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Thursday, 18 Oct 2018

Written Answers Nos. 1-25

Climate Change Policy

Questions (5)

Eamon Ryan

Question:

5. Deputy Eamon Ryan asked the Minister for Business, Enterprise and Innovation her plans to facilitate private businesses in transitioning to a low-carbon and more sustainable business model. [43004/18]

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Written answers

I am very much aware that climate change represents a significant challenge for our economy and society. My Department’s vision is to make Ireland the best place to succeed in business, delivering sustainable full employment and higher standards of living across all regions of the country. My Department incorporates climate action into policy making; funds research related to climate change; and, through its agencies, assists enterprises to reduce emissions and achieve greater energy efficiency.

In terms of enterprise policy, the Government’s national enterprise strategy - Enterprise 2025 Renewed - emphasises the effects of climate change and the imperative for sustainable development. We know that the development of the low carbon economy presents commercial opportunities to companies across many sectors in Ireland, in addition to the desired environmental benefits. Enterprise 2025 Renewed recognises that we must support enterprises to develop and adopt innovative technologies, products and services that increase efficiencies, reduce waste and deliver sustainable development.

The ambitions set out in Enterprise 2025 Renewed are given effect through supporting strategies such as the Action Plan for Jobs; the Regional Action Plan for Jobs; and Innovation 2020; as well as, through the National Planning Framework which has a strong focus on the development of sustainable enterprises.

The Action Plan for Jobs (2016/2017) and the Action Plan for Rural Development (2017) called for an examination of the scope, feasibility and conditions necessary for the development of the bioeconomy and the publication of a high-level policy statement on the bioeconomy. The Government’s first National Policy Statement on the Bioeconomy, which my Department contributed to, was published earlier this year and highlights the potential of the bioeconomy in promoting the more efficient use of renewable resources while supporting economic development and employment in rural Ireland.

A key policy measure will include the development of the Future Jobs Initiative. This new initiative, which the Government approved in July will replace the Action Plan for Jobs. It will set out a new economic pathway and focus on:

- building resilience through improving productivity especially among Irish SMEs;

- enhancing skills levels and increasing participation in the labour force; and

- preparing for, and exploiting, the anticipated transformational changes arising from technological developments and the low carbon and digital economies.

A key motivation for Future Jobs is the recognition that climate change is having a pervasive impact across all sectors and on how we do business. Increased consumer awareness of environmental issues, international developments, regulation and industry responses are all driving growth in the global clean technology sector.

Future Jobs will be discussed at a National Summit in November which will be attended by key stakeholders from industry, academia, civic society and public administration. Future Jobs, to be published in early 2019, will prioritise cross Government actions from 2019 onwards to ensure that, whatever the future may hold, Ireland will remain a leading and advanced economy succeeding internationally.

I would also draw attention to the work of our agencies in partnering with their clients. The NSAI, IDA Ireland, Enterprise Ireland and Science Foundation Ireland all have programmes in place to assist enterprises in the context of transitioning to low carbon and sustainable business models. These include supports for improvements to enterprises’ energy and environment systems and also innovation and R&D supports related to the bio economy.

Ultimately, enterprises themselves have responsibility for transitioning successfully to the low carbon economy, and ensuring they operate a sustainable business model. The National Plan on Corporate Social Responsibility, ‘Towards Responsible Business’, encourages companies to go beyond compliance and to consider their impact on the environment.

Question No. 6 answered orally.

Job Creation

Questions (7)

Peter Burke

Question:

7. Deputy Peter Burke asked the Minister for Business, Enterprise and Innovation the steps she has taken in budget 2019 to encourage and promote job creation in counties Longford and Westmeath and across the midlands; and if she will make a statement on the matter. [42694/18]

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Written answers

Since becoming Minister for Business, Enterprise and Innovation, I have made jobs and enterprise in the regions my top priority. Enterprise development has been central to our success in reducing unemployment from a high of 16% to 5.4% at the end of September - the lowest level in over a decade.

The Midlands has seen good progress, with employment in the region increasing by 14% from Q1 2015 to Q2 2018. In 2017, both Enterprise Ireland and IDA reported job increases in the Midlands of 6% and 1% respectively. Through partnership between Enterprise Ireland and the Local Authorities, the Local Enterprise Offices (LEOs) have 819 client companies in the Midlands employing 4,214 people; and last year those companies added 387 new employees in total.

I am happy to say that in Budget 2019, I secured an increase in my Department’s total exchequer allocation of 9.1% year on year, up from €871m to €950.2m.

