Written Answers Nos. 1 - 25
11. Deputy Thomas P. Broughan asked the Tánaiste and Minister for Business, Enterprise and Innovation if enhanced resources will be provided to LEOs of Border counties (details supplied); and if she will make a statement on the matter. [49462/17]
Amharc ar fhreagraThis Government is substantially strengthening its focus on the possible implications of Brexit in order to safeguard the competitiveness of the Irish economy against any potential negative impacts.
My Department and its Agencies play a key role in implementing the Government’s policies to stimulate the productive capacity of the economy and create an environment which supports job creation and sustainment of existing jobs.
As the Deputy has acknowledged, last week my Department published its plan ‘Building Stronger Business – Responding to Brexit by competing, innovating and trading’. This plan focuses on our responses to the range of challenges and opportunities arising as a result of Brexit, including those of the Local Enterprise Offices (LEOs).
The LEOs are the first-stop-shop for anyone seeking guidance and support on starting or growing their business in Ireland. They aim to promote entrepreneurship, foster business start-ups and develop existing micro and small businesses, especially those with export potential. Financial supports are provided to new start-ups and businesses with 10 employees or fewer in the manufacturing and internationally traded services sector which, over time, have the potential to develop into strong export entities.
As stated in the plan, I secured an additional €4 million in capital funding for the LEOs this year which has, and will continue to fund, a range of measures put in place to supplement LEO supports.
An additional €4m in capital funding has also been allocated to the LEOs in 2018, and this will ensure that a suite of LEO Brexit supports are available to micro and small businesses through the 31 LEOs nationwide. These supports, which are aimed at strengthening the capacity of micro and small businesses to better cope with the changing external environment, especially Brexit, include:
- Access to the ‘Brexit SME Scorecard’ online tool where micro and smaller businesses can self-diagnose their readiness for Brexit;
- A ‘Technical Assistance for Micro-enterprises’ grant designed to support qualifying businesses to diversify into new markets, enabling companies to explore and develop new market opportunities;
- A ‘Lean for Micro’ programme available nationwide to help small businesses become more efficient and competitive;
- A ‘LEO Innovation and Investment Fund’ pilot programme to support innovation in micro-enterprises and to help them become investor ready so that they can scale their businesses;
- Tailored mentoring to address Brexit-related business challenges;
- Targeted training on specific Brexit challenges, including financial aspects and capability building in innovation, competitiveness and opportunity diagnosis; and
- Continued information, advice and guidance across all 31 LEOs and regionally.
The LEOs will also:
- prepare and disseminate a suite of online information addressing practical issues aimed at micro-enterprises.
- conduct a survey of locally trading businesses to better understand the exposure and opportunities arising from Brexit amongst this cohort.
- continue to be proactive in identifying client businesses that are exposed to Brexit and to help them to plan their response, including exploiting new opportunities and leveraging the suite of LEO supports available.
- seek to leverage the Regional Competitive Funds to drive collaborative initiatives and peer-to-peer networking amongst micro and small businesses in certain sectors and activities.
In addition, the six LEOs in the Border region are working together with their Northern Ireland counterparts under the EU Co-Innovate Programme. The aim of Co-Innovate is to give SMEs from the manufacturing and tradable services sectors in the eligible regions the tools and tailored support to help them to innovate, differentiate and compete successfully.
These initiatives supplement the core services provided by the LEOs to the micro and small business sector. These services include advice and guidance, training and mentoring, a ‘signposting’ and referrals service to other State supports, as well as financial assistance to micro-enterprises in the manufacturing and internationally traded services sector. For example, LEO Dublin City is running a series of Start Your Own Business courses over the coming months and LEO Fingal have scheduled a number of training courses addressing issues such as website development and the use of social media to promote a company.
Events such as the National Enterprise Awards and the County finals of the Ireland's Best Young Entrepreneur competition showcase the range and quality of LEO clients and provide avenues for LEOs to promote their suite of services to stakeholders.
Finally, the majority of LEOs currently have a full staff complement, and arrangements are at an advanced stage for the filling of the small number of existing vacancies. The first phase of the LEO Graduate scheme is coming to an end, and it is intended that the next scheme, which will provide for a placement in most LEOs, will be in place during Q1 2018.
12. Deputy Maurice Quinlivan asked the Tánaiste and Minister for Business, Enterprise and Innovation her plans to introduce legislation to combat ticket touting; and her views on the Sale of Tickets (Sporting and Cultural Events) Bill 2017. [49574/17]
Amharc ar fhreagraMy predecessor as Minister for Business, Enterprise and Innovation, Mary Mitchell O'Connor T.D., published a consultation paper on the resale of tickets for entertainment and sporting events on 20 January 2017 along with the Minister for Transport, Tourism and Sport and the then Minister for Tourism and Sport. The 24 responses to the consultation were published on the Department's website on 9 May 2017.
As evidenced by the different responses to the consultation, the matter is neither simple nor straightforward, and, while it would be relatively easy to enact legislation on the issue, it is much more difficult to ensure that such legislation would be effective and enforceable.
For example, although it is sometimes assumed that all of the tickets to entertainment or sporting events go on general sale to the public, this is not typically the case. Tickets for entertainment events are commonly made available to a range of parties – including performers and their managements, members of performers’ fan clubs, venues and members of their clubs, corporate sponsors, holders of some credit cards, customers of some telecoms services, record labels and media organisations – prior to going on general sale. Estimates from the US and the UK suggest that half or more of tickets for concerts by top acts may be allocated or sold prior to the commencement of the general public sale. For major sporting events, all of the tickets may be allocated to affiliated clubs and boards or to subscribers with multi-year or season tickets with none available on general sale.
