Written Answers Nos. 215 to 236
215. Deputy Dara Calleary asked the Minister for Public Expenditure and Reform the status of an area (details supplied) in County Mayo in respect of the Office of Public Works' recently published draft flood hazard and flood risk map; if he is aware that this area has experienced frequent flooding since 1960; his plans to alleviate the flood risk issue in this area; and if he will make a statement on the matter. [42336/15]
View answerKilcummin Pier, Kilcummin, Ballina, Co. Mayo is not an Area for Further Assessment (AFA) within the Western Catchment Flood Risk Assessment and Management (CFRAM) study, as it was not deemed to be an area of potentially significant flood risk under the Preliminary Flood Risk Assessment (PFRA) which was completed in 2011. For more information on the PFRA please see www.cfram.ie. It is not therefore covered by the scope of the CFRAM study.
Local flooding and coastal protection issues are matters for local authorities to investigate and address in the first instance. It is open to Mayo County Council to carry out flood mitigation and coastal protection works using its own resources. The Office of Public Works operates a Minor Flood Mitigation Works and Coastal Protection Scheme. The Scheme's eligibility criteria include a requirement that any measures are cost beneficial. Details are published on the OPW website www.opw.ie. It is not available for repair of damaged infrastructure or for maintenance of existing flood defence or coastal protection assets. It is open to the Council to submit a funding application under the Scheme. Any application received will be considered in accordance with the eligibility criteria and having regard to the overall availability of resources for flood risk management.
216. Deputy Dara Calleary asked the Minister for Public Expenditure and Reform if all State employees are paid at or above the minimum living wage; and if he will make a statement on the matter. [42379/15]
View answer217. Deputy Dara Calleary asked the Minister for Public Expenditure and Reform the additional cost to the Exchequer of paying all State employees a rate at least at the minimum living wage from 1 January 2016; and if he will make a statement on the matter. [42381/15]
View answerI propose to take Questions Nos. 216 and 217 together.
It is assumed that the Deputy is referring to the National Minimum Wage. Like all employers, public service employers must comply with the National Minimum Wage rate.
Following the outcome of the recent considerations by the Low Pay Commission, the statutory minimum wage rate will increase from the current rate of €8.65 to €9.15 per hour with effect from 1 January 2016. Any costs arising from the increase in the statutory Minimum Wage rate for public service employers will be met from existing allocations under Budget 2016. Estimations regarding the cost would be a matter for the individual public service sectors and employers, based on existing terms and conditions including weekly hours of state employees and position on relevant pay scales which vary across the public service.
The 2016 Budget allocations also make provision for the implementation of the terms of the Lansdowne Road Agreement, the terms of which are significantly weighted towards lower paid state employees.
218. Deputy Billy Timmins asked the Minister for Public Expenditure and Reform to set out the number of legal cases against his Department and State agencies under his aegis that took place during the years 2011 to 2014, and the number that are currently ongoing; the costs and the damages involved in those cases that were contested and in those cases that were settled; and if he will make a statement on the matter [42529/15]
View answerCollating this information in the time available was not possible and I will reply directly to the Deputy shortly.
219. Deputy Brendan Griffin asked the Minister for Public Expenditure and Reform to outline the status of his meetings with Kerry County Council on the matter of flood defence work at a location (details supplied) in County Kerry, given that the public infrastructure there is at the mercy of the sea and repairs will end up costing multiples of the protection works required; if he will put an action plan for the area in place; and if he will make a statement on the matter. [42541/15]
View answerThe management of problems of coastal protection in the locations mentioned is a matter for Kerry County Council (KCC) in the first instance. KCC must thoroughly assess the problem and, if it is considered that specific measures and works are required, it is open to them to apply for funding to deal with coastal protection under the Office of Public Works' (OPW) Minor Flood Mitigation Works & Coastal Protection Scheme. Any application received will be assessed under the eligibility criteria, which include a requirement that any measures are cost beneficial, and having regard to the overall availability of funding.
Following the coastal storms which affected the western seaboard in December 2013 and January 2014, KCC requested funding of €3,000 from the OPW for repair works at Fahamore, which has since been provided. The Council also requested funding for the cost of strengthening works at Kilshannig following that event, but, unfortunately this did not fall within the criteria for funding which had been approved by a Government decision in February 2014.