Regional development was one of my three main priorities for Budget 2019 and I approved a range of measures to drive indigenous enterprise development and regional growth.

I allocated an extra €5m to the 31 LEOs, up 22% on 2018. LEO's have a presence in every county, including Longford, Laois, Westmeath and Offaly, to support start-ups and growth and in particular to support businesses to prepare for Brexit. This will include a new customs training programme for all businesses, exporters and importers, to be rolled out in conjunction with Enterprise Ireland.

The IDA’s regional property programme is critical to encouraging more foreign direct investment into the regions. So, I was pleased to announce an allocation of €10m to the next phase of the IDA’s Regional Property Programme to include Athlone. The IDA is involved in a number of initiatives to attract additional FDI to Westmeath and Longford, including a focused digital marketing campaign.

I was also pleased to announce an additional capital allocation of €2.75m to Enterprise Ireland to start developing regional innovation and technology clusters with Institutes of Technology right across the country, positioning them as drivers of world-class start-ups and growth enterprises.

Through Enterprise Ireland, I also doubled funding for the Online Retail Pilot Scheme to €1.25m in 2019, which will support SMEs in the retail sector to have a stronger online presence.

In addition, I also secured funding for a new phase of Enterprise Ireland’s Seed & Venture Capital Scheme out to 2024. The new scheme, which is worth €175m, will be oriented towards seed and early stage investments, where there is a very clear market failure.

I announced an additional €1.8m investment for the Design Craft Council of Ireland (DCCOI) which will assist craft enterprises all over the country to develop and generate additional export sales and online revenue opportunities, increased market diversification so as to underpin sustainable growth.

Finally, I announced a €300m Future Growth Loan Scheme for loans of up to 10 years. The Scheme has been developed by my Department with the European Investment Bank Group, the Department of Agriculture, Food and the Marine, and the Department of Finance together with the Strategic Banking Corporation of Ireland.

This Scheme is crucial as it will provide businesses the opportunity to borrow for up to ten years to support capital investment. It addresses the lack of availability of loans in the marketplace for loan-terms of longer than five-to-seven years.

In April of this year, along with Minister Breen, I met with the Chairs of all the Regional Action Plan for Jobs committees and other regional stakeholders, to start a process to Refresh and Refocus all Regional Plans to ensure their effectiveness, relevance and impact out to 2020, particularly in light of Brexit. I had a further meeting with the Chairs of the Regional Committees yesterday in my offices and I am pleased with the ambition and quality of the proposals being developed. The refreshed Midlands Region Action Plan for Jobs will enhance the impact and delivery of the supports outlined in Budget 2019, and existing supports, to increase job creation and enterprise development.

Questions Nos. 8 to 13, inclusive, answered orally.

Gender Balance

Questions (14)

Jan O'Sullivan

Question:

14. Deputy Jan O'Sullivan asked the Minister for Business, Enterprise and Innovation the guidance given to agencies under her Department's remit to ensure there is more gender balance in terms of the leadership of the companies and research projects that are funded; and if she will make a statement on the matter. [42698/18]

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Written answers

My Department strongly supports gender balance and is represented on the Government's 'Better Balance for Business Review Group'. In terms of board membership of agencies, I take a particular interest in achieving strong gender balance.

The agencies under the remit of my Department operate a range of programmes which provide funding to companies and research projects in line with their legal mandates and individual strategies.

Decisions on the funding of companies and research projects are taken by the agencies themselves, without ministerial or departmental interference, and each agency has robust procedures in place to ensure that available funding is optimally invested to help achieve their strategic goals.

My Department does not provide guidance to the agencies seeking to ensure gender balance in the leadership of companies or research projects that receive agency funding. All applications for funding received by the agencies are treated equally, regardless of the gender of the applicant, and while gender balance is encouraged, it is not generally an evaluation criterion in the assessment of applications.

The agencies have a number of initiatives in place to harness the untapped potential of female entrepreneurs and researchers. For example, Enterprise Ireland has developed an integrated strategy to encourage more women to start innovative businesses with high growth potential, and this has seen a significant increase in the female entrepreneurs and proportion of female founded High Potential Start Ups (up from 7% in 2011 to 28% in 2017). Science Foundation Ireland has published a gender strategy and operates a number of initiatives which provides a comprehensive framework for delivering actions to retain and increase the participation of excellent female researchers in STEM careers.