If a proportion of tickets for high-demand events are not available for general sale, potential purchasers’ chances of obtaining tickets on the primary market are correspondingly reduced. Pre-sales and pre-sales allocations also go some way to explaining why tickets for some events can be offered for sale on secondary marketplaces within minutes of their going on general sale or, in some cases, even before the start of the general sale.
It is also worth noting that a high proportion of ticket resales appear to be made by individuals who have bought a small number of tickets legitimately and then proceed to resell them. For some events, most resales (sometimes up to 90 per cent of resales) may be accounted for by private sellers.
Since receipt of the public consultation submissions, my Department has engaged in follow-up discussions with sporting bodies, event promoters, consumer bodies, primary ticketing service providers and secondary ticket marketplaces. My Department is also pursuing enquiries with public authorities in European Union member states with laws that prohibit or restrict ticket resale on the experience with, and effectiveness of, these laws. The results of these discussions as well as the responses to the consultation are being analysed with a view to identifying possible measures aimed at helping ensure that ticket markets work better for consumers.
The outcome of this process will inform both me and the Government on the approach to be taken on this matter, including the approach to the Deputy’s Private Member’s Bill entitled Sale of Tickets (Sporting and Cultural Events) Bill 2017.
13. Deputy Thomas P. Broughan asked the Tánaiste and Minister for Business, Enterprise and Innovation if studies (details supplied) are on target to be completed before the end of 2017; the timeframe for the findings to be made available; and if she will make a statement on the matter. [49461/17]
Amharc ar fhreagraIn advance of the UK Referendum, my Department conducted a contingency risk assessment of the potential impacts of Brexit across policy areas of the Department. We have refined our analysis post-referendum and have been working with Agencies to put in place actions to mitigate risks and maximize opportunities.
In this regard, my Department is conducting a number of research projects to build an understanding of the possible implications of Brexit on Ireland for enterprise, consumers and trading relations.
These studies examine a range of scenarios and will provide an evidence base to inform Ireland’s policy positions as part of the wider negotiation on the UK’s future relationship with the EU and will further assist with the continued development of mitigation measures to respond to Brexit.
The Department is also engaged in extensive consultation with stakeholders across all sectors of the economy. Such consultation provides direct input to the more formal research studies but also represents a strand of research in itself, facilitating direct engagement between policymakers with those most significantly impacted by Brexit.
Many of the challenges facing our economy and our enterprise base reflect longer term global trends.
Brexit, however, is acting as a catalyst, bringing these challenges into sharper focus, expediting the need for firms to respond and adapt. This in turn behoves my Department, and indeed the entire Government system, to continue to develop effective policy responses to support enterprise.
It is important to acknowledge, however, that the majority of policies and interventions that are already in place to support enterprises and to help them grow and diversify remain relevant. In this context, the ongoing review of Enterprise 2025, offers a value opportunity to take stock and ensure that these policies are Brexit proofed.
The challenge now, is to identify the additional specific policies that are required to address Brexit and emerging global challenges and opportunities. Whilst identifying new actions to support our companies, we must also ensure we fully utilise all of the existing supports that are in place.
The various studies currently underway will provide a valuable resource as my Department’s policy response continues to evolve. The outputs from such studies will contribute to the development of targeted, sector specific messages and mitigation measures. These are outlined in the recent Brexit Sectoral Report 'building Stronger Business' which I published last month.
The details of the research studies which are currently being undertaken by my Department, as referred to in this question, are as follows:
- The study into the “Sectoral implications arising from Brexit: Most exposed sectors” and the study into “Strategic Implications arising from EU-UK Trading Patterns” are on target for completion at the end of 2017. These studies will form part of the deliberative process to inform the development of our policy positions as part of the negotiations on the UK future relationship with the EU and key findings will be made available in due course.
- Phase 2 of the InterTrade Ireland study on “The Potential Impact of WTO Tariffs and other key relevant issues on Cross-Border Trade” is expected to be completed by the end of November 2017. It is intended that this report will be published within the coming weeks
- The study by the CCPC and the ESRI on the “Financial impact of Brexit on consumers in Ireland” is expected to be completed by the end of 2017. The issue of publication will be considered once the Project has been completed.
14. Deputy Margaret Murphy O'Mahony asked the Tánaiste and Minister for Business, Enterprise and Innovation the role her Department will play in the National Disability Inclusion Strategy 2017 - 2021; and if she will make a statement on the matter. [49456/17]
Amharc ar fhreagraMy Department, its Offices and the Agencies under its remit, are committed to the success of the National Disability Inclusion Strategy that was launched this year and the implementation of the Comprehensive Employment Strategy for people with Disabilities.
Officials of my Department are members of the Steering Groups overseeing the implementation of both of these Strategies. A Disability Consultative Committee has recently been put in place in my Department.
Examples of specific actions which support the delivery of these strategies are:
1. In June, I launched Ireland’s new National Plan on Corporate Social Responsibility, ‘Towards Responsible Business’ 2017-2020’. The Plan aims to encourage businesses to develop strategies to integrate diversity in the workplace, including for people with a disability
2. Ireland has reached agreement at EU-level on the text of a Directive and Regulation that will jointly ratify the Marrakesh Treaty to Facilitate Access to Published Works for Persons who are Blind, Visually Impaired, or otherwise Print Disabled. My Department is actively preparing for this transposition, to ensure that it is carried out quickly and effectively.
