Dáil Éireann debate -
Thursday, 7 Jun 2012

Vol. 767 No. 2

Priority Questions

Job Creation

Willie O'Dea

Question:

1Deputy Willie O’Dea asked the Minister for Jobs; Enterprise and Innovation if he is satisfied with the measures to increase the number of persons in employment; if he will provide the figures for the percentage of persons in unemployment for more than one year and for more than two years; the percentage of persons under 25 years who are unemployed; the same figures for this time in 2011; his liaisons with the Department of Social Protection on this matter; and if he will make a statement on the matter. [27560/12]

Minister for Jobs, Enterprise and Innovation (Deputy Richard Bruton)

Ireland has suffered an enormous dislocation of employment as a result of the deep financial crisis and serious policy failures of the previous Government. In the three years prior to the Government taking office, over 300,000 jobs were lost. This scale of job loss cannot be reversed overnight.

This employment crisis is the central challenge facing Government. In response, the Government has developed the Action Plan for Jobs as a cross-Government response with timelines and milestones. This is the first in an annual process. We have challenges across a broad range of areas, for example in competitiveness, access to finance and reskilling. All of these are being addressed. It will take time to reverse the trends but I believe the new measures being adopted are putting us on the right track. We are making progress on the delivery of these actions and I am encouraged by the number of new job announcements which have been made since the beginning of this year, including 44 IDA announcements to the end of May with the potential to create in excess of 5,000 jobs.

The jobs crisis is reflected in the unemployment data which show that 60.6% of those who are unemployed have been out of work for 12 months or longer. This compares to 55% at the end of 2010. The percentage of people under 25 years of age who are unemployed is 29%, compared to 28% a year ago.

Tackling unemployment and supporting job creation are the key challenges facing Government. I work with the Minister for Social Protection, Deputy Joan Burton, and other ministerial colleagues on an ongoing basis at Government and Cabinet committee level as we address these challenges. Deputy Burton's Pathways to Work initiative complements the work of the Action Plan for Jobs.

The objective of the action plan is to support the creation of 100,000 net new jobs in the economy by 2016, while the aim of Pathways to Work is to help ensure that as many of those jobs as possible are filled by people on the live register.

Deputy Willie O’Dea

Lack of employment is one of the greatest problems facing the Irish economy and Irish society. It is something of a joke that we are discussing this problem at 7.30 p.m. on a Thursday, when the media have departed. This is the second time in a row this has happened. I will not engage in this sort of farce again. This is the last time I will put questions to the Minister on such an important topic at 7.30 p.m. on a Thursday.

The Minister referred to the record of the previous Government and said 300,000 jobs were lost during its last three years. He conveniently overlooks the fact that when the previous Government left office there were 750,000 more people at work than when it took office. Despite the promises made during last year's general election campaign, we have seen a steady decrease in employment, a steady increase in unemployment and a significant increase in emigration.

Does the Minister agree that in the year before the Government took office unemployment stood at 13.5% and that it is now up to 14.8%? While that gives the appearance of stabilising, will he agree that the pattern of unemployment is significantly different? As the Minister said, 60% of those who are unemployed have been out of work for more than a year, and 40% of those who are out of work have been out of work for more than two years. Unemployment among people under 25 has reached one in three. This was considered a major crisis in France during the recent presidential election campaign. The figure in Britain is one in five and it is considered such a major crisis in that country that a Minister has been appointed specifically for that area. It is one in three in this country. Does the Minister agree we have a massive employment crisis on our hands in this country and one that has not improved one iota in the past 15 months when he has been in office?

Deputy Richard Bruton

I fully agree that the biggest crisis we face as a nation is the employment crisis. I do not dispute that.

To be honest, I had no role in the scheduling of the timing of Question Time.

Deputy Willie O’Dea

I know. I was not suggesting the Minister had.