Arms Trade

Questions (15)

Clare Daly

Question:

15. Deputy Clare Daly asked the Minister for Business, Enterprise and Innovation her views on the recently published report under the Control of Exports Act 2008 covering the period 1 January 2017 to 31 December 2017; and if a presumption of denial policy in regard to arms sales to Saudi Arabia is being considered or implemented by her Department. [42701/18]

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Written answers

The EU operates a robust export control framework intended to counter the proliferation of weapons of mass destruction, to support regional stability and to protect human rights. My Department is responsible for implementing EU controls on the export of dual-use items and military equipment from Ireland as part of this framework. My Department is also responsible for implementing EU and UN trade sanctions.

My Department attaches great importance to fulfilling Ireland’s obligations under international law in this regard and in ensuring that Ireland implements the controls in accordance with the highest international standards. Our policy of free trade and open markets must observe the core principles of security, regional stability and human rights, which underpin export controls.

The export of military equipment is regulated by Common Position 2008/944/CFSP, defining common rules governing control of exports of military technology and equipment. The list of controlled military equipment is set out in the Common Military List of the European Union.

All export licence applications, whether for dual-use or military goods are subject to rigorous scrutiny, and are assessed having regard to the Dual-use Regulation; the 2008 EU Common Position on Arms Exports; and EU sanctions regimes.

The EU has a range of sanctions in place in respect of countries engaged in conflicts and human rights abuses. All licence applications are considered having regard to these measures. Sanctions can include arms embargoes and various restrictive measures including prohibitions on the provision of targeted goods and services. There are currently no EU sanctions in place in respect of Saudi Arabia. If an arms embargo or other sanctions are introduced in relation to Saudi Arabia, my Department will ensure that export licences are issued in compliance with that embargo or sanctions.

No licences have been issued by my Department for military classified goods in respect of Saudi Arabia since 2013. In the absence of EU sanctions, or a suitable alternative legal basis, it is not possible to implement a presumption of denial policy in respect of exports to Saudi Arabia. For this reason, all applications for an export licence to Saudi Arabia are assessed on an individual, case-by-case basis.

My officials are in regular contact with the Department of Foreign Affairs and Trade on export licensing issues. They consult with that Department in respect of all military export licence applications and may refuse an export licence, as appropriate. My officials seek observations on any foreign policy concerns that may arise in respect of a proposed export; such factors are subject to review in the light of developments in a given region. Any observations which may arise from this examination are considered in the final assessment of any licence application.

Brexit Supports

Questions (16)

Billy Kelleher

Question:

16. Deputy Billy Kelleher asked the Minister for Business, Enterprise and Innovation the number of small and medium enterprises that have been sanctioned for funding and have received funding under the €300 million SME working capital loan scheme. [42564/18]

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Written answers

The Brexit Loan Scheme provides affordable working capital to eligible businesses with up to 499 employees that are or will be impacted by Brexit and meet the scheme criteria. The €23 million exchequer funding (€14 million from my Department and €9 million from the Department of Agriculture, Food and the Marine) has been leveraged to provide a fund of up to €300 million.

It has been designed to assist eligible Irish businesses in the short-term to deal with the challenges of Brexit, which include the pressures of increased market instability and currency volatility. The scheme is open to both State Agency clients and businesses that do not have any relationship with State Agencies. Sole traders may also apply.

The scheme features a two-stage application process. First, businesses must apply to the Strategic Banking Corporation of Ireland (SBCI) to confirm their eligibility for the scheme. This application process requires businesses to use guidelines provided on the SBCI website to determine if they are eligible, and if so, to complete the eligibility form. As part of the process, businesses must submit a business plan, demonstrating the means by which they intend to innovate, change or adapt to meet the challenges posed by Brexit. Guidance is available on the SBCI website on completing a business plan. The SBCI assess the applications and successful applicants receive an eligibility reference number.

Successful applicants can then apply for a loan under the scheme with one of the participating finance providers. Participating finance providers are the Bank of Ireland, Ulster Bank and Allied Irish Bank. Approval of loans under the Brexit Loan Scheme is subject to the finance providers’ own credit policies and procedures. As part of efforts to promote the scheme, the SBCI and officials of my Department have participated in numerous Brexit-related events, including the recent Getting Ireland Brexit Ready events in Cork and Galway. Two more of these events will take place this month in Monaghan and Dublin.

The scheme was launched on 28 March this year. As of 12 October there have been 262 applications for eligibility under the scheme, of which 224 have been approved by SBCI. 38 loans to SMEs have progressed to sanction at bank level to a value of €8.5 million. I have recently met with SBCI and the three pillar banks involved in the Scheme and I will continue to engage with them on the ongoing promotion of the scheme over the coming months.

