Vol. 405 No. 3
51 Mr. Gilmore asked the Minister for Finance if he will give the estimated cost to the Exchequer, in terms of tax foregone, of the business expansion scheme in 1990; and the estimated number of jobs created during that year as a result of the scheme.
I am informed by the Revenue Commissioners that statistics on the business expansion scheme are compiled on the basis of amounts invested in the scheme as formally notified to them in the tax year ending on 5 April each year. On this basis, the estimated tax foregone on actual investments notified to the commissioners in the current tax year, i.e. from 6 April 1990 to date, is £29 million.
Statistics of jobs created in this period are not available. However, I would point out to the Deputy that a general review of the scheme was conducted by my Department in conjunction with the Office of the Revenue Commissioners and the Departments of the Marine, Tourism and Transport and Industry and Commerce. The review identified growth of approximately, 4,250 jobs in some 347 companies which had received investment under the scheme. State expenditure of £74 million was identified in respect of the companies in question between tax foregone under the BES and State grants. It is not possible to state with certainty the extent to which the additional jobs identified were linked to the State expenditure.