Deputy Richard Bruton

I take them at whatever is the appointed time. We are undertaking a difficult transformation in the economy. That is the truth of the matter. We built a property bubble that was unsustainable. Part of it meant the construction sector grew well beyond what was sustainable in the long term. The reason we have seen the huge rise in unemployment is the wipe-out of the construction sector. From memory, approximately 160,000 jobs were lost in that sector alone. It is many of those male workers who are finding it very difficult to reintegrate into the workforce. That dislocation is what is driving the pattern to which the Deputy referred, the high proportion of people who are out of work in the long term.

The response must be twofold, one of which I am primarily responsible for, namely, getting enterprises to create more employment. We are beginning to see positive signs in terms of investment from foreign companies. We are also seeing good signs in terms of start-ups, but we have real problems, as the Deputy himself acknowledged, in banking and elsewhere in getting enterprise back on its feet. We have significantly improved our competitiveness and we are seeing exports recover. We are seeing the start of the transformation but I admit that it is taking time to reverse the trends. It will be a significant challenge.

The other dimension is the one on which the Minister for Social Protection, Deputy Joan Burton, is working, namely, helping people who have been displaced to transfer to new skills with Springboard, and to get the support of activation work experience, JobBridge and other schemes to help them re-enter the market. I do not understate the challenge by any means but the Government's approach in having an annual jobs plan, committing to change year-in and year-out and holding ourselves to targets is the best way to address those problems.

Public Procurement

Peadar Tóibín

Question:

2Deputy Peadar Tóibín asked the Minister for Jobs; Enterprise and Innovation the steps he has taken to implement the findings of the procurement innovation group entitled Using Public Procurement to Stimulate Innovation and Small and Medium Enterprise Access to Public Contracts, as published by his Department. [27559/12]

Minister of State at the Department of Jobs, Enterprise and Innovation (Deputy Sean Sherlock)

The procurement innovation group's report and the accompanying 10 Step Guide to Smart Procurement and SME Access to Public Contracts were both published in July 2009. Some of the recommendations were incorporated subsequently into the Department of Finance's current guidelines to public contracting authorities which are designed to ensure tendering processes operate in a manner that facilitates increased participation by SMEs. These include the lowering, from €50,000 to €25,000, of the estimated value of contracts to be advertised on the e-tenders website, the splitting of larger contracts into lots, and the communication by contracting authorities of future procurement plans by issuing prior information notices. None the less, it is clear that more effort must be made to ensure the guidelines are applied by procurement officers in contracting authorities, and work is under way to ensure this is happening.

The action plan for jobs contains a number of specific measures designed to facilitate an increase in SME participation in the tendering process, and my Department is working collaboratively with key players such as the Department of Public Expenditure and Reform, the National Procurement Service, NPS, Enterprise Ireland and InterTradeIreland to deliver the commitments as set out in the action plan.

In addition, the Department chairs a steering group bringing together the main stakeholders in this area. Under the aegis of the steering group, Enterprise Ireland, the National Procurement Service and InterTradeIreland are working on a number of initiatives to boost SME participation in the public procurement process, including, for example, the establishment by Enterprise Ireland of clusters of SMEs to work with contracting authorities develop innovative supply chain solutions. The aim is to establish a level playing field in the area of public procurement to facilitate increased SME participation.

Deputy Peadar Tóibín

Today's figures from the CSO are frightening. They show there are 18,000 fewer people in the workforce in the first quarter of this year compared with the last quarter of 2012. They also show an increase in unemployment to 14.8%. That is despite the fact approximately 70,000 people are emigrating these shores annually.

Today marks the 450th day in government for the Minister, and that is his record. It is a damning one in terms of the lack of work that has been done on job creation. Public procurement is directly related to job creation. Yet again, this country has one of the worst records in Europe on public procurement. The report to which reference was made in the question has been published since 2009 and by all appearances it has been gathering dust on shelves since then. A total of 22.8% of contracts awarded by the State were to companies outside the State. The European average is 3.4%.