3. The Employment Equality Acts prohibit discrimination on nine grounds including the ground of disability. Any person who believes that s/he has experienced discrimination which is contrary to the Employment Equality Acts may seek redress by referring a complaint to the Workplace Relations Commission, which is an Office of my Department.
4. Officials of my Department are currently assisting the Office of the Parliamentary Counsel in drafting the Copyright and Related Rights (Miscellaneous Intellectual Property) Bill. One of the primary intentions of this Bill is to improve access to copyright works for persons with a disability. The Bill will allow an individual to make a personal copy of a work modified to meet their particular needs. Moreover, certain designated bodies will be able to make multiple copies of a work to meet the specific needs of persons with a disability and to share these with other designated bodies as well as directly to individuals with a disability.
5. Enterprise Ireland is actively working with the National Disability Authority in looking at routes to commercialising universal design product ideas for the NDA’s Annual Design Challenge.
6. EI hosted a knowledge sharing event with the National Disability Authority on a range of issues to do with disability with approximately 30 employers.
7. Staff in the Local Enterprise Office (LEOs) recently undertook training on interacting with people from disadvantaged or underrepresented communities, including people with disabilities.
7. In line with other Government Departments, my Department and Offices have in place access officers who provide the assistance necessary to enable our clients and customers with disabilities to effectively access all our services.
8. My Department is committed to complying with the Code of Practice for Appointment of Persons with Disabilities to positions in the Civil Service. At the end of 2016, 5.2% of our staff were reporting a disability.
15. Deputy Clare Daly asked the Tánaiste and Minister for Business, Enterprise and Innovation the date for the publication of the annual report on export licensing activity undertaken under the Control of Exports Act 2008 for the period 1 January 2016 to 31 December 2016; and if publication will occur before the end of 2017. [49608/17]
Amharc ar fhreagra16. Deputy Mick Wallace asked the Tánaiste and Minister for Business, Enterprise and Innovation her views on the most recently published report under the Control of Exports Act 2008, covering the period January 2017 to June 2017; her further views on the volume of arms exports permitted by her Department to countries that form the Saudi Arabian alliance, which is engaged in the bombardment of Yemen; and if she will make a statement on the matter. [49606/17]
Amharc ar fhreagra30. Deputy Clare Daly asked the Tánaiste and Minister for Business, Enterprise and Innovation her views on the increase in the value of licences for arms exports from Ireland, issued by her Department, from €23 million to €132 million between the last six months of 2016 and the first six months of 2017; her further views on the fact that this is the first time since six monthly reports began to be published that the value of licences for arms exports has exceeded €100 million; and if she will make a statement on the matter. [49607/17]
Amharc ar fhreagraI propose to take Questions Nos. 15, 16 and 30 together.
The 2016 Annual Report under the Control of Exports Act,2008, was submitted to Government this week and will be laid before both houses of the Oireachtas and published as soon as it is translated into Irish. I expect to publish the Report before the end of the year.
The objective of publishing these reports is to provide the public with a continuing enhanced level of transparency about exports of controlled goods and services. My Department applies the highest international standards in the implementation of the export control regime. Our policy of free trade and open markets must conform with the core principles of security, regional stability and human rights which underpin export controls.
In regard to the increase of over €100 million in exports during the first half of 2017, I would like to clarify that this increase does not concern arms but rather goods that have a military classification. This classification also includes goods that are exported temporarily for repair and maintenance, even including within the European Union.
The EU has a range of sanctions and measures in place in respect of countries engaged in conflicts. 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. My Department observes all arms embargos and trade sanctions when considering export licence applications. There are no EU sanctions in place in respect of Saudi Arabia.
All export licence applications, whether for Dual-Use or Military Goods are subject to rigorous scrutiny. My Department has safeguards built into the licensing system which enable robust checks and cross-checks to ensure, as far as possible, that an item to be exported will be used by the stated end-user for the stated end-use, and will not be used for illicit purposes.
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. 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.
My Department can and does refuse export licence applications where we have concerns about the ultimate end-user or end-use of a product. In 2016, 3 licence applications were denied. It is also the case that a company may withdraw a licence request, on the basis of information provided by my Department.
Only last week, I led a trade mission to Oman and the United Arab Emirates which included the announcement of multi-million euro deals for our companies. Trade with the Gulf region is very important for Ireland as part of our response to Brexit and the need for diversification of markets for our companies.
Let me be clear that the Government is extremely concerned about the current situation in Yemen, particularly as the humanitarian crisis continues to deteriorate. Both the ongoing war and the growing cholera epidemic are having devastating consequences for the civilian population. The EU is the largest humanitarian donor to Yemen and Ireland has contributed some €10M to the EU’s €170M contribution to date. I would also say that this is effectively a civil war and no one country is responsible for the misery there. There are many countries involved but taking a hard line with one side or the other will not solve this complex war.
17. Deputy Niamh Smyth asked the Tánaiste and Minister for Business, Enterprise and Innovation her views on the effects that Brexit will have on SMEs along the Border region; and if plans have been made to protect them. [49455/17]
Amharc ar fhreagra26. Deputy Niamh Smyth asked the Tánaiste and Minister for Business, Enterprise and Innovation the plans in place to protect businesses along the Border in view of Brexit; and if she will make a statement on the matter. [49453/17]
Amharc ar fhreagraI propose to take Questions Nos. 17 and 26 together.
