Léim ar aghaidh chuig an bpríomhábhar
Gnáthamharc

Seanad Éireann díospóireacht -
Wednesday, 15 Feb 1956

Vol. 45 No. 13

Decentralisation of Industry—Motion (Resumed).

Listening to the speeches in this House since the debate on the motion began, I find that the greater part of the debate has been directed to the centralisation of industry in this country around Dublin. That would suggest that Dublin is the greatest centre of industry in this country. As far as I am aware, that is not the fact, because, unless I am very much mistaken, the heaviest centre of industry in this country is Belfast. What most speakers seemed to forget was that there are not only 26 counties in this country but that we have a country of 32 counties. I think that that should be borne in mind in a debate of this nature.

This resolution can be divided into two distinct parts. The first is: "That this House is of the opinion that the policy of the Government should be accurately and urgently directed towards securing the decentralisation of industry." That, to me, implies that decentralisation of industry should be one of the main concerns of the Government. In cases where the Government have been concerned, we find that there has been decentralisation, and I think that our main concern should not be this question of decentralisation, but rather in getting more efficient production from the industries we have. We should have that efficiency in the industries to ensure maximum production, whether they are centred in Dublin or not.

We have had in industries in which the Government had any concern quite an amount of decentralisation. As Senator Cogan stated, there has been decentralisation in the sugar industry. Again, there has been decentralisation in the electricity supply stations which we find placed all over the country and we should give the Government credit for its interest in these matters. Similarly, we find decentralisation in the case of Bord na Móna, where supplies are brought from all over the country for that industry.

The second part of the resolution urges that administrative control generally should be decentralised throughout the country and some of the speakers have referred to the possibility of moving Government offices to other centres throughout the country. It was noticeable in that regard that other organisations, when they were setting up executive or administrative offices, looked to Dublin, possibly because of its history, its central position and its general facilities. We had that in the case of Macra na Feirme and Muinntir na Tíre when they got grants towards their organisations. I think that any decentralisation of Government services would mean increased costs in administration. This is something to be avoided as much in Government services as it is in industry, where the aim should be to get the highest possible efficiency in production.

The resolution suggests that the Government should interfere in the matter of plans and sites for industry, but the people who make that suggestion are not prepared to accept that philosophy in regard to private industry and they then blame the Government for not doing something which they themselves would not give the Government power to do.

Incentives are given to people to start industries in certain areas and those incentives are really extraordinarily generous and show that the Government is interested in the decentralisation of industry, as far as it possibly can go and within the powers it has. I think this motion is based falsely, because it implies that the Government is not taking an active part in seeking the decentralisation of industry. The motion, therefore, is a little bit of hypocrisy because the people blaming the Government for not seeking decentralisation of industry are not prepared to give the Government the powers to carry out that work.

I should like to say that I have had a fair amount of contact with the establishment of new industries in this country which goes back right to the beginning of the State. I think it is only right to say of this Government and all previous Governments that in every case in which I was concerned the offices of the Department suggested that the industries be put somewhere outside Dublin. There was, however, no unfair pressure put on by the Minister or his Department, but everything within reason has been done towards that end. Quite valuable and large industries have been situated outside Dublin, and, in every case of a new industry, the matter has been examined from the best point of view by the officers of the Department.

It has to be remembered that the location of industries away from the centre of the country meant an increase in the cost of production, and I think one has to bear these things in mind at all times. The first thing to be remembered is that production should be as cheap as possible, if industry in the State is to continue in existence. The other is that, if a healthy national life is to be maintained, the entire life must not be concentrated in one place. I think these are principles which have always been fully realised by those in authority. It is very difficult to see how they could do more, even if a motion such as the present one was passed.

As regards the spread of the administrative centres throughout the country, I think it is perfectly clear that, to do that, would add very much to what is already an appealling burden of cost. The motion is to some extent misleading and ill-advised and, for the Seanad to pass it, would be an indication that things in the past have been different from what they were. It would also involve some reproach on the work done in the past. I myself know of many instances whereby industries were put down the country at the insistence of Ministers and others.

