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Enterprise Support Services

Dáil Éireann Debate, Thursday - 26 January 2012

Thursday, 26 January 2012

Questions (51)

Gerry Adams

Question:

48 Deputy Gerry Adams asked the Minister for Social Protection if she will detail the actions that she is taking to ensure that the long-term unemployed can develop small businesses and enterprises. [4122/12]

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Written answers

Two schemes are available to assist people on certain social welfare payments who wish to become self-employed; namely the short term enterprise allowance (STEA) and the back to work enterprise allowance (BTWEA). The STEA provides immediate access to support where people who have lost their jobs and qualify for jobseeker's benefit wish to set up a business. Payment under the scheme is at the same rate and duration as their entitlement to jobseeker's benefit. There were 1,294 people availing of this scheme on the 31st December 2011.

The BTWEA is designed to provide a monetary incentive for people who are dependent on social welfare payments to develop a business while allowing them to retain a reducing proportion of their qualifying social welfare payment, plus secondary benefits, over two years; 100% in year 1 and 75% in year 2. In the case of jobseekers, the qualifying period required for access to BTWEA is 12 months, provided a person has an underlying entitlement to jobseeker's allowance. At the end of 2011, there were 10,751 participants on this scheme.

Under both schemes, the proposed business must be approved as viable and sustainable by an Integrated Development Company (Partnership) or a Department facilitator. Further support is provided to people who qualify for STEA or BTWEA through the technical assistance and training scheme (TATS), under which a participant may qualify for a grant up to a maximum of €1,000 towards certain business start-up expenses. These include training and the purchase of small items of equipment. TATS are administered through the facilitator network based in social welfare local offices which also provides information and support services to people considering starting their own business. Details of all available schemes are available on www.welfare.

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