I am very conscious of the challenges faced by companies operating in close proximity to the border as a result of Brexit, many of which trade freely on both sides.
The Regional Action Plan for Jobs imitative, launched in January 2015, is a central pillar of the Government’s ambition to create 200,000 new jobs by 2020, 135,000 of which are outside of Dublin.
The North East/North West Action Plan for Jobs is the key policy response for supporting employment growth in the Border region. The Plan is stimulating job creation across the region, by facilitating collaborative initiatives between the public and private sector, and through the provision of new competitive funds awarded through Enterprise Ireland, to support regional enterprise projects.
The North East/North West Plan aims to support the creation of 28,000 jobs across Sligo, Leitrim, Donegal, Cavan, Monaghan and Louth by 2020. Sectors targeted as part of the plan include traditionally strong sectors for the region like agri-food, manufacturing/engineering and tourism.
The core objective of the Plan is to reduce the unemployment rate to within 1 percentage point of the State average.
There are now 6,000 more people in work in the region since the launch of the Regional Action Plan initiative in Q1 2015. Moreover, the unemployment rate in the Border region has fallen from 10.2% in Q1 2015 to 6.6% in Q2 of this year, which is within the target of one percentage point of the State average.
To support the Regional Action Plans, additional funding of up to €60 million is being rolled out by Enterprise Ireland over the next 4 years to support the development and implementation of collaborative and innovative projects that can sustain and add to employment at a national, regional and county level. This regional competitive fund will support the ambition, goals and implementation of the Regional Action Plans for Jobs.
In addition, additional funding of €150 million is being made available to the IDA to support its Regional Property Programme and drive job creation in the multi-national sector.
The Local Enterprise Offices in the border counties are active also in support of their SME clients by providing information, training and mentoring on Brexit related issues as well as advice on other sources of support.
I fully appreciate that external shocks, such as Brexit, may impact on regional job delivery in the future.
However, the Regional Action Plans as well as the support of the enterprise agencies are flexible and dynamic and can be adapted to address Brexit challenges and opportunities arising within the regions.
18. Deputy Paul Murphy asked the Tánaiste and Minister for Business, Enterprise and Innovation her views regarding the CETA trade agreement between the EU and Canada in respect of the possibility of undermining regulatory standards; her plans to seek ratification of CETA; and if she will make a statement on the matter. [49590/17]
Amharc ar fhreagraCETA will not undermine the regulatory standards in Ireland or the EU that benefit our citizens. It will not affect the right of governments to regulate in the public interest. The Agreement includes provisions to ensure governments’ “right to regulate”. CETA will not affect EU rules on food safety or the environment. The Agreement explicitly excludes workers’ rights, environmental rights, health and safety regulations or similar public policy measures.
Indeed, in CETA, the EU and Canada reaffirm their commitment to sustainable development and agree that further trade and investment should strengthen, not weaken, environmental protection and labour rights.
Both the EU and Canada want CETA to help ensure that economic growth, social development, and environmental protection reinforce each other. Therefore, CETA includes the EU's and Canada's obligations under international agreements on workers' rights and environmental and climate protection.
When it comes to implementing the EU's and Canada's commitments in these areas, CETA gives a strong oversight role to civil society, including business associations, trade unions, consumer bodies, environmental groups and other non-governmental organisations.
CETA will establish a Regulatory Cooperation Forum to discuss regulatory policy issues of mutual interest and develop bilateral cooperation activities. By fostering cooperation earlier in the regulatory process, the Forum will enhance information sharing between Canadian and EU regulators, facilitate the development of more compatible regulatory measures, resulting in fewer barriers to trade, and making it easier for the EU to do business in Canada.
The Regulatory Cooperation Forum will be a voluntary cooperation mechanism and any initiative entailing a change in EU regulations can only be introduced and pursued outside CETA, in compliance with the ordinary EU legislative procedure.
Regarding the ratification of CETA, It is important to note that the provisions relating to investment protection and the Investment Court System (ICS) are excluded from provisional application. Member States will not be bound by these provisions until they are ratified by all Member States in accordance with their national procedures. In this regard, I have no immediate plans to ratify the Agreement given the Opinion of the Court of Justice of the European Union in the EU-Singapore case and the recent request by Belgium for an opinion from that Court on the compatibility of the Investment Court System with the European Treaties.
19. Deputy Maurice Quinlivan asked the Tánaiste and Minister for Business, Enterprise and Innovation the initiatives her Department is putting in place to help support and grow current businesses and attract new enterprises to the areas designated by the CSO as unemployment black spots. [49576/17]
Amharc ar fhreagraAccording to CSO, the number of people in unemployment in October 2017 was 131,300, a decrease of 26,800 from the same month in 2016, a decrease of 17%. Since the first Action Plan for Jobs was launched in Q1 2012 the number of people in employment has increased by almost 225,000, while the unemployment rate has dropped from 15.2% to 6.0% in October this year.
Between June 2015 and January 2016, my Department published eight Regional Action Plans for Jobs, aimed at raising employment levels in all regions including areas deemed by the CSO to be unemployment blackspots. This initiative is a central pillar of the Government’s ambition to create 200,000 new jobs by 2020, 135,000 of which are outside of Dublin.
The primary objective of these plans is to have a further 10 to 15 per cent at work in each region by 2020 and to ensure the unemployment rate of each region is within one percentage point of the State average. Each plan contains a series of actions with timelines for delivery between 2015-2017, to be delivered through improved collaboration between enterprise agencies and other stakeholders supporting enterprise development in the regions. These plans monitor progress and is reported to Government twice a year.