I should like to refer only to two references to the Irish universities made in an earlier part of this debate. In the Official Report of the debate on 9th November, 1955, column 618, Senator Walsh said:

"Until we get a residential university in Ireland, we will not have proper university life and culture."

That statement is clearly open to misunderstanding and would seem to imply that, in the Republic of Ireland, we have no residential university.

I should not like to leave this misapprehension in the minds of Senators. We have, in fact, one residential university in this country. Many citizens may not wish to go to it or may have certain objections to make to it, but we must not ignore the fact that it is there. T.C.D. has as good residential opportunities as the colleges of Oxford and Cambridge mentioned by Senator Walsh a little earlier in his speech.

The second reference to the universities was made by Senator George O'Brien in his final paragraph in column 612 of the same Report. This is what he said:—

"Finally, before sitting down—I hope I will not be misinterpreted or misunderstood—may I, as one of the representatives of the National University, say I would consider it highly undesirable to leave another institution with a monopoly of university education in the capital city of Ireland?"

May I say that I entirely agree with that sentiment? I am fully in favour of healthy rivalry between the two universities in the City of Dublin, but the remarks may be turned round, and I think I can speak with full sincerity in saying I believe that Senator O'Brien would hold, with equal conviction, that he would not like to see either university in the City of Dublin having a monopoly.

I do not think I am misinterpreting him when I say that he would share with me the view that healthy competition between these two great universities will be for the good of education and for the good of Ireland. Perhaps I am not misinterpreting him in any way when I say that I share his views, if these were his motives. At the moment, it is important to affirm that healthy competition between honourable foundations like U.C.D. and T.C.D. is the best thing for Irish education and for our country as a whole. Those are at least my firm convictions in the matter.

I want to intervene briefly on this motion to point out that, in the first place, it asks us to do things—to declare that we believe in the decentralisation of industry and of administrative control. I take that to mean that industry should be decentralised as much as possible. As Senator Cox and other speakers before him pointed out that has been done. That has been the policy of successive Ministers for Industry and Commerce. It has been accomplished, as far as they could accomplish it, without going to the lengths of absolute compulsion, although I understand they have gone pretty far in some cases.

Senator Crowley also asks us to declare that we are in favour of the decentralisation of administrative control, which I take to mean that he wants to send some Government Departments to the country. That is a matter of great difficulty, and is also a different matter. With regard to the motion generally, the question of overgrowth—I think that is the proper word to use for it—in cities is one which is not an Irish problem solely, nor is it merely a problem in small countries. Some of the largest and most important countries, France and Britain, particularly France, have suffered from that, too.

The difference between life in the country and life in the city is by no means what it used to be. The cities are no longer the unhealthy places they used to be and the country is no longer the idyllic place it is sometimes represented to be particularly by city people. The city has a great many amenities but the argument for preventing country towns in particular from decaying is that we ought to have as much diversity of culture and occupation as we possibly can.

Another thing, of course, is that the great growth of Dublin means an immense growth in services—health services, transport services and so on. It was pointed out by other speakers that you could accomplish a certain amount of decentralisation but it would, certainly, be at a cost. I should like, en passant, to make a point about Government intervention. Senator Crowley will forgive me—I am not making any special reference to him— if I say that everybody advocating a particular interest or desiring to further a particular idea calls for Government or State intervention. Everybody wants the State to interfere with somebody else but not with him.

The fact is that in this country since 1922 for very valid reasons and on a very plausible case in every instance the State has intervened to an extraordinary degree and while in each instance you could make a good case, the sum total of State intervention is really enormous in this country now and if you insist on making it more so you will reach complete State control. For example, without expressing my own view on it, it may be true to say that if we are going to insist upon capital and industry going into a particular area in the country the next very simple and proximate step is to insist upon labour moving also from one point to another point. The stage may be reached where we would say to people with money that they should establish an industry in Baile-i-bhfadsíos and the next step would be that we would say to Patrick Murphy, with a wife and five children: "Sorry, we cannot do anything for you here but there is work in Loughrea and you will get no benefit until you go to Loughrea." By proceeding thus the stage is bound to be reached when the State will intervene in matters which will not be desirable.