An Ceann Comhairle

Could I have a question from the Deputy?

Deputy Peadar Tóibín

The major economies – Italy, Germany, France and Spain - are all lower than that. It is a scandal at a time of severe economic recession that so much public funding is going abroad. We have seen how Balfour Beatty won the Bord Gáis contract. Will the same thing happen with the children's hospital? The time for talking is over. Will the Minister of State set targets for the agencies under his remit for public procurement delivery within the State?

Deputy Sean Sherlock

Specifically on the issue of public procurement, I refer the Deputy to the action plan for jobs. Actions 3.49 to 3.54, inclusive, relate to pre-qualification criteria, the establishment of a mechanism to allow SMEs to engage with contracting authorities on issues of concern, the establishment by Enterprise Ireland of advisers and mentors to help client companies to prepare better public procurement opportunities, encouraging more SMEs to register on the Government's e-tenders website to enable forthcoming procurement opportunities to be brought to their attention, encouraging a more flexible approach to tendering by focusing on innovative solutions to procurement needs rather than specific products or services, and identifying a number of key procurement projects that will provide subcontracting and supply chain opportunities for SMEs.

In terms of specific actions, a round table discussion on the advantages of innovative procurement through the procurement innovation initiative organised by the Department took place on 2 April 2012. It was attended by senior procurement officials in public bodies and by the Minister, Deputy Bruton. A number of SMEs presented examples of innovative solutions they are already providing to public bodies. Some public bodies have indicated specific, upcoming procurement projects that would be suitable for the procurement innovation initiative. They included the Railway Procurement Agency, RPA, the Department of Defence, the Health Service Executive, HSE, An Post and the ESB. Given the time constraints I will refer the Deputy to the specific actions in that regard.

InterTradeIreland also organised popular "Go-2-Tender" training workshops. The workshops give SMEs the skills to tender successfully for public sector contracts on an all-island basis. Three were held in the past three months, involving more than 70 SMEs, including one held in Cork. A further three workshops are due to be held in Enniskillen, Armagh and Waterford before the end of July. An advanced "Go-2-Tender" workshop was held in April-May and another is planned for later this year. There is constant engagement by Enterprise Ireland with contracting authorities to raise awareness of innovative ideas and capabilities of SMEs to provide innovative solutions to their specific needs. We have moved well beyond the 2009 report, and the action plan for jobs has clear action deliverables in terms of public procurement.

An Ceann Comhairle

The next question is No. 3 in the name of Deputy Finian McGrath.

Deputy Peadar Tóibín

Am I not entitled to ask a supplementary question?

An Ceann Comhairle

No, the six minutes has expired. There is a six minute limit for each question.

Deputy Peadar Tóibín

I did not get a chance to ask a supplementary question.

An Ceann Comhairle

I timed it and the Minister of State took exactly two minutes for his initial reply. Deputy Tóibín took two minutes and the Minister of State took two minutes to reply to him.

Deputy Peadar Tóibín

Do I lose out?

An Ceann Comhairle

The Standing Order specifies that there are six minutes per priority question.

Deputy Peadar Tóibín

With respect, should that be divided equally between speakers?

An Ceann Comhairle

The supplementary question asked by Deputy Tóibín was answered by the Minister of State. That is why it is important for Members not to make statements at Question Time because it uses up the time. Therefore, I asked for a question to be put. We are wasting time. The time allowed has expired.

Deputy Peadar Tóibín

On a point of order-----

An Ceann Comhairle

I am sorry, but there is no point of order. I have ruled that the Deputy went over time. Deputy Finian McGrath's question is next.

Deputy Peadar Tóibín

I only used one third of the allotted time.

An Ceann Comhairle

I am sorry, but I have no control over replies.

Deputy Peadar Tóibín

I only have one opportunity every month to put questions, which are of national importance.

An Ceann Comhairle

The Deputy spent nearly two minutes making a statement. He did not ask questions.