Enterprise Ireland, the Local Enterprise Offices and IDA Ireland are working to support the implementation of each region’s action plan in order to start, grow and attract new business and employment. Each agency has a suite of programmes and supports to that end.
In May of this year, Enterprise Ireland launched a new €60 million competitive Regional Enterprise Development Fund. This competitive fund is a key action to support the Regional Action Plans for Jobs and the Action Plan for Rural Development. The Competitive Fund will support significant collaborative regional initiatives to build on specific industry sectoral strengths and improve enterprise capability, thereby driving job creation. The evaluation process for the first call under the Regional Development Fund is still ongoing. It is anticipated that a second open competitive call will be launched in early 2018.
The LEOs were established as the ‘first-stop-shops’ for advice and guidance, financial assistance and other supports for anyone who intends to start or grow their own business, they offer a range of supports available from 31 Local Enterprise Offices (LEOs) nationwide. The LEOs provide a wide range of supports to existing businesses and entrepreneurs including grants, training, mentoring and access to loan finance through Microfinance Ireland.
At least 70% of all new FDI comes from existing IDA client companies and the IDA are constantly engaging with the current client base about expanding their operations here. It should also be emphasised that FDI only forms one part of investment in regional locations. Indigenous enterprise is responsible for a significant portion of employment growth, especially outside Dublin. My Department and all its Agencies, including Enterprise Ireland and the LEOS, work together constantly and collaboratively to ensure that jobs and investment are spread fairly across this country.
I should also mention, in relation to ‘blackspots’ with a high concentration of unemployment, as identified in the Census, it is important to recognise that Department of Employment Affairs and Social Protection services through Intreo are focused on unemployed individuals. This means that those areas where unemployed individuals are most concentrated will also be the areas that receive a greater share of DESP income support payments and activation and employment services.
Finally, I should mention that in the context of Budget 2018 a new €300 million Brexit Loan Scheme will provide affordable financing to Irish businesses that are either currently impacted by Brexit or will be in the future. The new scheme is open to all trading SMEs and large firms employing less than 500. The scheme will see a sizeable reduction in interest rates charged for lending to circa 4%. The new scheme will be delivered by the Strategic Banking Corporation of Ireland (SBCI) through commercial lenders, to get much needed low-cost working capital into Irish businesses.
20. Deputy Eamon Scanlon asked the Tánaiste and Minister for Business, Enterprise and Innovation the details of all planning and research work under way on the impact of Brexit on businesses and small and medium enterprises in Northern Ireland and the Border counties; and if she will make a statement on the matter. [49458/17]
Amharc ar fhreagraEarlier this month I published a paper, entitled Building Stronger Business, which sets out all the wide ranging work both underway and planned by my Department, to deal with the enterprise issues of Brexit, including various pieces of wider research on Brexit issues currently being undertaken. The approach is to minimise risks and maximise opportunities by ensuring the growth and resilience of Irish enterprise post-Brexit working across four pillars:
- Helping firms to compete: we are working across Government to create the best environment for business to grow, export and create jobs. Key elements include: ensuring that firms have access to finance; ensuring that our tax regime and infrastructure spend promote national competitiveness; and that the Agencies are appropriately resourced to help business focus on competitiveness at firm level.
- Enabling firms to innovate: as part of our strategy to become a Global Innovation Leader, we are targeting R&D funding through our Agencies. We want to support innovation in new products and processes which firms will need if they are to compete, grow and invest in the pipeline of the next generation of innovators through a new postgraduate researcher programme.
- Supporting firms to trade: we are supporting firms to: start exporting; grow their exports in existing markets; and diversify into new markets and regions. We will continue to attract overseas investment while working with EU partners to expand the portfolio of Free Trade Agreements.
- Negotiating for the best possible outcome: we are working across government to ensure we get the best outcome possible for business from Brexit negotiations. DBEI is leading a range of Brexit research projects which will provide an extensive evidence base to inform and guide Ireland’s position within the EU-27.
Northern Ireland accounts for about twelve percent of total exports from Ireland to the UK and accounts for about eight per cent of imports. Given that the population of Northern Ireland makes up less than three per cent of the UK total, this shows the closeness of the economic ties between the two jurisdictions.
It is therefore very important that we understand the implications of Brexit on this trade and that we have a strong evidence-based analysis to inform policy decisions. Accordingly, in partnership with InterTrade Ireland, the cross border body which my Department co-funds, we have initiated a major research project, with the analysis being undertaken by the Economic and Social Research Institute.
Phase 1 of this analysis used data on WTO baseline tariff rates, sectoral price elasticities and non-tariff barrier costs, to generate estimates on the range of possible impacts for the type of products currently being traded. It considered a range of tariff and exchange rate scenarios. The results presented, show a very significant adverse impact on levels of cross border trade, especially in the Agri-food sector. It is important to note that these are the worst case scenarios if no trade agreement is in place. Obviously, our stated Government intention is to ensure negotiations mitigate these impacts. This report was published in July last.
The second phase of the research, currently nearing completion, is examining the concentration of North-South trade, how the structure changed over time, the patterns of intermediate inputs and final products, the frequency with which new products are introduced, and how product composition compares to other markets. The third phase, to commence shortly, will look at issues relating to services trade between both jurisdictions as opposed to goods trade.