Economic Competitiveness

Questions (17)

Billy Kelleher

Question:

17. Deputy Billy Kelleher asked the Minister for Business, Enterprise and Innovation the actions in budget 2019 to reduce the costs of doing business here and reverse Irish competitiveness deficiencies; and if she will make a statement on the matter. [42562/18]

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Written answers

Notwithstanding our strong economic growth, addressing Ireland’s cost competitiveness remains a key economic priority for Government and we continue to monitor Ireland's cost base and analyse the factors that are crucial to improving our cost competitiveness.

The Costs of Doing Business in Ireland 2018 Report, and the Ireland’s Competitiveness Scorecard 2018, published by the National Competitiveness Council (NCC), found that Ireland's cost base for enterprise is internationally competitive across a range of metrics (e.g. the cost of starting a business, communications costs and average income taxes). However, the Council also highlighted that Ireland remains a relatively high cost location and cost pressures are evident in residential property, credit, energy, labour and business service costs. To that end, the range of personal taxation cuts announced in last week’s budget will reduce labour cost pressures and be welcomed by enterprise.

A range of initiatives set out in the Action Plan for Jobs 2018 are in train across Government Departments to enhance our cost competitiveness and productivity, improve the ease of doing business, reduce the administrative burden and drive greater efficiencies across the enterprise base.

Enterprise 2025 Renewed - which I launched in March - placed an increased emphasis on enhancing our competitiveness position by developing indigenous enterprises. Budget 2019 contained a number of taxation measures designed to progress that aim. The extension of the start-up tax relief for new companies, the targeted amendments to the Key Employee Engagement Programme (KEEP) share option scheme and the announcement of a set of priority measures designed to improve the working of the Employment Investment Incentive Scheme (EIIS) are all evidence of the Government’s commitment in this regard.

Following the allocation of additional funding for my Department in last week’s budget, I announced The Future Growth Loan Scheme, which will provide up to €300m in funding over longer terms, with less onerous conditions and at competitive rates to eligible businesses.

Another measure specifically aimed at boosting productivity was the doubling of the Retail Online Pilot Scheme to €1.25m which will boost the online presence of our retail sector and allow them to compete in new markets and retain existing business.

The Enterprise development agencies under my remit also play a key role in supporting firms who innovate and increase productivity. I allocated an additional €10m to IDA to support that Agency’s Regional Property Programme which will ensure that our regions can provide suitable office and manufacturing buildings in order to compete for and attract foreign direct investment.

Last week’s budget also saw me award an additional €2.75M to Enterprise Ireland for its SME Regional Innovation and Technology Clusters Programme. Initiatives such as this which build links between industry and our Institutes of Technology can boost firm productivity growth and resilience.

These newly announced measures are in addition to a wide range of existing supports provided by my Department and Agencies. Enterprise Ireland has long placed a strong emphasis on competitiveness. It supports exporting enterprises with initiatives in Lean, research, development and innovation, and management development. The Agency helps enterprises to take a strategic approach to understanding and responding to potential implications arising from Brexit and assists them to enter into new markets and diversify their export base. The Local Enterprise Offices offer a suite of supports to enhance the competitiveness of small and micro enterprises. Initiatives include mentoring, innovation vouchers, Lean Start and access to a Brexit diagnostic and guidance.

Proposed Legislation

Questions (18)

Martin Heydon

Question:

18. Deputy Martin Heydon asked the Minister for Business, Enterprise and Innovation the status of the proposed legislation to tackle the issue of expiration dates on gift vouchers; and if she will make a statement on the matter. [42692/18]

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Written answers

On 12 June 2018, the Government approved the drafting of the Unfair Contract Terms (Gift Vouchers) Bill 2018. The Bill provides, first, that gift vouchers must be valid for a minimum term of five years and, secondly, that the Minister for Business, Enterprise and Innovation, would have power to set fees for the issue and replacement of gift vouchers and for inactive balances on gift vouchers (commonly referred to as dormancy or maintenance fees).

Following the Government decision, my Department launched a public consultation on 19 July seeking information and views on gift voucher fees in order to assist in future decisions on the level of fees, if any, that should apply. Views were also sought on the proposed expiry date provision and in particular on any difficulties which it might present for businesses issuing certain types of gift voucher. Twenty-three responses were received from consumers. Twenty-nine responses were submitted by businesses, business associations, consumer bodies and public representatives.

Officials of my Department are currently working on the text of the Bill with the Office of the Parliamentary Counsel. I expect to be in a position to publish the Bill before the end of the year.