221. Deputy Joe Carey asked the Minister for Public Expenditure and Reform further to a Topical Issue debate of 3 December 2014 and previous parliamentary questions relating to a flood relief project (details supplied) in County Clare, when the project will move to tender; the reason for the delay in commencing work; when it is envisaged that work will commence; the construction timescale envisaged; and if he will make a statement on the matter. [42565/15]
View answerThe Ennis South Flood Relief Scheme is being progressed by Clare County Council (CCC) as the contracting authority under its powers, with funding and advice as appropriate from the Office of Public Works (OPW).
CCC and the OPW are continuing discussions regarding technical aspects of the proposed works. When all outstanding technical matters are resolved CCC will proceed with issuing tender documents to a number of pre-qualified contractors. Pending this, it is not possible to give an accurate timeframe for commencement of or construction of works but it is anticipated that construction can commence in 2016 and will take about 18 months to complete.
The OPW remains committed to the progression of the works, and provision has been included in its multi-annual capital funding programme to this end.
222. Deputy Brendan Griffin asked the Minister for Public Expenditure and Reform when competition for permits (details supplied) will be launched; the reason for the delay; and if he will make a statement on the matter. [42568/15]
View answerA competition for up to four new permits for Skellig Michael will be held early in the new year. The delay in making final arrangements has been due to legal matters.
The Office of Public Works (OPW) Heritage Service is proposing to meet with Oireachtas Members from the area soon to explain the issues involved and to outline the process that will be followed in allocating new Permits.
223. Deputy Barry Cowen asked the Minister for Public Expenditure and Reform if there is a statutory maximum period during which a valuation review of commercial properties must be undertaken by the Commissioner of Valuation; and the dates of the last valuation by the commissioner, by local authority. [42580/15]
View answerPart 5 of the Valuation Act 2001, as amended by the Valuation (Amendment) Act 2015, provides for the revaluation, for rates purposes, of all industrial and commercial properties other than those occupied by public utility undertakings (known as global valuations) which are valued on a different cycle prescribed in section 53 of the Acts.
Section 19(1) of the Act empowers the Commissioner of Valuation, after consultation with the Minister for the Environment and Local Government and the rating authority concerned, to make a Valuation Order specifying a rating authority area in which a revaluation is to be conducted. A valuation order specifies the date by reference to which the value of every property, subject of the valuation mentioned in the order, shall be determined.
The Valuation Office is currently undertaking a national revaluation programme on a rating authority area basis. The revaluation programme (valuation list publication dates in brackets) began with South Dublin County Council (31 December 2007), Fingal (31 December 2009) and Dun Laoghaire-Rathdown County Council (31 December 2010) areas. First revaluations have now also been completed for the rating authority areas of Dublin City Council (31 December 2013), Waterford City and County Council (31 December 2013) and Limerick City and County Council (31 December 2014). Following the first revaluation, section 25 of the Valuation Act 2001 provides that subsequent revaluations of each rating authority area will be completed on a cyclical basis no sooner than five years and no later than ten years after the date on which the revalued list was last published.
The Commissioner, having conducted the statutory consultation process, signed valuation orders on 23 November, 2015 to commence the revaluation of all commercial properties in the rating authority areas of the Counties of Kildare, Leitrim, Longford, Offaly, Sligo and Westmeath. It is envisaged that valuations for each of the aforementioned rating authority areas will be published in September 2017.
224. Deputy Brendan Griffin asked the Minister for Public Expenditure and Reform his views on a matter (details supplied) regarding State procurement policy regarding office supplies and stationery provision; and if he will make a statement on the matter. [42621/15]
View answerThe OGP is at an advanced stage of planning a tender process for a new office supplies framework agreement to be delivered in Q1 2016. As part of the planning process a review of the existing office supplies framework has been completed, which included engagement with the wider office supplies market. It is expected that the new framework will be structured in a manner that addresses the issues highlighted by the existing framework while remaining compliant with all EU Procurement legislation, national guidelines and Circular 10/14. Circular 10/14 includes a number of policy measures which are specifically designed to enable SMEs to compete for government business, such as open tendering, electronic notifications and tendering through the national tendering platform for contracts in excess of €25,000, division of contracts into lots, guidance on turnover requirements and reasonable insurance requirements.
It is planned that once the strategy for the new framework has been finalised it will be communicated to both OGP clients and the market.