21. Deputy Mary Butler asked the Tánaiste and Minister for Business, Enterprise and Innovation if she will address the fact that the south-east region returns just 45% of the PAYE income tax per head (details supplied) as per the south-east economic monitor; and if she will make a statement on the matter. [49515/17]
Amharc ar fhreagraThis Government and my Department value an evidence based approach as part of our efforts to ensure that work pays. In that context I note the findings of the South East Economic Monitor as referenced in the Deputy's question in relation to examining income tax returns as a proxy for job quality and employment levels. A closer examination of the research and analysis behind the findings and the associated underlying assumptions would be required before I could make further comment on the specifics of the data quoted by the Deputy. In addition, as the Deputy is aware, issues relating to income tax are a matter for the Minister for Finance.
As regards the core issue raised however, it is the case that delivering sustainable employment and higher standards of living for all is the central objective of enterprise policy as set out by my Department in Enterprise 2025. This means creating the environment for quality jobs, enabling flexibility without exploitation, and a regulatory environment that remains attuned to changing work organization and society over the coming decade.
The enterprise agencies IDA Ireland and Enterprise Ireland (EI), together with the Local Enterprise Offices (LEOs) are focused on the creation of quality employment, taking into account the multidimensional aspects that define quality: ensuring opportunities for advancement that includes workplace learning and development; ensuring that people are educated and trained to meet the needs of industry; and recognizing the opportunities presented by entrepreneurship as an alternative career path.
IDA is targeting a minimum increase in investment of 30 to 40 percent in the South-East region over the period of its strategy to 2019. IDA positions the South East in the market place as an investment location with a strong ecosystem of both indigenous and multinational companies operating across a diverse range of sectors, including clusters in the Life Sciences and Financial Services/Business Services sectors, and strong FDI Engineering manufacturing businesses.
At the end of 2016, there were 13,369 employed at 72 IDA companies in the South-East region.
EI continues to engage with its 530 client companies in the South East to help establish their clients’ business needs and deliver quality jobs. In 2016, over 20,000 people were employed in EI supported companies in the South East.
In 2016, a total of 1,283 gross jobs were created by companies that have been supported by the LEOs in the South-East. Total employment among the South-East LEO clients was 6,690 at the end of last year.
Key to delivering on the vision set out in Enterprise 2025 is that we optimize the job creation potential of our regions, building on distinctive strengths and assets, and that is the aim of the Regional Action Plans for Jobs launched by my Department in 2015.
These Regional Plans are crucial to meeting the Government’s ambition to create an additional 200,000 jobs, of which 135,000 are outside the Dublin region by 2020.
What the regional action plans can do is get things working from the bottom up, in partnership with the enterprise sector and other regional actors, building and reinforcing local strengths.
The South-East Action Plan for Jobs aims to increase employment in the region by 10-15% over the period to 2020, resulting in delivery of 25,000 jobs.
In addition to the FDI investment target increase of 30-40 percent, the South East Plan also aims to achieve a 25 percent increase in the number of start-ups in the region, improve the scaling performance of companies by 25 percent and improve the 5 year survival rate of companies by 25 percent.
The Local Authorities, enterprise agencies, and other key public and private sector stakeholders in the region have been strongly involved in, and are key drivers of, the South-East Action Plan. In addition, the Regional APJ Implementation Committee is working with the South East Regional Skills Forum to assess and respond to the skills needs of industry and prospective employees in the region.
As a result of a focused collaborative approach and a range of reforms, there has been a substantial improvement in the South-East region since the commencement of the National Action Plan for Jobs in 2012, with an additional 33,600 in employment in Q2 2017 compared to Q1 2012.
There are now 13,000 more people in work in the region since the launch of the Regional Action Plan initiative in Q1 2015.
The sectors which showed the highest employment growth since 2015 were Construction, Professional, scientific and technical activities and the Hospitality sector.
In addition, the unemployment rate in the South-East region has fallen from 12.8% in Q1 2015 to 8.1% in Q2 of this year.
However, there is still work to be done: the unemployment rate in the South East is still over 1 percentage point higher than the (Q2 2017) national average of 6.4%.
To complement the Regional Action Plan for Jobs process, Enterprise Ireland, with the support of my Department, in May, launched a Regional Enterprise Development Fund of up to €60 million to grow and sustain jobs across the regions over a four-year period. The Fund aims to support significant regional initiatives, to build on sectoral strengths and to improve enterprise capability. An announcement of successful projects under the first call should take place by year end.
Collaboration is key to the success of employment initiatives such as the South East Action Plan for Jobs, and I want to promote the idea of people working together in the region to come up with new ideas, including those that could be considered under the Regional Enterprise Development Fund.
Additional funding of €150 million is also being made available to the IDA to support its Regional Property Programme and drive job creation in the multi-national sector.
22. Deputy James Lawless asked the Tánaiste and Minister for Business, Enterprise and Innovation when the next round of PRTLI funding will occur; if the PRTLI funding programme is not confirmed her plans to provide a successor programme of this type of essential funding for third level institutions; and if she will make a statement on the matter. [49612/17]
Amharc ar fhreagraThe Programme for Research in Third Level Institutions (PRTLI) has been an important funding programme in developing research capacity within the higher education system in Ireland. There have been five cycles of the PRTLI to date and approximately €1.2 billion of public and private funding has been invested since the commencement of the programme in 1998. PRTLI has complemented other research funding programmes of Government, including €162 million in funding provided by my Department through Science Foundation Ireland in 2017.