Brexit Supports

Questions (19)

Martin Heydon

Question:

19. Deputy Martin Heydon asked the Minister for Business, Enterprise and Innovation the supports proposed to assist SMEs in County Kildare as a result of budget 2019; and if she will make a statement on the matter. [42693/18]

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Written answers

Brexit is undoubtedly the most significant challenge facing Irish enterprise in over 50 years.

For 2019, I am allocating an extra €8m to the enterprise agencies and regulatory bodies under my Department, who work with firms at the coalface to develop their supports for business, including those based in County Kildare.

I also announced a longer term loan facility of up to €300m to support capital investment by business.

Enterprise Ireland (EI) supports include:

- A new Online customs Training Programme to be launched shortly to demystify customs procedures. This will be available to all exporters and importers.

- Brexit Advisory Clinics: The purpose of these clinics is to encourage companies to examine their potential exposure to Brexit, to complete the Brexit SME Scorecard and use the Be Prepared Grant to plan their strategic response to Brexit.

- Brexit Scorecard: An interactive online platform to self-assess exposure to Brexit under six business pillars.

- Be Prepared Grant: This grant offers SME clients a grant of up to €5,000 to assist them in preparing an action plan for economic shocks such as Brexit.

- The Agile Innovation Fund: giving companies rapid fast-track access to innovation funding, and up to 50% in support for product, process or service development projects with a total cost of up to €300,000.

- Market Discovery Fund - supports Enterprise Ireland clients research new markets for products and services.

- “Prepare to Export Scorecard”: The Scorecard helps Irish companies with global ambition to self-assess how prepared they are to start exporting.

In Budget 2019, I have allocated €1.25m for a Retail Online Scheme which will be launched by Enterprise Ireland shortly. The main objective of the Pilot scheme will be to support SMEs in the retail sector with a pre-existing online presence to develop and implement a more sophisticated and strategic online trading offer with a view to increasing online business and customers both domestically and internationally.

I have also earmarked an additional €1.8m for the Design and Crafts Council of Ireland over the next 3 years.

The 31 Local Enterprise Offices play a pivotal role in supporting micro-enterprises, as they prepare for Brexit. I have allocated an additional €5m to enhance their programme of supports in 2019, up 22% on 2018. This will include the development of a new customs training programme for importers and exporters, with funding for the Local Enterprise Offices to roll-out this training, in conjunction with Enterprise Ireland.

I have also allocated an additional €1m in capital funding to InterTrade Ireland, an increase of 17.5%. This will allow them to step up their support for companies in the border region, North and South, who are particularly exposed to Brexit.

The Government’s commitment to preparing the business community for Brexit can also be seen in the series of four “Getting Ireland Brexit Ready” seminars, which are being held this month around the country.

Retail Sector

Questions (20)

Maurice Quinlivan

Question:

20. Deputy Maurice Quinlivan asked the Minister for Business, Enterprise and Innovation her plans in place to support retailers across Ireland; and if she will make a statement on the matter. [42714/18]

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Written answers

As Chair of the Retail Consultation Forum I am committed to understanding and supporting the needs of the retail sector.

My Department established and convenes the Retail Consultation Forum to enable key issues affecting the retail sector to be discussed, with a view to identifying practical actions which could be taken by Government, or by industry itself, to support sustainable jobs growth in the sector.

As the largest private sector employer in the country (90% Irish-owned) that supports jobs in every city, town and village in the country I understand the importance of the retail sector.

When I met with the Retail Consultation Forum in September I launched a new pilot schemethe Online Retail Scheme delivered by Enterprise Ireland and a Brexit Preparedness Leaflet that provides a summary of supports and resources available specifically for retail businesses. I would like to highlight the pilot Online Retail Scheme which came about because of a Forum Working Group on the issue of the Digital Economy. My Department has worked closely with the Forum over the past two years to develop this scheme in line with the needs of the sector. Other examples of supports that have evolved in this way include; The Framework for Town Centre Renewal, the Energy Efficiency Workshop and the development of relevant courses with Skillnet to support the Skills and Capability agenda. Work continues in these areas with the Forum members.

Brexit Preparedness is a standing item on the Agenda for meetings of the Retail Consultation Forum. Officials from my Department and other Departments, and independent Brexit experts attend meetings of the Forum to provide updates and inform members on supports available. Firm level supports are available via the Brexit Loan Scheme and the Inter Trade Ireland Vouchers.

I would also like to take this opportunity to reference the supports in place through the LEOs such as the Trading Online Voucher, and other soft supports such as training and mentoring, that are applicable to the retail sector and this includes retailers employing more than 10 people. As part of Budget 2019, I announced the roll-out of a new Customs Training Programme which will be rolled out across the LEO’s in conjunction with Enterprise Ireland. This will be available to the retail sector.