225. Deputy Brendan Griffin asked the Minister for Public Expenditure and Reform the savings that have been made by changes to the State's procurement policy; if such calculations recognise and factor in that small local rate payers and employers are being displaced by large tenderers; and if the State has over-estimated potential savings from the reform of the system. [42622/15]
View answerThe reform of the public procurement system across the public service is a key element of the reform programme for the public service. The fragmented procurement arrangements across the public service have facilitated amongst other things suppliers charging different public service bodies different prices for the same goods and services. This is not sustainable, as the State cannot afford to continue to purchase works, goods and services in a manner that undermines the level of services it can deliver.
The central procurement frameworks and contracts established by the Office of Government Procurement (OGP) have been designed to optimise benefits including savings to the State through the strategic aggregation of its buying power. Aggregation arrangements such as multi-supplier frameworks can, where appropriate, address local supplier issues.
The reform of public procurement in Ireland is being carried out in a manner that recognises the clear importance of small and medium-sized enterprises in this country's economic recovery. The Guidance to Contracting Authorities (Circular 10/14) issued by OGP in April 2014 encourages public bodies to break large contracts down into lots where reasonable to do so. Lots may be based on goods or services descriptions, usage patterns, size and nature of customer demand and/or geographical location. Lots enable smaller businesses to compete for smaller elements of a larger contract. However it has to be done in a way however that does not expose the State to undue risk or significant management overheads.
The implementation of procurement reform is still at a very early stage. Procurement savings of €100m over 2013 and 2014 have been reported by the OGP and its partner sector sourcing organisations. These forecast savings benefits represent only those cost reductions that can be estimated with a degree of confidence. I am confident that the Government target of between €450 - 500 million in procurement savings can be achieved as implementation of the programme progresses.
Public procurement savings are necessary to enable public service organisations deliver much needed services within tighter budgets and to deliver value for money to the taxpayer.
226. Deputy Clare Daly asked the Minister for Public Expenditure and Reform to outline his views on overpayments and problems of data protection in the PeoplePoint human resource system; and if he will make a statement on the matter. [42744/15]
View answerOverpayments to staff of salary, allowances and expenses can and do occur for a number of reasons in any organisation, be it private or public sector. These include, but are not limited to, delays in applying or approving or processing pay-impactful absences, or pay-impactful leave arrangements, or errors in calculating allowances, payroll or expenses.
PeoplePoint is the shared service centre that provides transactional HR and pension administration services on behalf of 35 Government Departments and Public Service Bodies for 30,000 civil servants.
An external analysis of overpayment cases conducted in February 2015 identified a number of factors that have contributed to an increase in overpayments in the Civil Service. It is the combination of these factors rather than any one factor that has contributed to an increase in overpayments.
1. Non-compliance with the standard self-service processes that were introduced as part of the roll out of shared services across the Civil Service. Employees are now responsible for notifying their own absences and forwarding medical certificates in a timely manner, and managers are responsible for updating the absence record and return to work notification process, all through self-service. These features are standard self-service processes in many other public and private organisations, but were only introduced as self-service responsibilties into the Civil Service for the first time in 2013. When these responsibilities that are part of the standard process are not completed in a timely fashion, this significantly increases the risk of overpayment.
2. The issue of non-compliance with procedures or missing medical certifications is being addressed by management in each participating Public Service Body. My Department continues to engage with local HR Departments to assist them address the issue of non-compliance with the absence reporting process itself and to have a positive impact on their own Departmental overpayment balance. The data is showing a positive trend.
3. The new Public Service Sick Leave Scheme (2014) whereby people are reaching the limits of paid sick leave quicker than they previously would have, has made a very significant contribution to reducing absenteeism across the Public Service. However, an unintended consequence of reduced access to paid sick leave has been an increase in the number of overpayments. This can also be seen in organisations that are not serviced by PeoplePoint. A review of this circular is currently underway within my Department to evaluate and address any operational difficulties with it.
4. Another key factor giving rise to overpayments is that the majority of staff are paid in advance as opposed to arrears. As a result there is an inherent overpayment built into the system when a sick leave limit is exceeded. Once an organisation becomes a customer of PeoplePoint, the responsibility for recouping any monies owed transfers to PeoplePoint, regardless of the cause or date of overpayment. A single civil service recoupment policy was developed by my Department in March of this year which sets out the standard procedure for recouping money from any staff member when an overpayment occurs. This policy addresses a number of issues including the principles underpinning the recoupment of overpayments; the recoupment process itself; non-standard arrangements and repayment options.