With regard to administrative control, I think a good deal more thought should be taken about that. Our system of parliamentary and Cabinet Government depends upon collective responsibility and Ministers should certainly be within call. A Minister operating in Cork or Galway is out of touch with his colleagues. That is one thing. Civil servants also—no matter what one may say in criticism of them: I have no criticism to make of them at all, as far as I know them—cannot be tossed about like snuff at a wake. They are appointed to a particular Department and settle down in Dublin and then you decide to move them to some other part of the country, say, Athlone. If you want a branch of the Civil Service with a staff of, say, 300 persons, 200 of whom are married, to move somewhere or other, you have to find in that place 200 houses, accommodation for children in schools and accommodation somewhere else for another 100 persons. Indeed, 300 is a very small number: it would want to be a very much larger number. Undoubtedly, if they went to a particular country town I am sure they would help to improve the social and cultural activities of that particular town—I agree with that entirely—but you would be taking a certain number of people up by their roots and planting them somewhere else. I know there is transferring in certain branches of the Service, such as Revenue. There, when you go into the Service, you know you may be moved but you always have a chance of getting back to Dublin.

From the point of view of anybody with administrative experience, one of the difficulties would be that contact with the Department of Finance would become more prolonged than it is at present. It would all have to be done by letter and it takes long enough now, irrespective entirely of the Government in office or the Minister in power, to get the Department of Finance to do anything. If your relations with the Department of Finance had to take place at a distance of 150 miles, by letter, I shudder at the results. It is obvious, therefore, that you would have a problem which is not so simple as some people think. If you are going to establish a whole Civil Service Department, where would you find a place to do it? Other countries which had a Federal Government, such as Australia and the United States, decided to establish artificial cities. We could not do that. It is very desirable to add to the population of country towns—that has been the policy here—but I very much doubt if it is feasible to do it by adding a Civil Service Department and, before it is advocated, these difficulties should be contemplated.

The same applies to something that was said about universities. A university or a university college is something a great deal more complicated than a mere building where people give lectures. Not only does it require many buildings but it requires, too, workshops for engineering, libraries, museums and you cannot create, in this country at any rate, a new university town. You move people from Dublin, from libraries, museums, art galleries, academies, collections of manuscripts and books, and so forth. You could not duplicate these collections anywhere else. Therefore, while you may say, in theory, that it would be very good to move away from Dublin, the actual difficulty of doing it is very great. The actual cost and decrease in efficiency, perhaps, would also be very great. Therefore, I personally feel that this motion in its present form is unacceptable because it asks us specifically to decentralise industry and administrative control generally, as far as is found practicable.

Senator Crowley is to be congratulated on having put down the motion and on having initiated the discussion. However, this is a matter of very great difficulty. I do not think we should be called upon to express the opinion that both industry and the Civil Service should be decentralised. Perhaps at an earlier point something could have been done about it. A good deal has in fact been done about industry: it has been the declared policy of various Ministers. With regard to the Civil Service, it is a matter that offers very great difficulties. Therefore, I suggest that it is not practicable for us to adopt this motion and, as far as I am concerned, the second part of the motion is something which I would not urge upon this Government or upon any Government. For that reason, I suggest that, although the subject has been very well discussed, it is one on which we should not be asked to express an opinion in the terms of the motion.

I can assure the mover of this motion that Government policy has been directed and is being directed towards encouraging the decentralisation of industry. The Minister has no statutory power to direct any qualified person or industrialist to start an industry in any particular place but, under the Control of Manufactures Act, he has power to attach a location condition to any licence which he issues under that Act. Allowing for that power, the promoters must still be satisfied that the location is reasonable for the business which they intend to promote. Since the passing of this Act, 250 licences have been issued and, of these, 131 have been issued outside Dublin. While the final choice of the location of any industry rests with the promoters, every encouragement is given to any industrialist who comes to the Department or to the Minister looking for information towards establishing his industry outside the large cities and all information as regards location facilities and amenities is given to that person.