Brexit Supports

Questions (21)

Charlie McConalogue

Question:

21. Deputy Charlie McConalogue asked the Minister for Business, Enterprise and Innovation the steps her Department is taking to assist companies in the Border counties to be prepared for Brexit; and if she will make a statement on the matter. [42552/18]

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Written answers

I am very conscious of the potential exposure of the Border counties to Brexit and the deep links with local economies on both sides of the Border.

The agencies under my remit have an extensive range of supports available to enable companies to both consolidate market share and continue to pursue new opportunities to grow their market presence within the UK. In Budget 2019, I am allocating an extra €8m to the enterprise agencies and regulatory bodies under my Department to develop their supports for business. I also announced a longer-term loan facility of up to €300m to support capital investment by business.

New supports to be rolled out in the coming months include an Online Customs Training Programme to be launched shortly by Enterprise Ireland (EI) to demystify customs procedures. This will be available to all exporters and importers, and will be complemented by a LEOs customs training initiative. An EI Brexit Advisory Clinic will be held in Dundalk on 22 October and all companies are welcome.

I have allocated €5m to the Local Enterprise Offices (LEOs) to enhance their programme of supports in 2019, up 22% on 2018. The six LEOs in the Border region provide additional Brexit supports which are focused on capability building, market diversification, driving increased competitiveness and promoting innovation.

I have also allocated an additional €1m in capital funding to InterTrade Ireland, an increase of 17.5%. This will allow them to step up their support for companies in the border region, North and South, who are particularly exposed to Brexit. To date, ITI has received 619 applications for its €2,250 ‘Start to Plan’ vouchers and 514 have been approved. Overall, some 2,350 businesses have availed of elements of ITI’s various Brexit advisory services.

Clearly enterprises in the Border counties are more likely to be impacted by Brexit and should seek to avail of the funding and supports available from my Department’s agencies.

The Government’s commitment to preparing the business community for Brexit can also be seen in the series of four “Getting Ireland Brexit Ready” seminars, one of which will be held in Monaghan this Friday 19 October.

Local Enterprise Offices Remit

Questions (22)

Peter Burke

Question:

22. Deputy Peter Burke asked the Minister for Business, Enterprise and Innovation her views on the role the local enterprise offices can play in supporting businesses through Brexit; and if she will make a statement on the matter. [42695/18]

View answer

Written answers

My priority as Minister for Business, Enterprise and Innovation is to drive the creation of high-quality and sustainable jobs around all the regions and Counties of Ireland.

In our Budget, this Government has set a clear focus on regional jobs and investment, innovation and building resilience to potential Brexit shocks.

In that regard, I have allocated additional funding of €5 million in Budget 2019 for the Local Enterprise Offices. This brings the (LEO) capital allocation for 2019 to €27.5m, a significant increase of 22% on the 2018 figure.

Since their establishment, the LEOs have responded with impressive jobs growth and initiatives to stimulate new ideas and new ventures locally. For instance, at the end of 2017, the numbers employed across the LEO supported client companies totalled 37,485.

In particular, having regard to the challenges presented by Brexit, the additional funding will enable the LEOs to focus on supporting, strengthening and building resilience for commercial start-ups, micro-enterprises and local businesses that will sustain and create good quality jobs in every town and County. As part of the new funding, an additional resource of Business Advisor, to focus on key clients with growth potential or in need of devising a plan to counteract the impacts of Brexit, will be implemented on a competitive basis.

Another significant measure open to all LEO clients will be the €300 million Future Growth Loan Scheme which addresses gaps in the market place for loan terms of longer than 5 – 10 years.

The partnership between Enterprise Ireland and the Local Authorities is one of the key components in the success of the LEO network nationally. To encourage best practice and to stimulate innovation, elements of the additional funding will be allocated on a competitive basis, supporting high quality collaborative initiatives that maximise the potential to support local and regional job creation.

I am informed that the LEOs will continue to work with the broad range of indigenous enterprises across sectors to ensure soft supports in the form of training, mentoring and targeted programmes to ensure that they are informed and have plans in place to manage the new trading relationships on the island and with the UK more generally. This will include, as a priority, a new customs training programme for all businesses, exporters and importers, to be rolled out in conjunction with Enterprise Ireland.