5. When PeoplePoint began operating in 2013, a large number of new staff were hired into PeoplePoint. The length of time required to upskill so many new staff contributed to some delays in processing leave and absence transactions in the past. This issue has been addressed through training and development and quality checks, and there is close monitoring of key performance indicators against service levels targets and these are being met.
Significant progress has been made on the issue through prioritisation and a highly collaborative effort across Accounting Officers, HR Departments and Payroll Centres. A robust communication plan is in place to educate and alert managers on the impact of failing to carry out their responsibilities in the absence process that causes overpayments. Monitoring and reporting on overpayments occurs on a monthly basis to the HR Shared Service Centre Programme Board and on a bi-monthly basis to the Shared Services Steering Board comprising Secretaries General.
In relation to data protection, a Data Protection Policy for Shared Services (March 2014) is in place for all shared service centres, and this includes PeoplePoint. Each operation has a fully trained Data Protection Compliance Officer (DPCO) in place. The DPCO is supported by the Operations Governance Manager in Corporate unit of the National Shared Services Office. Compliance officers are ready to respond to any breach of security swiftly and effectively. All staff in operations receive data protection training at induction, and refresher training on an annual basis.
The reporting of data breaches within operations is managed through the DPCO who gathers the data on the breach. Any breach is treated with the utmost seriousness. A breach is investigated, reported and assessed through a root cause analysis approach. A process in in place in each operation to report breaches to the Office of the Data Protection Commissioner, the Customer Department Data Controller, the data subjects as appropriate under the guidance of the Customer Department Data Controller, D/PER Data Controller and the Department of Social Protection.
227. Deputy Finian McGrath asked the Minister for Public Expenditure and Reform his views on correspondence (details supplied) regarding public service spouses and children schemes that provide insurance for contingency benefits; and if he will make a statement on the matter. [42746/15]
View answerThe Deputy's correspondent seeks to dispute the funding basis of the Public Service Spouses and Children pension schemes on the grounds that it does not comply with practice in the insurance industry. However, this is a mistaken view of the situation. The Commission on Public Service Pensions, at paragraph 20.5.2 of its report, was clear that it accepted that the schemes are structured on a group insurance basis and that the member contribution rates take account of the fact that payment of benefits will not arise in respect of all members. I have no plans to alter this approach.
228. Deputy Finian McGrath asked the Minister for Public Expenditure and Reform the rate of erosion from flooding for 2015; the body responsible for flood defences at a location (details supplied) in Dublin 13; and if he will make a statement on the matter. [42762/15]
View answerThe management of problems of coastal protection in the particular area indicated is a matter for Fingal County Council in the first instance. The Council must assess the problem and, if it is considered that specific measures and works are required, it is open to them to apply for funding under the Office of Public Works' (OPW) Minor Flood Mitigation Works & Coastal Protection Scheme. Any application received will be assessed under the eligibility criteria, which include a requirement that any measures are cost beneficial, and having regard to the overall availability of funding.
Fingal County Council applied for and was approved funding of €57,800 under this scheme in 2012 to carry out a Coastal Erosion Risk Management Study of Portrane to Rush which included Burrow Beach. The funding was drawn down in 2013 following completion of the study.
Following the severe storms of Winter 2013/2014 total funding of €200,000 was provided via the Vote of the OPW to Fingal County Council following a Government decision for repair works to damaged coastal protection infrastructure, which included projects at Burrow Beach.
No applications have been received for a project at Claremont beach.
It is a matter for the local authority to prioritise and progress works.
The OPW is currently undertaking a national public consultation on draft flood maps until 23rd December, 2015. Draft maps are available to view online at http://maps.opw.ie/flood_draftmap_consult/ or in the books of maps located at local authority principal offices. These are predictive draft flood maps in accordance with the requirement of the EU Floods Directive 2007 (2007/60/EC) and show risk from fluvial (river) and coastal flooding. They assume that the topography of the shoreline is constant and do not make allowances for erosion.