Deputy Peadar Tóibín

The point is that I was entitled to more than two minutes.

An Ceann Comhairle

The Deputy is not entitled to anything.

Deputy Peadar Tóibín

I am entitled to it in a democracy.

An Ceann Comhairle

There are four minutes allotted for supplementary questions and replies.

Deputy Peadar Tóibín

Must I wait until the end of July to ask my supplementary question?

An Ceann Comhairle

Yes, that is correct.

Deputy Peadar Tóibín

That is grossly unfair.

Deputy Willie O’Dea

On a point of order-----

An Ceann Comhairle

There is no point of order. Under Standing Orders, there are six minutes allotted for each priority question, two for the Minister's or Minister of State's initial reply and four for supplementary questions and replies. How Deputy Peadar Tóibín uses the four minutes is a matter for himself. If he makes statements, he will use up most of the time allotted. If the Minister of State must reply, I cannot stop him.

Deputy Peadar Tóibín

Why not?

An Ceann Comhairle

We are wasting time and will not get through priority questions if we do not hurry.

Action Plan for Jobs

Finian McGrath

Question:

3Deputy Finian McGrath asked the Minister for Jobs; Enterprise and Innovation his plans to assist small businesses on the northside of Dublin in 2012 and 2013. [27558/12]

Deputy Richard Bruton

I have met the representatives of small businesses in north Dublin, including Drumcondra and Clontarf, and recently held a public meeting with small businesses across the north side to discuss the action plan for jobs. The concerns raised included access to finance, competitiveness of costs, prompt payments, VAT thresholds, enterprise supports, regulatory burdens, employer costs and sectoral opportunities. The action plan for jobs addresses many of these concerns with specific initiatives. They are in the course of implementation and will benefit small businesses on the north side of Dublin.

A key measure in the action plan for jobs is to facilitate the development by Dublin City University, DCU, of the vacant former Enterprise Ireland site in Glasnevin into an internationally recognised innovation campus, involving a partnership of education and research institutions, enterprises and the semi-State sector. Its focus will be on research active clean tech firms. The agencies under my Department are also rolling out their plans of support for businesses on the north side of Dublin. Enterprise Ireland is actively promoting entrepreneurship in Dublin and provides a range of enterprise programmes and other initiatives for approximately 500 companies on the north side to ensure emerging technologies and business ideas with export potential are supported to become a commercial reality.

In February Enterprise Ireland launched a new community enterprise centre programme for the maintenance or establishment of a strong business development function in community enterprise centres funded by the agency. Enterprise Ireland is funding community enterprise centres on the north side of Dublin, two of which are based in Coolock and Darndale. The Dublin City Enterprise Board and Fingal County Enterprise Board support enterprise development and job creation throughout the north side of Dublin through the provision of direct and indirect assistance for small business. Hundreds of companies will benefit from start-up grants, mentoring and management development training.

We are commencing work on the action plan for jobs 2013 and will welcome submissions from business groups on the north side of Dublin.

Deputy Finian McGrath

Is the Minister aware of the mass unemployment problem on the north side of Dublin? In some areas the level of youth unemployment is 30% and there is significant emigration. Does the Minister accept that supporting small businesses plays a key role in job creation? If unemployed persons found jobs at the average industrial wage, total earnings would amount to approximately €18 billion. Does the Minister accept that not enough attention is being given to this issue? Some 436,700 people signed on in May. Spending €1 billion on infrastructure would lead to the creation of approximately 10,000 jobs. Has the Minister considered proposals in this regard? Has he considered the role played by the semi-State sector, given the fact that its considerable borrowing power offers significant job creation potential? We can grow our way out of this problem. Many talented individuals are involved in small businesses. With a little help, they could each create three to eight jobs.

