Dáil Éireann debate -
Tuesday, 21 Nov 1995

Vol. 458 No. 5

Written Answers. - County Enterprise Boards.

Austin Deasy

Question:

33 Mr. Deasy asked the Minister for Enterprise and Employment if he has satisfied himself that the county enterprise boards are a success; and if not, if he will consider handing their functions and financing over to the relevant local authorities. [17255/95]

Kathleen Lynch

Question:

55 Kathleen Lynch asked the Minister for Enterprise and Employment the criteria used to allocate funding to the various county enterprise boards; his views on whether there is a gap between the funding allocated to rural and urban county enterprise boards on a per capita basis; if he will consider weighting the funding according to factors such as unemployment levels; and if he will make a statement on the matter. [17235/95]

Minister for Enterprise and Employment (Mr. R. Bruton)

I propose to take Questions Nos. 33 and 55 together.

During the initial phase of the county enterprise initiative, the limit on approval capacity for project supports was provided to the CEBs on the basis of equal shares for each board. In practice, however, the level of approvals and the level of funding drawn down varied from CEB to CEB depending on the level of activity under way in each board area. I am at present examining a number of options for producing a system of differentiated allocation of enterprise support capacity between county enterprise boards based on a broad band of criteria, which will balance the need to treat all areas of the country fairly with the need to secure the maximum possible effectiveness of the county enterprise initiative nationwide. Among the factors which will be taken into account in weighting the funding will be the relative size and population of each CEB area, the level of disadvantage in each area and the capacity of each area to create new enterprise.

The county enterprise boards have been operating on an informal basis since they were established in late 1993. Their activities to date have consisted of the provision of advice and grants for small businesses starting up or expanding. Based on returns supplied by the 35 CEBs for 1994, their first full year of operation, the boards assisted in the creation of some 1,776 full-time and 263 part-time jobs. In total, over 4,000 projects have been approved by the boards since their establishment, involving grant approval of over £35 million, which are projected to lead to cover 6,000 full-time and 1,500 part-time jobs.

I am satisfied with the performance of the county enterprise boards to date, the more so since the boards have until recently been operating on a relatively limited interim basis. I expect to see this performance enhanced in future years by the wider range of enterprise development supports available to the boards under the Operational Programme for Local Urban and Rural Development, 1994-99.

I have no plans to alter the present arrangements for the operation of the county enterprise initiative. I consider that with their broad basis of participation including local elected representatives, the county enterprise boards represent effective structures to secure the optimum focus of all available resources in the promotion of employment through enterprise at local level.