The OPW has undertaken a national assessment of coastal erosion (including erosion rates) under the Irish Coastal Protection Strategy Study (ICPSS) and the results of this study have been published on the OPW website. The relevant reports and associated predictive erosion hazard mapping (to 2050) may be viewed online at:
http://www.opw.ie/en/floodriskmanagement/floodanderosionmapping/icpss/wp234ane/.
229. Deputy Joe Carey asked the Minister for Public Expenditure and Reform the status of a flood defence project (details supplied) in County Clare; the remaining elements of the project which have to be concluded prior to moving to construction; and if he will make a statement on the matter. [42799/15]
View answerThe Office of Public Works (OPW) very recently received from Clare County Council (CCC) a copy of the feasibility study report prepared by the engineering consultants engaged by CCC to examine the flooding issues at the location mentioned. The OPW will be responding to CCC in due course when it has completed a full review of the feasibility study report.
230. Deputy Regina Doherty asked the Minister for Public Expenditure and Reform the number of employees under his remit who are classified under a contract of indefinite duration; the number of these who are receiving incremental salary payments; and if he will make a statement on the matter. [42900/15]
View answerIn response to the Deputy's question the table outlines the number of staff under my remit who are classified under contracts of indefinite duration and who are receiving incremental salary payments.
|
Organisation |
Number of staff |
Incremental salary payments |
|
Public Appointments Service |
1 |
Yes |
|
Special EU Programmes Body |
7 |
Yes |
|
The Valuation Office |
3 |
Yes |
I am informed by the Commissioners of Public Works that contracts of indefinite duration (CIDs) can be applied to a number of the seasonal employees recruited annually. CIDs apply where seasonal workers have been successful in being re-employed, on fixed term contracts, over a number of years. Incremental salary payments are applied in these instances. Approximately 200 seasonal employees, mainly guide services at heritage sites, would fall within this category.
231. Deputy Michael McNamara asked the Minister for Jobs, Enterprise and Innovation why the Industrial Development Agency Ireland's mid-west office logo and tag line at the end of its e-mails promote investment in County Limerick; and if he will make a statement on the matter. [42462/15]
View answer232. Deputy Michael McNamara asked the Minister for Jobs, Enterprise and Innovation the geographical remit of the Industrial Development Agency Ireland mid-west office; and if he will make a statement on the matter. [42463/15]
View answerI propose to take Questions Nos. 231 and 232 together.
IDA Ireland actively markets and promotes Limerick as part of its Mid-West region, which comprises counties Limerick, Clare and North Tipperary. It is a long established and proven location for international business with a particularly strong track record as a centre for manufacturing excellence.
There are currently 116 FDI client companies employing 14,575 staff across the region. This represents 10% of IDA Ireland’s total client company portfolio. The region’s success has led it to become the 3 largest region by number of FDI companies, even though it is only the 6th largest regional population centre.
As Limerick is the gateway of the region, IDA Ireland’s Mid-West regional office carries the logo ‘Invest in Limerick’, which allows e-mail recipients the option of clicking on the logo to follow a link to the Connect and Invest/Limerick web site. The logo is included as a means of encouraging extra traffic to the site and encouraging extra client meetings where the whole of the Mid-West region can be promoted, including Clare and North Tipperary.
‘Invest in Limerick’ is an interactive experience designed for use on tablet, smartphone and PC. Information on location, education, lifestyle and existing IDA Ireland client companies and indigenous companies is provided through images, video and text, which are continuously updated.
While significant new names businesses across a broad range of internationally-traded services have been attracted to the region in recent years, it has also maintained its position as a manufacturing location with newly arrived projects of scale from companies such as Regeneron, J&J, Ethicon Bio Surgery, Optel Vision and Amax Technologies complementing long established entities such as Analog Devices, J&J Vistakon, Cook Medical, Zimmer, Molex, Element Six and Proctor and Gamble.
IDA Ireland’s FDI clients are primarily located in 4 Mid-West locations; Limerick City/County, Shannon, Ennis and Nenagh. Mid-West FDI employment represents 8.5% of IDA total employment with an average company size of 122 employees. Employment in Mid-West FDI companies increased by 1,208 in 2014.
Finally, IDA Ireland assumed responsibility for FDI engagement with the Shannon area/companies in January 2014.
