Dáil Éireann Debate, Tuesday - 16 November 2004
144 Mr. Durkan asked the Minister for Enterprise, Trade and Employment the extent to which he has addressed or proposes to address industrial costs; the main factors in this regard; the action or action he proposes to take to improve the situation with a view to sharpening Ireland’s competitiveness; and if he will make a statement on the matter. [28455/04]
View answerThe National Competitiveness Council in both its annual competitiveness reports published last month and in its statement on prices and costs published in September have identified the need to recover Ireland's cost competitiveness as being a high priority to ensure sustained economic success in the future. The National Competitiveness Council in its competitiveness challenge 2004 make several specific recommendations to improve our cost base by removing barriers to competition in various key sectors of the Irish economy such as the retail, pharmaceutical, transport and energy sectors.
The Government is committed to pursuing actions to address cost issues, and has already taken several measures in this regard. In the area of insurance, determined Government action in introducing regulatory reform to the sector, including the establishment of the Motor Insurance Advisory Board and the Personal Injuries Assessment Board, is resulting in decreased costs. According to the Central Statistics Office, motor insurance costs have decreased by 15% in the past 12 months.
The Government has almost doubled the resources of the Competition Authority to enable it to continue in its role to tackle anti-competitive behaviour in sectors of the Irish economy. Competition is working well in many sectors of the economy but we recognise that Ireland cannot afford to have sectors of our economy sheltered from competition. Furthermore the Competition Authority is undertaking reviews of certain building, legal, medical and construction professions, which will address competition issues in the sheltered sectors of the economy.
Competition is the most efficient and best solution to ensuring prices are kept low and at optimal levels for both consumers and businesses alike.
149 Aengus Ó Snodaigh asked the Minister for Enterprise, Trade and Employment if an assessment of the impact of child care costs and house prices on competitiveness in this State will be carried out. [28322/04]
View answerChild care and housing are the primary responsibility of my colleagues, the Minister for Justice Equality and Law Reform and the Minister for the Environment, Heritage and Local Government. I am not aware of any proposals to assess the impact of costs in these areas on competitiveness.
The National Competitiveness Council monitors and reports on Ireland's competitiveness position. Each year the National Competitiveness Council publishes the annual competitiveness report and the competitiveness challenge on the key competitiveness issues facing the Irish economy in the forthcoming year. These reports offer us an important insight into the present condition of Irish competitiveness and also offer a list of policy recommendations designed to protect and enhance Ireland's competitive position. The National Competitiveness Council published its reports for 2004 last month. However, neither of the reports contained recommendations specifically addressing either child care costs or house prices.
