?
Yes, and they have been in contact with the people involved again on that matter and have pointed out the full position.