233. Deputy Peadar Tóibín asked the Minister for Jobs, Enterprise and Innovation the details of North-South co-operation between Enterprise Ireland and the Industrial Development Agency Ireland and their Northern counterparts in 2014 and 2015; the North-South co-operation that has been delivered by their foreign offices; and if he will make a statement on the matter. [42592/15]
View answerBoth of our main development agencies, Enterprise Ireland (EI) and IDA Ireland, engage with relevant bodies in Northern Ireland to pursue areas of mutual advantage. Developing all-island initiatives and cooperation can, in certain circumstances, better build our competitive advantage internationally.
Extensive links have been forged by EI with various agencies and bodies in Northern Ireland and that Agency’s work in this context has focused on liaison with, and participation in - the Ireland Fund; Joint Business Council; International Fund for Ireland; Special EU Programmes Body; the North South Secretariat; as well as local authority- led cross border networks.
In particular there is close co-operation between Invest Northern Ireland (INI) and EI. A Memorandum of Understanding is in place between EI and INI to enable clients of both agencies to access market services, trade missions/fairs, and seminars of one another and to provide INI clients with access to EI management development programmes such as Leadership 4 Growth and the International Selling Programme. Regular bi-lateral discussions and meetings are held between the various parties. There is also close collaboration between EI, INI and InterTrade Ireland (ITI) on the specific Cross Border programmes which are run by the latter body, in order to ensure effective operation and non-duplication.
Enterprise Ireland and Invest Northern Ireland cooperated in relation to a Trade Mission to Singapore in December 2013 which was specifically targeted at companies from both jurisdictions who are active in the aerospace sector. I was delighted to have been involved with the Northern Ireland Minister for Enterprise, Trade and Investment Ms. Arlene Foster MLA, in shared promotional events on that Trade Mission.
In relation to IDA Ireland, that Agency cooperates with INI in the context of regional and all-island economic development, recognising appropriate opportunities to pursue mutually beneficial cross border co-operation on aspects of economic policy and infrastructure/spatial planning. An example of shared co-operation between IDA and INI was the jointly developed North West Business Technology Zone (NWBTZ). The fundamental aim of this initiative was to capitalise on the combined strengths of Letterkenny and Derry City as an economic corridor. The focus was on developing compatible infrastructure and property solutions, which are now in place, to assist in the enhancement of the region’s attractiveness for investment.
Where appropriate, IDA Ireland and INI co-operate on company visits where both jurisdictions are being considered by foreign companies. These visits are, in the main, usually initiated by IDA’s network of overseas offices. However, it should be noted that IDA Ireland competes with INI Ireland for inward investment in certain areas.
The economies of Northern Ireland and the Republic of Ireland both have a highly educated workforce and the IDA highlights this competitive advantage to perspective investors. To this end, the skills pool available both North and South of the Border are presented to potential investors as a key competitive advantage of investing in the Border region on the island of Ireland. For example, PayPal now located in Dundalk, made a decision to invest in this location based on the pool of skilled staff it could recruit from the large catchment area incorporating both sides of the Border. Its operation is now a significant employer in the region, having had a number of investment expansions since initially established.
234. Deputy Fergus O'Dowd asked the Minister for Jobs, Enterprise and Innovation his views on correspondence (details supplied) regarding the city status of a location; and if he will make a statement on the matter. [42639/15]
View answerThe Government launched its long-term enterprise policy in November. It is an ambitious strategy, with the objective of delivering growth over the next decade that is sustainable, led by strong export performance, builds on our sectoral strengths, and that is underpinned by innovation, productivity, cost effectiveness and competitiveness. We aim to build resilience into our economy so that we do not suffer again as we have done in the past number of years.
We have 135,800 more people at work than when we launched our first Action Plan for Jobs in 2012. Our export performance has been exceptional, with exports by Enterprise Ireland clients at a record of €18.6 bn last year. Employment in EI and IDA supported firms has grown by over 40,000 since 2012.
We set a target in 2012 to increase employment by 100,000 by 2016. We achieved that ambitious target and have now exceeded it. We want to go further and to replace all the jobs lost during the recession and to realise sustainable full employment over the longer term.
Enterprise 2025 is a strategy that aims to build an economy that will not just achieve full employment but will sustain it in the long term. It has the commitment across government to take focused actions to deliver growth that is sustainable, led by strong export performance and underpinned by innovation, productivity and competitiveness.
