Departmental Funding

Dáil Éireann Debate, Tuesday - 21 February 2012

Tuesday, 21 February 2012

Questions (264, 265)

Luke 'Ming' Flanagan

Question:

294 Deputy Luke ‘Ming’ Flanagan asked the Minister for Jobs, Enterprise and Innovation if, under sections 39 and 43 of the Competition Act 2002, he will increase the funding of the Competition Authority in view of the recent debate in Dáil Éireann whereby it emerged that due to lack of funding, the Competition Authority’s ability to carry out its statutory and other functions is compromised; his views on the matter considering the fact that according to a previous head of the Competition Authority, anti-competitive practices are costing the economy 2% to 3% of GDP annually; and if he will make a statement on the matter. [9184/12]

Written answers

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

Competition policy in a small open economy is vital for all sectors of the economy but particularly so in the locally traded sector, including services, since it is the locally traded sector that determines Ireland's competitiveness. Studies have shown the link between competition and productivity growth with evidence coming from the comparison of the economic performance of countries with competitive as opposed to restricted market systems.

Ensuring competition within Ireland's domestic economy is, therefore, vital to improving our overall competitiveness. If sheltered elements of the locally traded sector are not exposed to greater competition, services inflation will continue to outpace the Eurozone average and the cost competitiveness of Irish firms will worsen.

My Department is currently undertaking a review of the resources of the Competition Authority. I expect this review to be completed by the end of March 2012. This review will have to take account of Government policy to reduce the size and cost of the public sector through the Employment Control Framework. Until that review has been finalised, I am not in a position to comment further in the matter.

Simon Harris

Question:

295 Deputy Simon Harris asked the Minister for Jobs, Enterprise and Innovation if he will outline the range of business start-up grants offered by him for those persons seeking support who have not been claiming jobseeker’s allowance or benefit payments; the way a person may apply for these schemes; the average time it takes to process new applications; and if he will make a statement on the matter. [9245/12]

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

State assistance for micro and small businesses and services in Ireland is currently delivered principally by the County and City Enterprise Boards (CEBs) and Enterprise Ireland (EI), operating as agencies under the aegis of my Department. Enquiries and applications for the range of financial and non-financial supports available are made direct to the relevant Agency and each application is dealt with on an individual basis in line with the identified business need and in the context of the Agency's eligibility criteria. Further information and contact details for each of the CEBs can be obtained through their national website www.enterpriseboards.ie. Enterprise Ireland’s High Potential StartUp (HPSU) Team is located at The Plaza, Eastpoint Business Park, Dublin 3. Early Stage Start-Up enquiries to EI should be directed to Phone No. 01 7272885, Fax No: 01 7272020 or e-mail: [e-mail]; Website: www.enterprise-ireland.com.

In addition, I have been reviewing the structure of enterprise supports in recent months and, in particular, the role of the CEBs. As the Deputy will be aware, under the Action Plan for Jobs it is proposed that a new "one-stop-shop" micro enterprise support structure be established through the dissolution of the existing CEB structures and the creation of a new Micro Enterprise and Small Business Unit in EI. EI will work with the Local Authorities to establish a new network of Local Enterprise Offices (LEOs). The LEOs will combine the enterprise support service of the previous CEBs and the business support work of the Business Support Units in the Local Authorities, offering an enhanced service because of their seamless access to both EI expertise and the broader business services of the Local Authority.

The intention is that the new LEOs will act as a focal point for a series of important new policy initiatives aimed at small businesses. The Deputy may wish to access the full details of the Action Plan for Jobs on my Department's website www.djei.ie. With regard to the crucial micro and small business sectors — from which many of our new jobs will come — my objective is to ensure that there is a continued clear focus of Government policy and supports.