Attention is also drawn to the facilities under the Undeveloped Areas Act, 1952. An Foras Tionscal is empowered to give grants in respect of areas scheduled under that Act as undeveloped. These areas are Counties Donegal, Sligo, Leitrim, Roscommon, Mayo, Galway, Kerry and the rural districts of Clare and Cork. Senator Murphy mentioned that two-thirds relief of rates was given in any part of the country, whether Dublin or otherwise. The fact is that local authorities are empowered, under this Act, to give two-thirds remission of rates for ten years for premises in respect of which An Foras Tionscal has given assistance. He also referred to the Six Counties Government's power to erect factories. An Foras Tionscal has also this power but it does not use it very often because if they set up factories and built them without any real industry in sight they could be most unsuitable for whatever persons wanted the factories afterwards. Therefore, when persons come and put up plans for the factories they require they give them, according as they think right, grants towards the building or the completion cost of the factories.

Senator Kissane inquired if the Government had any intention of amending the present legislation under the Undeveloped Areas Act. I do not think this legislation has yet had time enough to prove itself. The volume of grants approved so far is as follows:— From 22nd January, 1952 to March, 1953, £104,800; year ended March, 1954, £159,000; year ended March, 1955, £232,800; current year to date, £532,700. The grants approved in the current year under the Act are £36,000 higher than all the grants that have been approved in the previous three years. If that is not progress and encouragement to industrialists to decentralise, I do not know what more could be done. Out of a sum of £2,000,000 which the Act provides might be spent over a period of seven years, over a quarter has been approved in the present year.

The effects of these grants during the current year will not be noticeable because it takes about two years to have these industries set up and to have the effect noticeable. If the Minister really sets out and insists on a certain location for a factory, the possibility is that industry may be lost altogether to the country, and I do not think anybody would wish that. We feel that the investors in the industry must be the final arbiters of the risks involved.

According to the Central Statistics Office table, showing the location of industries, in the period 1938 to 1952, the net output of industries in the County Borough of Dublin and Dún Laoghaire increased from £17,000,000 to £49,000,000, an increase of 181 per cent. In the same period, output for the rest of the country increased from £15,000,000 to £50,000,000, an increase of 237 per cent., as against 181 per cent. in Dublin County Borough.

The numbers engaged in industry in the County Borough of Dublin and Dún Laoghaire increased during that period from 65,000 to 88,000, while the numbers in the rest of the country increased from 87,000 to 114,000. Output was 54 per cent. of the total of all industrial production in 1938 and this had fallen to 49 per cent. in 1952. These figures indicate that the rest of the country secured a very significant proportion of the total new industries established.

The smaller towns have supplies of labour, and, in some cases, their housing programmes are moving towards completion, which is not the case in the larger cities, and as well, in the smaller towns, the workers are much nearer the factories and have not got the trouble of travelling for half an hour to the factory in the morning and spending another half an hour coming back in the evening which would be a great advantage to anybody seeking to set up an industry in the country. As these facilities become known, I feel that we shall have a much greater degree of decentralisation, especially as these smaller towns at present can offer equal facilities as regards water, sewerage, electric light and power to those available in the city areas. Also, in the towns, there is a much lower valuation on buildings, so that lower rates have to be paid.

I should like to begin by saying that I am very grateful for the contribution which so many members of the House made to this debate, and also to say—and I would be anxious to emphasise this—that I should be very sorry if I conveyed any impression to any side of the House that, in putting down this motion, I was attributing either blame or responsibility for the existence of this problem to either the present Government or any Government in the past.

I began my introduction of the motion on the 9th November last, and I refer the House to column 590 of the Seanad Debates of that date in which I stated clearly that I would like to begin

"...by making it perfectly clear, and, in fact, by emphasising that I am not attributing either blame or responsibility to the present Government or to any Government in the past..."