The ambition in Enterprise 2025 is that unemployment in all regions will be within 1 percentage point of the national average. Although challenging, this can be realised and the strategy is about all regions benefitting from employment growth that is sustainable over the longer term.
The policy focus through the North East/North West Regional Action Plan for Jobs, the enterprise development agency strategies and the Local Economic and Community Plans, as well as the forthcoming Regional Spatial and Economic Strategies are directly pertinent in this regard (cohesive and connected strategies that take both a national, top-down perspective and a bottom-up approach to leverage regional strengths and commitment are crucial to achieving the ambition). A continued and sustained focus on addressing infrastructure bottlenecks, delivering broadband infrastructures, strengthening the interconnections between HEIs, research institutes and enterprises will all influence the outcome.
The North East/ North West Action Plan for Jobs, launched yesterday, 30 November, aims to deliver 28,000 extra jobs in the counties of Louth, Monaghan, Cavan, Leitrim, Sligo and Donegal by 2020. Key sectors targeted as part of the plan include traditionally strong sectors for the region like agri-food, manufacturing/engineering and tourism, as well as areas targeted for future growth like digital payments, cleantech and creative services. Among the 152 actions in the plan to be delivered over the period 2015-2017 include:
- Achieve an increase of at least 25% in the number of start-ups in the region, and a 25% improvement in the survival rate of new businesses;
- Increase the number of IDA investments in the region by 30-40% up to 2019. This will result in a minimum of 61 additional projects for the North East/North West region by 2019;
- Progression of a Digital Payments Cluster along the M1, building on the success of companies such as PayPal, eBay, State Street, Vesta and Yapstone already established to act as a magnet to other indigenous and FDI companies in this sector;
- Establishment of a North East Regional Skills Forum to ensure the flow of critical skills to enterprises in the region;
- The Local Enterprise Offices will disburse over €2.2 million in grant funding, and provide training and mentoring support to over 1,500 business-people per year in the region;
- A Regional Innovation Forum for the North East/North West region to help support more companies to innovate and engage in R&D.
235. Deputy Thomas P. Broughan asked the Minister for Jobs, Enterprise and Innovation further to Parliamentary Question No. 318 of 29 September 2015, to outline the details of any further developments relating to investment in the computer games industry; if it will involve amendments to the Finance Bill; and if he will make a statement on the matter. [42658/15]
View answerThe games sector experienced considerable growth in Ireland in recent years, with many of the sector’s largest global players having established operations in Ireland. The games sector in Ireland encompasses a breadth of areas including, for example games localisation, games development, platform development/porting, technology development/middleware, publishing and customer and community management activities and involving both foreign owned and Irish owned operations.
Because of how data is classified, and the nature of the sector itself, tracking of employment in the games industry and related activities proves challenging. Analysis undertaken by Forfás in 2011 estimated that total employment in the sector stood at around 2,200 having experienced a five-fold increase from a low base of an estimated 400 in 2004. This was driven mainly by rapid growth in foreign direct investment in the sector over the period, particularly in activities such as customer and technical support, community management and games localisation. In tandem with this growth, there has also been considerable expansion within the broader consumer internet sector (including social media and mobile internet) to which a large part of the games industry is inextricably linked and with other related activities such as software development, financial services, online gambling, information security, animation & film production, and creative arts (music, art, literature).This is a broad sector that continues to evolve and faces considerable disruptive competitive forces globally – forces that are shifting the nature of the activities, channels to market, players and competitors – although there are more recent indications of greater stability in the market.
Nevertheless, Ireland continues to attract foreign investment in the wider sector and continues to have a hotbed of very early stage start-ups and independent games designers, with new entrants every year. The Irish owned element of the Irish games cluster is still relatively young by international standards but its reputation is growing and awareness within the investor community to the attractiveness of the Irish games sector is increasing. A number of Irish games startups (in middleware and content) have raised seed and follow-on series ‘A’ funding investments over the last 24 months. Current exports from the Irish owned segment account for over 95 percent of their turnover and are oriented towards the UK and North American markets in the main.
