Vol. 476 No. 2
58 Mr. Ellis asked the Minister for Finance the special measures, if any, his Department will introduce such as tax incentives for the provision of industrial buildings for renting to incoming industry in view of the fact that there are no uncommitted industrial buildings available to IDA Ireland or Forbairt in County Leitrim. [6579/97]
There are a number of measures in operation to promote the supply of industrial buildings in areas of particular need, including the discretionary provision by IDA Ireland of rent guarantees for up to two years and the inclusion of advanced factories under the business expansion scheme. The introduction of additional tax incentives for the provision of industrial buildings, such as accelerated capital allowances or special rent allowances, would involve a reversal of or departure from business tax policy of recent years, the central focus of which has been to reduce the standard corporation tax rate and to facilitate this by providing a wide corporate tax base. This policy has resulted in a progressive reduction in the standard rate from 50 per cent in 1988 to 36 per cent in this year's budget with a reduced rate of 28 per cent on the first £50,000 of annual profits.
I am informed that there is no evidence to suggest there is an overall shortage of industrial premises in the country at present. While from time to time the existing supply of advance factories in a particular area may be fully allocated, IDA Ireland is satisfied that neither foreign nor indigenous industrial investment is being hampered at present by problems regarding the provision of industrial buildings. I understand that two recent job announcements in County Leitrim were facilitated by the provision of advance factories and that two further facilities in the county are as yet unoccupied. However, if the Deputy has particular concerns about the availability of suitable premises in the county for potential new projects, I suggest that he raise the matter with the relevant industrial agency or the local authority.