Office of the Director of Corporate Enforcement Reports

Questions (23, 37)

Maurice Quinlivan

Question:

23. Deputy Maurice Quinlivan asked the Minister for Business, Enterprise and Innovation when the report on the failings of the Office of the Director of Corporate Enforcement in the trial of a person (details supplied) will be published, having been delivered to her office in July 2017; and if she will make a statement on the matter. [42712/18]

View answer

Mick Wallace

Question:

37. Deputy Mick Wallace asked the Minister for Business, Enterprise and Innovation if consideration has been given to publishing the report produced by the ODCE on its handling of a case (details supplied); if she has considered commissioning an independent report into the ODCE's handing of the case; and if she will make a statement on the matter. [42716/18]

View answer

Written answers

I propose to take Questions Nos. 23 and 37 together.

I, as Minister for Business, Enterprise and Innovation have the statutory power to seek information from the Director of Corporate Enforcement about the performance of the Director’s functions under section 955(1)(a) of the Companies Act 2014. However, this statutory power does not extend to the publication of such information.

The Companies Act 2014 contains strict confidentiality obligations on information in the possession of the Director. There is a public interest in ensuring that ongoing and future investigations are not compromised by the disclosure of details of an individual investigation and the investigative process itself.

However, while it is not possible to publish the report itself, it is intended to publish an account of the investigative shortcomings identified by Judge Aylmer.

The Department sought the advice of the Office of the Attorney General on the account. That advice has been received and the Department has considered it in the context of the finalisation of the account.

It is important that the account is in line with fair procedures, due process and natural justice. These factors must be taken into account in advance of the publication of the account.

It is intended that the account will be published shortly. The purpose of publishing the account is to understand the factors that led to such investigative shortcomings and to take appropriate steps to address them.

These steps include ongoing reform within the Office of the Director of Corporate Enforcement, including ongoing recruitment of specialist expertise and the establishment, as announced by Government last November, of the Office of the Director of Corporate Enforcement as an agency, to provide it with greater autonomy and ensure it is better equipped to investigate increasingly complex breaches of company law. It is expected that the General Scheme of a Bill to give effect to this decision will be considered by Government shortly.

Economic Growth Initiatives

Questions (24)

Bernard Durkan

Question:

24. Deputy Bernard J. Durkan asked the Minister for Business, Enterprise and Innovation the steps in hand or to be undertaken to ensure continued economic investment in jobs, enterprise and innovation here notwithstanding the serious impact of Brexit or other global developments; the extent to which new opportunities continue to be fostered in this context; and if she will make a statement on the matter. [42740/18]

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Written answers

Since the first publication of the Action Plan for Jobs in 2012, Ireland's economy has performed stronger than we thought possible at that time. Unemployment has reduced from a high of almost 16% to 5.4% in September 2018, according to the latest monthly unemployment figures from the CSO.

In March of this year, my Department published Enterprise 2025 Renewed. This involved reviewing our enterprise policies to ensure that our policy priorities remain robust in today's uncertain environment. The review confirmed the fundamentals of our enterprise policy remain sound, and so, Enterprise 2025 Renewed reaffirms our policy focus on export-led growth, underpinned by innovation, talent and investments in place-making.

Nevertheless, the Review showed that we need to make changes to our policy emphasis, to refocus on building resilience and to accelerate the speed at which we implement change. In the face of global challenges, Enterprise 2025 Renewed places a greater emphasis on five main areas:

- supporting the development of Irish owned enterprises so that they are a driver of growth over the period to 2025;

- placing a spotlight on innovation, skills and on leveraging Ireland’s strengths in technologies - the fundamentals that underpin competitiveness and enhanced productivity;

- stimulating greater levels of clustering that takes advantage of the distinctive enterprise mix we have here in Ireland including foreign and Irish owned and optimises spillovers;

- developing Ireland’s relationships with new like-minded members within the EU, managing our reputation in the US, as well as more widely; and raising Ireland’s visibility in overseas markets where we are less well known; and

- realising the potential of all our regions.

The recent pace of economic growth in Ireland has given rise to certain constraints which we are all aware of. I recognise that there are vulnerabilities within our enterprise base, including concentrations in certain sectors and lower productivity performance in Small and Medium Enterprises (SMEs) across the economy. I am aware that skills shortages could constrict growth and that our labour force participation levels for certain cohorts are often lower than other comparable countries. Looking to the longer term, Project Ireland 2040 projects an increase in population of around 1 million people by 2040 requiring 660,000 additional jobs to be created over that period.

Furthermore, I know that Ireland’s future economic prospects will be shaped by international developments including Brexit and other global developments. Moreover, technological change will continue to fundamentally alter the types of jobs we will have in the future as well as the types of businesses supporting those jobs.