In response to PQ 318 of 29 September (two months ago), I highlighted the fact that many of the actions set out in the Forfás report (2011) have been delivered upon since I established the Games Cluster Development Team in 2012. For example:
- a pilot “hothouse” initiative for undergraduate and Post-Leaving Certificate courses was devised and run in late 2013, which saw students from games, animation and multimedia courses working in multi-disciplinary teams on projects supported by an industry mentor;
- a leading games expert visited Ireland for six weeks in September and October 2014 as part of a Fulbright U.S. Specialist Award in conjunction with the HEA and carried out master classes and curriculum reviews of Digital Games courses at a number of Irish universities and colleges;
- EI’s Competitive Start Fund (€50k equity) has had a significant impact on the early stage indigenous games sector since December 2010. Over this period, EI has funded over 20 Games companies to date. The cohort has also availed of a number of start-up management development programmes;
- IDA Ireland sees indications of a stronger pipeline for production activities in the closely related animation sector post the enhancement of section 481.
- CEOs are collaborating in a structured way to grow the cluster to the next stage of international growth through industry representative groups such as Games Ireland. Indigenous indie developers have recently set up a new representative body called ‘Imirt’.
As with other companies in the technology and creative sectors, games companies can avail of the range of direct supports provided by the enterprise agencies such as the Seed Capital fund, In-market and Management development, R&D funding and tailored company expansion packages. A range of financial instruments also exists to assist companies which are not sector specific.
The enterprise development agencies have worked to heighten awareness within the sector of the existing R&D supports available to the Games sector. They held a number of R&D supports workshops and issued an enterprise friendly guide on R&D tax credits which included examples of relevance to games companies.
Games companies that can avail of existing R&D supports and R&D tax credits may be in a position to avail of the recently announced Knowledge Development Box (KDB) which will be provided for in the Finance Bill. There will also be a mechanism put in place to facilitate small and medium sized enterprises with income of less than €7.5 million arising from IP and group turnover of €50 million which will be introduced during 2016. The Capital Gains Tax Entrepreneur Relief introduced in Budget 2016 will also be available to those operating in the games sector (subject to certain criteria) as will the Earned Credit Income credit for self-employed and the extended 3 year corporation tax relief for start-up companies. Other non-sector specific longstanding tax related investment incentives include the Employment and Investment Incentive (EII) and Start up Refunds for Entrepreneurs (SURE).
It is important to note that Ireland’s attractiveness for business investment across a range of sectors involves range of factors that can influence location decisions. For example, the talent base associated with, and relevant to, the games sector is a significant attractiveness factor. Ireland also possesses a long history and tradition in technical and creative content development, through our innate storytelling abilities seen through the success of our animation industry to the international recognition of Ireland today as a centre of excellence for technology investment. Investment in Ireland’s broadband/internet infrastructures also has had a strong role to play in underpinning new activity in the games sector in recent years.
We have recently launched Enterprise Policy 2025 which sets out the ambition to have 2.18 million people in employment by 2020. The strategy spans a range of sectors including the ICT and creative sectors, of which the games industry is a part. Through the enterprise development agencies, and together with the industry, and we will work to ensure the employment growth potential of this dynamic sector is realised.
236. Deputy Maureen O'Sullivan asked the Minister for Jobs, Enterprise and Innovation the amount spent on lease private security, pest control and other services relating to the maintenance of Carrisbrook House at 122 Northumberland Road in Dublin D04 A295, a development which originally obtained planning permission around the time of the 50th anniversary of the 1916 Rising to replace a Victorian house and adjoining terrace that played a part in the Rising; if current and projected future expenditure in respect of Carrisbrook House represent value for money for the taxpayer; and if he will make a statement on the matter. [42757/15]
View answerThe lease on Carrisbrook House has been held by IDA Ireland since September 2013 following the completion of the assignment of properties from Forfás to IDA Ireland. Prior to this the lease passed through a number of State Agencies since 1969 when An Chomhairle Oiliuna (AnCo) first took out a 65 year lease on the building.
The Israeli Embassy is currently the only occupant of the premises, on a sub-lease which expires in 2025.
I am informed that the current rent due on Carrisbrook House is €1,180,000 per annum and the overall cost of maintenance and repair for building costs are approximately €90,000 per annum.
Over the past number of years every effort has been made by Forfás and IDA Ireland to lease the remainder of the building to a public or private sector client. However, there has been no interest in the building due to a number of factors including the state of repair of the building, and the fact that IDA Ireland cannot offer a prospective client vacant possession.
The Agency has assured me that they will continue to work towards addressing these issues.