Deputy Richard Bruton

I do not accept that the needs of small business are not receiving sufficient attention. In my Department the Minister of State, Deputy John Perry, specialises in supporting small businesses and has been active in that regard. This is not to say the problems have been solved. Far from it, but we have access to finance and a micro-finance initiative for small businesses is being worked on, as is the loan guarantee scheme. We have tendered for a development fund which we will use for slightly larger companies which are seeking to expand. We are examining the spectrum of needs of small businesses with a view to making it easier to start up and survive. As the Minister of State, Deputy Seán Sherlock, outlined, we are seeking to make it easier for small businesses to access the public procurement process.

Like Deputy Finian McGrath, we recognise that the bulk of jobs will be created by smaller businesses, to which end we need to support them. However, some of the issues he raised go well beyond my brief. The Minister for Public Expenditure and Reform, Deputy Brendan Howlin, has established an infrastructural fund amounting to €1 billion to support opportunities in that respect. Last week NAMA stated its belief that, as a State company of a different sort, it would invest €2 billion in practical infrastructural projects during the coming years. Attention is being paid to infrastructural requirements and the need to find off-balance sheet initiatives to leverage activity in that regard. That is the thinking behind NewERA and much of the work being done by the Ministers, Deputies Brendan Howlin and Michael Noonan.

Economic Competitiveness

Willie O'Dea

Question:

4Deputy Willie O’Dea asked the Minister for Jobs; Enterprise and Innovation the measures he has implemented to improve competitiveness in relation to commercial rates, commercial rents, energy costs, utility costs and insurance costs; and if he will make a statement on the matter. [27561/12]

Deputy Richard Bruton

The action plan for jobs 2012 which was published on 13 February includes an extensive range of measures across government that will help to reduce costs for businesses and support job creation, including in each of the areas identified by the Deputy. For example, the majority of local authorities have reduced or frozen their annual rates of valuation at 2011 levels, NAMA is taking action to place downward pressure on rents in its property portfolio, a series of actions is aimed at reducing energy costs and improving energy efficiency for enterprises and downward pressure will be put on insurance costs through the enactment of the legal services Bill.

In my area of responsibility I have taken a number of specific actions that are directly aimed at improving the competitiveness of enterprises. These include the reform of the joint labour committee-registered employment agreement system which is before the House. A number of initiatives are being implemented or being progressed to improve access to finance. My Department has reduced business burdens within its areas of responsibility by more than 24%, which will yield potential savings of €206 million per annum for business. Tangible progress is also being made in the reform of the State's employment rights and industrial relations structures, which will result in a more cost effective and swifter service for workers and employers. The implementation of all of these measures will help to improve our international competitiveness further.

The Government's progress in improving Ireland's competitiveness is reflected in the IMD World Competitiveness Yearbook rankings which were published last week. Ireland has reversed the downward trend of recent years and improved four places in the rankings to 20th overall and eighth out of the 24 EU countries benchmarked. Of course, there are still many issues to be addressed and the Government will continue to focus on these through the action plan for jobs process.

Deputy Willie O’Dea

Does the Minister agree that, despite the recent survey findings, many of the improvements in competitiveness have been cyclical rather than structural? For example, unique among the countries of Europe, Ireland has a major trading relationship with the United Kingdom and the United States. The reduction in the value of the euro against sterling and the dollar has helped to improve Ireland's competitiveness. In so far as structural issues are concerned, being areas within the Government's control, what has the Government done to reduce commercial rates? Regardless of which side of the House one is on, every Deputy knows of cases in which small businesses are being forced out of existence by the requirement to pay commercial rates. It is not sufficient to claim that some local authorities have frozen their rates. Some businesses are struggling. They are on the margins and cannot afford to pay commercial rates. Rates are not a progressive form of taxation, in that one has to pay regardless of whether one is making a profit.