I think we can all be perfectly satisfied that the existence of the problem can be traced, quite understandably, to the anxiety of successive Governments to secure at any cost siting of the new industries we needed so badly somewhere inside the country, and I am perfectly satisfied that one Minister after another must have had the gun, so to speak, put to his head by manufacturers or others who, of themselves, insisted for their own ends that their industries should be sited where they had the freest and fullest opportunity of access to suitable facilities and, of course, the opportunity of operating at the cheapest possible cost.

Again, I do not think that is a very bad thing either, but I do want to stress that I am perfectly conscious, as I hope every other member of the House after the discussion we have had is conscious, that no blame should be laid at the door of any responsible Minister, past or present, for the fact that we are still left with this problem. The fact is that we have the problem still with us and the fact is that, socially and economically as a nation, we are supporting a very lopsided structure. I believe that if we are to continue to take no notice of the problem, we will eventually, and, as I believe, inevitably, have to face an even greater problem in the long run, and it was solely for the purpose of directing public attention to the fact that the problem exists and that we feel that something ought to be done about it that I put the motion down, in the first instance.

I should like to refer very briefly to a few of the points which some Senators made and I want to begin by thanking Senator Murphy for the contribution he made, and in particular for the emphasis which he put on the necessity for what he described as selective planning of our economy and this particular aspect of it in future. I think that adds emphasis to the purpose of my motion. I should like to say also that I was glad to hear Senator Kissane voice the assurance that members on his side supported completely the principle of the motion, at least.

In passing, I should like to say that every possible credit must be given to the previous Minister who was responsible for the enactment of the Undeveloped Areas Act in 1952 and it is very gratifying, I submit, even at this comparatively early stage—it is just a little over three years since the Act went into operation—to find that some very beneficial results are flowing from that legislation. The Parliamentary Secretary has just quoted some figures which, I submit, give great promise for the future.

I wish also to refer as briefly as I can to the contribution made by Senator O'Brien to the discussion. My friend Senator O'Brien made it clear, in the introduction to his remarks, that he was expressing what I might describe as a quite neutral view. In the course of his speech, he said that the motion suggested a certain type of what he described as artificial localisation of the pattern of industry inside the country. I am sorry that I cannot altogether share or subscribe to that particular opinion. I can only say in reply to it that there is nobody more conscious than I am myself of all the advantages that Dublin has. It has an excellent port, well equipped, conveniently located to handle substantial volumes of imports of raw materials. I am very conscious of all that, and of the advantages that the siting of industry near our principal port offers both to manufacturers, and indirectly to the consumers, in the long run. But I would like to make the point in reply, that even a policy of more vigorous protection for our industries could quite possibly prove even more costly than a policy of decentralising our existing industries, if it were put to the test. At any rate, my whole point in putting down the motion was to ask: are we satisfied that we are doing all we should be doing in our efforts to try to stem some of the very serious problems we are faced with as a people, and would we be justified in continuing or pretending to continue to ignore the fact that it exists? That was the sole purpose of the motion.

I want particularly, however, to refer to another aspect of Senator O'Brien's speech, and to take the opportunity of assuring him and the House that my motion was not intended in any sense to advocate anything like the decentralisation of U.C.D., or any other university for that matter. In moving the motion, I did quote, in fact, deliberately, as one of the worst examples I could think of, of the aspect of the problem we wanted to combat, the current proposal, which I understand is quite a serious one, to transfer the existing buildings and personnel and so on of U.C.D. from Earlsfort Terrace to the Stillorgan Road. I have read, or heard, the figure of something like £4,000,000 quoted as an estimate of the initial cost of that proposal. If this is so, I simply made the point in my opening comment which, I think, was perfectly justified, and feel quite justified in repeating now, that plans of that type, involving expenditure of that proportion, would be far better directed towards either the provision of additional constituent colleges of our university in provincial centres like Limerick, Waterford or Sligo, or any other provincial centres, or, if that was not possible or feasible, towards extending the existing constituent colleges, either at Cork or Galway. I do submit that, in either direction, the amount of effort, and certainly of money, involved would be far better employed than by transferring U.C.D. from Earlsfort Terrace to the Stillorgan Road.