While the Government have comprehensively developed strategies which address many of these key challenges, we must avoid complacency and prepare for an uncertain future building on the strengths and successes of the Action Plan for Jobs process and Enterprise 2025. We need to be innovative in our approach to effectively tackle long-standing structural issues, to capture new areas of opportunity and to position Ireland for sustainable growth.

Against this backdrop, in July, the Government agreed to an ambitious initiative to guide the next phase of Ireland's economic development - Future Jobs. The initiative will be developed jointly by my Department and the Department of the Taoiseach. It will harness the coordinated commitment across many Government Departments and agencies established through previous initiatives.

Future Jobs will emphasise building resilience through improving productivity especially among Irish SMEs; enhancing skills levels and increasing participation in the labour force; preparedness for, and exploitation of, anticipated transformational changes arising from technological developments and the transition to a low carbon and digital based economy. A National Summit will be held in November that will be an opportunity for stakeholders to engage with policy makers and contribute to the development of Future Jobs which will be finalised and published in early 2019.

Research Prioritisation, introduced by Government in 2012 and initially spanning the period to 2017, aligned the majority of competitively awarded public investment in research with 14 priority areas that presented particular market opportunities for Ireland and where there was a pre-existing, proven combination of enterprise relevance and research strength in Ireland.

Innovation 2020 contained a commitment to review these areas with a view to updating and revising them as appropriate taking into consideration developments since 2012. The “Research Priority Areas 2018 to 2023” were published earlier this year with revised themes and new opportunities. The revised priority areas will be of particular relevance in the context of the new €500 million Disruptive Technologies Innovation Fund announced by the Government as part of the National Development Plan 2018-2027.

This Fund is additional to existing innovation programmes and is about exploiting research to deliver new technologies and new solutions. It is also about incentivising collaborations between companies and collaborations with the colleges and other public sector bodies to deploy this technology in Ireland. There is €180 million of Exchequer funding being allocated to the Fund between now and 2022. When we factor in industry co-funding, this is a sizeable fund and one which is very much needed at this point. We have an budgetary allocation of €20 million in 2019 to fund the initial projects.

I am confident that we have a strong basis from which to grow. Using my Department's Budget allocation for 2019 to prioritise funding in the three key areas of Brexit, regional growth and innovation, I am sure that our business community will be best placed to meet the opportunities and challenges ahead. While we cannot control what happens externally, we can ensure that Ireland's future prospects are strengthened by taking the right actions now across Government to ensure that: Ireland remains internationally competitive; that our enterprises deepen their resilience through investments in skills and innovation; and that we continue to create an environment that is supportive of business investment and growth.

Arms Trade

Questions (25)

Clare Daly

Question:

25. Deputy Clare Daly asked the Minister for Business, Enterprise and Innovation the number of licences for the export of arms or dual-use items that were denied in 2017; and if any of the licences denied were for the export of arms or dual-use items to Saudi Arabia. [42702/18]

View answer

Written answers

My Department is responsible for controls on the export of military and dual use items from Ireland.

Under Irish law, military export licences must be sought in respect of the goods and technology, and any components thereof, listed in the Annex to the Control of Exports (Brokering Activities, Goods and Technology) Order, S.I. Number 356 of 2018 which reflects the EU Common Military List.

My Department is also responsible for licensing the export of dual-use items outside the EU pursuant to Council Regulation (EC) No. 428/2009 setting up a Community regime for the control of exports, transfer, brokering and transit of dual-use items.

All export licence applications, whether for Dual-Use or Military Goods are subject to rigorous scrutiny. My officials seek observations on any foreign policy concerns that may arise in respect of a proposed export; such factors are subject to review in the light of developments in a given region and having regard to the 2008 EU Common Position on Arms Exports. Any observations which may arise from this examination are considered in the final assessment of any licence application.

My Department may refuse an export licence, following consultation with the Department of Foreign Affairs and Trade and other EU and Non-EU export licensing authorities, as appropriate.

In 2017, two dual-use and two military export licence applications were refused as published in the 2017 Report under the Control of Exports Act, 2008. Details are not published on a per country basis for reasons of maintaining international relations. These refusals were made on the grounds of considerations about the intended end-use, the risk of diversion and EU sanctions.

Dual-use items account for the vast bulk of licence applications received by my Department. In 2017, dual-use licences were issued to the value of €3.2 billion; the total value of military licences issued was €25 million.

No licences have been issued by my Department for military classified goods in respect of Saudi Arabia since 2013.

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