The Government has abandoned all attempts to fulfil its election promise on the issue of upward-only rent reviews. It is not enough to say there is conflicting legal advice, throw one's hands in the air and walk away. Earlier, we were discussing the situation with Atlantic Homecare which is being driven into examinership due to high rents which predate the Government's recent legislation. There appears to be runaway inflation in certain areas, for example health insurance, which are directly under the Government's control. The Minister referred to the Legal Services Regulation Bill which I believe will increase rather than reduce costs. This, however, is not the time to debate that Bill. The Minister will be aware that several years ago, the then Government radically changed the insurance system which drove down costs. Some of these costs, particularly in public liability, are beginning to creep up again. What are the Government's proposals in this regard? Will the Minister confirm the Government has no proposal to increase the element of energy costs that come under its control?

Deputy Richard Bruton

The Deputy has raised several issues that are not my direct responsibility. Accordingly, I cannot give him comprehensive answers on these and would advise him to table questions to the relevant Ministers.

The ESB is undergoing a cost-reduction programme of 20% in its cost base. The valuation (amendment) Bill will be introduced to deal with commercial rates as has the legal services Bill. We have achieved cost competitiveness improvements that are not cyclical. The 20% improvement in unit wage cost compared to the rest of the eurozone is not a cyclical factor but a genuine change. The Minister for Finance has reduced PRSI so that it is now cheaper for employers to take on employees. We have reduced the tax burden, particularly targeting small businesses to enable them to take on people on job assist and using research and development. There have been many changes to make it easier and cheaper to help drive businesses to success. These are the issues we seek to address. The Deputy is entitled to table parliamentary questions to other Ministers in their specific areas which I am not competent to fully answer.

An Ceann Comhairle

Deputy O'Dea has ten seconds.

Deputy Willie O’Dea

The main reduction in costs seems to be unit labour costs concentrated among the lower paid, which is what the industrial relations Bill is about. That is no proud boast.

The Minister claims tax has been reduced on employment initiatives. Tax in this area has increased appreciably over the past year which has increased the cost of employment.

An Ceann Comhairle

Could the Deputy put a question because he is over time?

Deputy Richard Bruton

Deputy O'Dea is simply wrong. The Government did not increase any of the employment related costs, neither income tax nor PRSI. In fact, it reduced PRSI and took people out of the universal social charge. We actually reduced the costs on employment directly in the last budget.

It was the previous Administration that did what the Deputy has just claimed. Action is being taken against constrained resource time. It is not true that wage costs are focused on the lower paid. The unit wage cost improvement of 20% is on the aggregate of wages across all scales.

Deputy Willie O’Dea

That is concentrated mainly on the lower paid.

Deputy Richard Bruton

The statistics would not support that claim.

Enterprise Support Services

Mattie McGrath

Question:

5Deputy Mattie McGrath asked the Minister for Jobs; Enterprise and Innovation the measures he is taking to support indigenous small and medium sized businesses that are struggling as a result of the increases in costs such as fuel costs and new taxes and charges; and if he will make a statement on the matter. [27651/12]

Minister of State at the Department of Jobs, Enterprise and Innovation (Deputy John Perry)

I acknowledge that many small and medium-sized enterprises, SMEs, are functioning in a very difficult operating environment at present. Some costs, such as fuel and energy prices, are primarily driven by external factors such as global fossil fuel prices. The Government has not introduced any tax increases.

Deputy Mattie McGrath

What about the increase in VAT?

Deputy John Perry

There has been no tax increase for business since we took office.

The Government's approach has been to identify those areas of policy it can influence to bring about cost reductions or provide supports to SMEs.

The action plan for jobs includes several measures to improve supports for SMEs. For example, a small business division in Enterprise Ireland is being established for the first time. The county and city enterprise boards are being restructured to create an enhanced national enterprise support model for small businesses at local level. The aim of the new model is to ensure a seamless system of support for indigenous enterprise and entrepreneurs. Access to credit is being addressed through the introduction of the micro-finance loan fund and the temporary partial guarantee scheme, which will make it easier for viable small and medium businesses to access finance. Improved tax incentives have been introduced for small business such as the employer's PRSI incentive scheme and Revenue's job assist which provide for significant cost savings for employers which take on extra staff and an improvement in the seed capital scheme for new start-ups.