Senators Walsh and Cogan made valuable and lengthy contributions to the discussion. I am sure they will hardly expect me to comment on all they said, but to a very large extent it was clear that they were in agreement, as many other Senators were, with the principle of the motion itself.

Senator Bergin did not hesitate to express his views, and I am very grateful to him for his contribution, even though it was opposed to my own point of view. He made, however, one or two points, apart from the one I have referred to already, in which he accused me of having, in some sense, by implication or otherwise, blamed the present or some past Government for the existence of this problem. I have already assured the House that nothing was further from my mind, and I trust that the House will accept that assurance. He also said, or suggested, that, even though I put down this motion, I was not prepared to give the necessary power to the Government to exercise some form of direction or control in a reasonable way towards securing the results which the motion seeks. I want to assure Senator Bergin that that is not so. I would not have put down the motion if I were not prepared to support giving more power to the Government, and I would like that to go on record as being my own point of view on that suggestion of Senator Bergin.

Senator Hayes in his reference to the motion—a very valuable one, too, I think—made the point that decentralisation was very costly, which I am satisfied it would be if we were to go piecemeal at this problem and try to begin as and from to-morrow, so to speak, to start decentralisation of our industries and administrative control and send them down the country. I should like to assure Senator Hayes and the House that that was very far from my intention in putting down this motion. I am satisfied that it would be as impracticable to secure the actual decentralisation of our existing industries in their present form, as it would be to secure their location in some other part of the country at the time when those manufacturers and so on came in here with their factories. I certainly would be very slow to suggest to this House that we should seriously consider the practicability or possibility of doing precisely that. I am not at all sure that it is even desirable or in the country's interest in the long run, but this much, I think, I would be quite clear in saying, that whatever has been done in the past, and having regard to the fact that we have this problem on our hands, particularly here in the capital city, we could, and should as a people, and as a House, be unanimous in suggesting, at any rate, that anything the present Government or any Government of the future can do should be done actively and urgently towards securing, as far as they can secure it, the location of industries in future in the provinces, in preference to Dublin. That was the principal point I wanted to suggest in bringing in this motion.

Again, I would like to assure Senator Hayes that I am very far from thinking in terms of the creation of a new university town, but I certainly would say that, unless and until such time as the country can really afford to play around with grandiose ideas of that type, we should be just as reluctant to give approval to the creation of a university town in one of the suburbs of Dublin as anywhere else throughout the country. That was the only point I made on this matter when I was introducing this motion. I certainly had no intention then, nor have I any intention now, of advocating that we should seriously consider any such suggestion at all.

I am glad to hear from the Parliamentary Secretary that the Department is alive to the urgency and importance of this problem. I may say in all sincerity that I never had the slightest doubt that the Department would be alive to the importance of this problem, and I would not have to look very far to get more definite evidence of that if I were in need of it. I also realise that, under existing legislation, quite clearly the Department has not the power to direct, so to speak; but I submit that the Department could, perhaps, do a little more than has been done in the past towards securing the desirable ends I was seeking.

Let me say that it appears clear to me from the discussion we have had that there are members in all Parties represented in this House who are in agreement, at least with the principle of the motion. I am very glad to note that, because I think that, in itself, is something and as long as we have that type of thinking, we are not entirely lost. Secondly, I should like to say that I have no desire whatever either to embarrass or actually press my particular views on the Government by forcing a motion of this type on such a subject to a division, and I have no intention of doing so. But I would like to say before I conclude that I am satisfied, having heard the discussion, that the motion has, in fact, served quite a useful purpose and there has been an interesting debate upon it. I want to thank all the Senators who have spoken on the motion, either in favour or against. Finally, I should like to appeal to the Government at least to take note of the views, the very intelligent and strong views, which have been expressed in the course of the debate. I hope that in future we shall hear—I trust from the Government side—something perhaps more constructive and far reaching than I could offer the House at this stage. That is all I have to say about it, except again to thank all the members of the House who contributed to the debate.

Motion, by leave, withdrawn.
Barr
Roinn