Our strategy for, research and development, Science and Technology (SFI) Innovation 2020, includes an action to scope out and develop a successor to PRTLI to support new investment in research infrastructure. It also contains an action to increase the enrolment of PhD and Research Master students. The creation of additional physical space for research and funding for structured programmes for postgraduate researchers are two key elements associated with previous cycles of PRTLI.
In the context of Budget 2018, I announced additional funding would be made available through my Department to address the need for a PhD and Research Master’s programme. This programme will fund 150 new enrolments in disciplines aligned to enterprise and national needs and is to be rolled out through SFI. Further details of the new programme will be provided by SFI in the coming months. I envisage that further additional funding will be provided in 2019 and subsequent years to continue growing this programme and to allow for new student intake in subsequent years.
In relation to research infrastructure, in the context of Budget 2018, the Minister for Education and Skills also announced a range of measures addressing physical infrastructure and human capital development in the higher education sector, including for research. This includes €21 million for the Irish Research Council to increase the pipeline of researchers across all disciplines and €200 million for Public Private Partnerships, with a focus on physical capital needs across the Institute of Technology sector. It also includes an additional €257 million over the period 2018 to 2021 for higher education institutions to expand research capacity and upgrade campus infrastructure.
The funding announcements made by my Department and the Minister for Education and Skills in the context of Budget 2018 will allow the Government to continue making investments that will address objectives encompassed by previous cycles of PRTLI.
In addition, SFI also holds regular research infrastructure calls. The purpose of the SFI Research Infrastructure Call is to support the research community in building and sustaining the required infrastructural capacity to accomplish high quality, high impact and innovative research in areas of science, technology, engineering and mathematics that demonstrably enhance and underpin enterprise competitiveness and societal development in Ireland.
In February 2017, SFI announced an investment of €47.4 million in 36 research infrastructure and facilities projects. The awards covered areas including Advanced Manufacturing, Drug Delivery; 3D Imaging; Nanotechnology; Future Networks; Big Data; Marine Renewable Energy; Food and the Environment; and Animal & Human Health.
23. Deputy Thomas P. Broughan asked the Tánaiste and Minister for Business, Enterprise and Innovation if areas continually affected by low income and deprivation are targeted in strategic planning and promotion of job creation; and if she will make a statement on the matter. [49516/17]
Amharc ar fhreagraSupporting job creation via the Action Plan for Jobs is one of the Government's key instruments to reduce regional disparities in terms of income level and deprivation. This Government’s goal is to have an additional 200,000 people at work by 2020, including 135,000 jobs outside of Dublin. Since the first Action Plan for Jobs was launched in early 2012:
- There are over 225,000 more people at work bringing total employment in the State to almost 2,063,000 in the first half of the year;
- The number of unemployed fell by 180,400, a 56% reduction, leading to a reduction of the unemployment rate from 15.2% at the beginning for 2012 to 6.0 % in October 2017; and
- In 2016, the Agencies under my Department's remit - LEOs, EI and IDA Ireland - supported the net creation of almost 24,800 jobs. Two thirds of new jobs created by EI supported companies and over half of those created by IDA supported companies were outside Dublin in 2016.
Unemployment is decreasing in all regions. As set out in our enterprise strategy, Enterprise 2025, we want to progressively address the gaps between the potential and the performance of our regions and ensure that the unemployment rate in each region is within 1% of the State average. This has been achieved in 6 of our eight regions, with good progress also being made in the Midland and the South East regions.
In addition to the cross-government initiatives in the Action Plan for Jobs, the reduction of regional disparities is being pursued with the Regional Action Plans for Jobs (RAPJ). Developed over the last two years, their objective is to mobilise the regional economic development partners in the eight former NUTS 3 regions around the country to have a further 10 to 15 per cent at work in each region by 2020. Each Regional Plan is being driven and overseen by a Regional Implementation Committee, led in most cases by senior industrialists from the Regions and good progress is being made.
The National Planning Framework being developed by the Minister of Housing, Planning and Local Government will also play a role in addressing regional disparities: it will set out a national overarching vision and expectations around development and growth for Ireland over the coming decades. Strategic long term planning that integrates enterprise, spatial and infrastructure investment planning offers the potential to create places of quality that businesses will want to invest in, and that people will want to live, work, and learn in.
In developing the annual Action Plan for Jobs, we have consistently sought to ensure that we are supporting the creation of good quality jobs and that individuals are incentivised and rewarded to take-up those jobs and thereby ‘making work pay’. This Action Plan for Jobs 2018, will focus on new and more strategic actions that will have a significant impact on sustainable job creation. and contribute to creating the right environment for continued job growth and retention right across the country.
24. Deputy Mary Butler asked the Tánaiste and Minister for Business, Enterprise and Innovation if she will address the fact that, even though the south east has the highest unemployment figures in the country, only 31 site visits (details supplied) were made by the IDA between January and September 2017; and if she will make a statement on the matter. [49514/17]
Amharc ar fhreagraThis Government is strongly committed to regional development and my Department and its agencies are working towards ambitious targets to ensure that employment and investment are evenly distributed across the country. The employment situation in the South East has been steadily improving in recent years. I am pleased that there has been a substantial increase in job creation in the region since the commencement of the National Action Plan for Jobs in 2012, with an additional 33,600 in employment in Q2 2017 compared to Q1 2012.
