Dáil Éireann Debate, Thursday - 26 October 2017
61. Deputy Brendan Smith asked the Tánaiste and Minister for Business, Enterprise and Innovation if she has had discussions at EU level on the need to implement specific measures to assist businesses and enterprise in the Border region that will be adversely affected by Brexit; and if she will make a statement on the matter. [44668/17]
Amharc ar fhreagraIn our engagements with both EU Commissioners and Ministers from other Member States since the UK decision, Brexit has been a central part of the discussions at these meetings. Officials of my Department have held discussions with DG Competition on the potential difficulties likely to be encountered by Irish firms from the Brexit referendum result with the most recent meeting taking place this week. I also informed Michael Barnier, the EU's chief Brexit negotiator, of these issues when I met him in Brussels on 10th July 2017. These discussions will continue at the highest levels to address all relevant issues relating to any proposals emerging from our work with industry.
The Government is conscious of the need to consider the types of supports that Irish businesses may require across all regions of the country, to address challenges arising from the UK's decision to leave the EU. Short, medium and long term responses from market diversification through to price repositioning will be needed.
On foot of extensive engagement with industry, my Department is working with the Department of Finance, the Department of Agriculture, Food and the Marine, Enterprise Ireland and the SBCI to develop appropriate, tailored and targeted responses. This work, along with market developments as a result of Brexit, and ongoing engagement with the business community, will inform further discussions with the Commission and the development of any further initiatives to business.
I recently announced a Brexit Loan Scheme, which will provide affordable working capital financing to Irish businesses that are either currently impacted by Brexit, or will be in the future. The new Scheme will be delivered by the Strategic Banking Corporation of Ireland (SBCI) through commercial lenders to get much needed working capital into Irish businesses.
The new Brexit Loan Scheme aims to make up to €300 million available to SMEs and Small Mid-Caps. The scheme will be open both to State Agency clients and those businesses that do not have any relationship with State Agencies.
My Department is also scoping the development of a longer-term Business Development Loan Scheme which would assist firms in long term investing for a post-Brexit environment. Further details of this scoping exercise will issue in due course.
A lot that can be done within the existing EU State Aid Framework. We are confident that the measures currently in development will be State Aid compliant, and we are taking steps to ensure that we can use all options available under the State aid framework to provide support to companies impacted by Brexit.
Should issues arise that require an approach that does not fit within the existing rules, we will move quickly to advance this with the EU Commission.