We are actively working to facilitate more SMEs to compete for public procurement opportunities. There is an increased emphasis on mentoring of SMEs in the action plan and funding has been provided to support a new management development networks programme. Other supports which help companies to reduce their costs through greater energy efficiency are available from Electric Ireland, Enterprise Ireland, the Environmental Protection Agency and the Sustainable Energy Authority of Ireland. Enterprise Ireland has established a new potential exporters division to deliver a wide range of initiatives focused on helping companies to export to international markets. The Finance Act extended corporation tax exemption for start-up companies until the end of 2014 and provided for improvements in the research and development tax credit.

The Government will report on the delivery of these measures in its quarterly progress reports on the action plan for jobs.

Deputy Mattie McGrath

The Minister of State is a small businessman as I am myself. There is no point in codding ourselves reading out those figures and so-called facts. There have been tax increases. VAT went up which was a disastrous move.

Deputy John Perry

VAT has come down.

Deputy Mattie McGrath

The former Minister for Finance, God rest him, put it up by 0.5% but it was an utter failure and he had to reduce it after six months. Putting it up by 2% was a disaster. Tax credits and allowances were also reduced.

The Central Statistics Office, CSO, figures today confirm what everyone knows – businesses are closing down due to many factors such as lack of credit, high rates and so forth. Nothing is being done for small businesses. The Minister earlier referred to the ESB helping competitiveness. The energy regulator has given price increase after increase to the ESB and Bord Gáis. The Government should insist there are no more increases in energy costs and drive them downwards instead. I have been in business 30 years and know of many similar businesses, some even in business for 50 years, that are going to the wall.

An Ceann Comhairle

The Deputy should put his question.

Deputy Mattie McGrath

I met the off-licence representatives today, many of whom are being forced out of business because of the actions of the large supermarkets. There are too many policies and not enough that are pro-small business. We need to encourage existing small businesses to take on extra workers which could ultimately take 300,000 or 400,000 off the live register.

Deputy John Perry

Access to credit is an important factor for this sector. The temporary partial loan guarantee should assist this. It was based on the report by John Trethowan's Credit Review Office. However, it is not just about giving money to businesses. Many of them that were viable-----

Deputy Mattie McGrath

They are not able to get credit.

Deputy John Perry

The point is that savings of up to €1 billion a month are made in the domestic economy and we must encourage people to buy Irish goods.

The Deputy referred to the retail sector. I see many manufacturing and high-tech companies in my job which are doing very well. There are already 1.8 million working in this economy. The Government's objective is to make it one of the best economies in which to establish, grow and develop a business. Even in good times there was pressure on small companies.

There are rights and responsibilities when it comes to loan applications. There is a simplification process for going through the procedure. Equally, it is not just about getting credit facilities. Likewise, it is important to get a bank that is fit for purpose. The Government has recapitalised the banks. The Taoiseach and the Minister, Deputy Bruton, are meeting with AIB and Bank of Ireland to deal with the €3.5 billion ring-fenced by them both to assist growth in the indigenous industry and enterprise sector.

Despite what the Deputy says, up to €15 billion worth of goods will be exported by indigenous companies this year. There are challenges and no one is denying that fact. Business, however, is never simple. The motto in business is "No problem, no business" which the Deputy should know himself. There will always be problems in business from an efficiency and management point of view. It is not just a case of a quick-fix solution of the banks throwing money at businesses to make them viable. We have become far more cost competitive and everyone is getting more value for money in every sense.

The market is improving and I have seen signs of it in the job I do daily.

An Ceann Comhairle

We are moving to ordinary questions. For the information of Members, six minutes are allocated for each of these, with two minutes for the Minister's initial reply and four minutes allocated for supplementary questioning, with a maximum of one minute allocated for asking each question.