Overall, there are now 13,000 more people in work in the South East region since the launch of the Regional Action Plan initiative in Q1 2015. This initiative is a central pillar of the Government’s ambition to create 200,000 new jobs by 2020, 135,000 of which are outside of Dublin. The core objective of the Plans is to see a further 10 to 15% at work across each region by 2020. The South-East Action Plan for Jobs has been developed on the basis of a series of consultations with stakeholders in the region, identifying particular strengths and opportunities in the South East. The South East APJ is monitoring a number of emerging projects with potential for job creation and enterprise opportunity in the region in the future. For example:
- The APJ committee is working with the South East Regional Skills Forum to assess and respond to the skills needs of industry in the region;
- A new value proposition for the region to promote the South East as a great place to live and work is being developed;
- A South East Micro Food Export Initiative aimed at assisting micro food companies has been developed by the South East LEOs and will be launched shortly.
My Department and agencies, including IDA Ireland, Enterprise Ireland and the LEOs, continue to work together to implement this plan.
Looking ahead, the IDA is targeting - as part of its 2015-2019 strategy - an increase of investment in the South-East region of 30% to 40% by 2019. To achieve this, the Agency will continue to draw the attention of potential investors to the region's particular strengths. These include the South East's accessibility, its ports and its existing cluster of medical technology firms. The Agency will work closely with its existing clients in the region to help strengthen and potentially grow their respective workforces.
In terms of site visit statistics, whilst they can be a useful indicator of new investment interest, they are not by any means indicative of the potential for FDI in an area. I would point out in this regard, that at least 70% of investment comes from existing IDA Ireland clients. Regular engagement and collaboration with stakeholders is important in positioning any regional location to attract FDI and in this respect the IDA continues to work with all stakeholders and potential clients as well as working with existing clients in all regional locations to generate additional jobs. However, the final decision on where to locate an investment is always decided by the client and not by the IDA.
While more work remains to be done in the wider South East region - the overall employment trend in the area is one of steady improvement. My Department and its Agencies will continue to do their utmost to ensure that further progress is made in the time ahead in terms of creating more jobs and reducing unemployment further.
25. Deputy Shane Cassells asked the Tánaiste and Minister for Business, Enterprise and Innovation her plans to expand her Department's efforts and resources in terms of creating investment and business in the north County Meath region which is the most deprived area of County Meath according to the 2016 Pobal HP deprivation index; and if she will make a statement on the matter. [49611/17]
Amharc ar fhreagraI note the Deputy's reference to the 2016 Pobal HP Deprivation Index, which considers affluence and disadvantage across the combined dimensions of demographics, social class composition and labour market situation at a detailed level of spatial analysis throughout Ireland. The outcome of the index for North Meath and for many other areas serves to underline the importance of maintaining a strong focus on local and regional economic development.
The Mid East Action Plan for Jobs is a key policy response for supporting employment growth in the Mid East region, including County Meath, with public and private stakeholders currently engaged in delivering the range of innovative and practical actions set out in the Plan.
The first two Progress Reports on the implementation of the Action Plan show that good progress is being made: there are now 12,800 more people at work across Meath, Kildare, and Wicklow since the launch of the Regional Action Plan initiative in Q1 2015. The core objective of the Plan is to see a further 25,000 at work in the region by 2020 and to reduce the unemployment rate to within 1% of the State average.
Small and micro-businesses are key to sustaining local and rural economies. In 2016, the Local Enterprise Office (LEO) Meath supported 207 small and micro-businesses employing 927 people in the county, and approved 25 grants – feasibility, priming and business expansion – in total for the year, to a value of almost €300,000. LEO Meath will continue to act as the ‘first-stop-shop’ for providing advice and guidance, financial assistance and other supports to those wishing to start or grow their own businesses in the county.
An additional €4m capital funding was made available for the LEOs for 2017 which has, and will continue to fund, a range of measures put in place to supplement LEO Brexit supports. A further €4m in capital funding has been allocated to the LEOs in 2018, and will ensure that a suite of LEO Brexit supports are available to micro and small businesses through the 31 LEOs, including LEO Meath.
Enterprise Ireland has 168 client companies in Meath, which it has supported with investment of €7 million in the period 2014 -2016. In 2016, 7,000 people were employed in Enterprise Ireland supported companies in County Meath, with a gross gain of 550 jobs over that year.
Enterprise Ireland has also co-funded the establishment of 3 Community Enterprise Centres in Meath, and in 2016 awarded funding to Meath Enterprise Centre under the Community Enterprise Initiative Scheme to develop a food innovation and research centre and a digital media hub.
To further support enterprise development across all regions, additional funding of up to €60m is being rolled out by Enterprise Ireland over the next 4 years under the competitive Regional Enterprise Development Fund, which will support the development and implementation of collaborative and innovative projects that can sustain and add to employment at a national, regional and county level. Additional funding of €150m is also being made available to the IDA to support its Regional Property Programme and drive job creation in the multi-national sector.
The IDA is making significant progress towards achieving its regional development targets, which include a 30% to 40% increase in FDI in the Mid-East Region which incorporates Meath, Kildare and Wicklow. There are now 56 multinational companies based in this region, 17 of which are located in Meath, employing 1,500 staff. Recent announcements from companies such as Shire and Facebook demonstrate both existing companies’ commitment to continue investing in the county, as well as the county’s attractiveness for new investments.
The IDA is committed to increasing investment in Meath through ensuring an adequate supply of modern property solutions and supporting the development of the county’s FDI base. The Agency is also encouraging its client base there to undertake further investment projects. The IDA will continue to work with local authorities and other relevant agencies to support the development of further quality infrastructure in the County.
