Richard Bruton
Ceist:2 Mr. R. Bruton asked the Minister for Enterprise and Employment the reason he withdrew the enterprise allowance scheme; and the reason he did so without any prior discussion or notice.
Ceisteanna—Questions. Oral Answers. - Employment Incentive and Enterprise Schemes.
Jimmy Deenihan
Ceist:37 Mr. Deenihan asked the Minister for Enterprise and Employment if he intends to discontinue the employment incentive scheme and the enterprise allowance scheme; and if he will make a statement on the matter.
Michael Creed
Ceist:62 Mr. Creed asked the Minister for Enterprise and Employment the reason he withdrew the enterprise allowance scheme; and the reason he did so without any prior discussion or notice.
Charles Flanagan
Ceist:66 Mr. Flanagan asked the Minister for Enterprise and Employment the reason he withdrew the enterprise allowance scheme; and the reason he did so without any prior discussion or notice.
I propose to take Questions Nos. 2, 37, 62 and 66 together.
The employment incentive scheme and the enterprise scheme are currently operating at capacity level relative to the budgetary provision available for them this year.
The continued relevance of these schemes is being assessed in the light of developments and initiatives in the sphere of enterprise promotion and support currently being put into place including county enterprise boards, the extended area partnership arrangements, Leader II etc. and the social welfare back to work scheme which to an extent overlaps with these two schemes.
My concern will be to ensure that measures remain in place to assist and encourage unemployed people to start their own businesses or to gain employment.
Will the Minister agree that many people who were planning to create an enterprise were left high and dry by the manner in which this decision was taken, with no prior consultation and no prior notice? Will she agree that it is extraordinary that the Government should say, in the month of March, that it has exhausted the money it set aside for a programme to create small start-up businesses which, in about every statement by the Government, is stated to be a priority?
There is a dichotomy here. We have had similar discussions before. There are many measures in place to assist new enterprise, for example, the county enterprise boards, Leader II, the social welfare back to work scheme, area partnership arrangements and so on, all of which can lead to the assumption that there is proliferation of such programmes and schemes. We are attempting to rationalise throughout Government Departments the various programmes and schemes with a view to maximising opportunities for people who wish to set up a business. I assure the Deputy that if a person has a business idea and requires funding for it to become operational, he or she will not be refused.
On what basis can the Minister give such an assurance? The enterprise allowance scheme is no longer operational and people cannot obtain funding. That scheme was unique in that a person could get assistance following three weeks unemployment and subsequent participation in a business start-up course. Will the Minister agree that if the Government wishes to rationalise schemes it should have the courage of its convictions and publish what it plans to do, not do it by stealth leaving people high and dry with enterprise plans withering on the vine?
There will be no withering on the vine, there will be flowering. There are many avenues open to people with a business idea and anybody who has a decent business plan and wants to put it into operation will be assisted.
Has the Minister given an assurance that people who would have qualified for the scheme will be able to get the terms that would have been available to them?
I did not say that. I said there are a number of potential avenues through which people with a good business plan can get assistance, for example, the county enterprise boards, area partnerships, Leader II, the social welfare back to work scheme and so on. Through those avenues a good business idea can flourish on the vine.
I will send the Minister details of a specific case.