Written Answers Nos. 1-23
9. Deputy Lisa Chambers asked the Minister for Business, Enterprise and Innovation the uptake of Brexit "Be Prepared" grant supports provided by Enterprise Ireland to date to persons and businesses; and if she will make a statement on the matter. [22877/18]
Amharc ar fhreagraMy Department, through its agency Enterprise Ireland and Local Enterprise Offices, supports companies in urban and rural areas to start, innovate and remain competitive in international markets, now and into the future. On an annual basis, Enterprise Ireland works with approximately 5,000 companies through a network of market and sector advisers based across 10 national offices and 33 international offices. These manufacturing and internationally traded services companies are a critical source of existing employment and job creation in every county in Ireland.
Brexit presents the most significant economic challenge of the past 50 years, and it is important that we prepare for any long-term structural and disruptive change that may emerge. Being prepared is crucial to ensure resilience to emerging challenges. To promote awareness, and supported by a national Prepare For Brexit campaign, Enterprise Ireland designed and launched a €5k Be Prepared Grant that supports the costs of SME clients in preparing a plan to mitigate risks and optimise opportunities arising from Brexit. This grant is demand led, and I am confident that Enterprise Ireland has the budgetary resources to meet the needs of all eligible companies who apply for the Grant. To date, 106 Be Prepared Grants have been approved to Enterprise Ireland client companies.
I have also launched a Brexit Working Capital Loan Scheme in April 2018, which will provide affordable working capital financing to eligible businesses. My officials are examining policy proposals for a new longer-term Business Investment Loan Scheme to support businesses.
Enterprise Ireland will continue to promote and develop supports across all counties and regions to ensure that the maximum number of clients are engaged in preparing for the impact of Brexit. These additional schemes include the Strategic Consultancy Grant supports the hiring of an outside consultant to assist the company in devising and/or implementing strategic initiatives aimed at improving business function and resilience. It is designed to facilitate business growth as the consultants can act as coach, mentor, facilitator, analyst, negotiator and/or operator for the company. Up to 50% of the costs incurred in hiring a consultant are available up to a maximum grant amount of €35,000.
The Market Discovery Fund provides support to companies to assist them in researching the viability of exporting in new or existing markets. The maximum funding is 50% of eligible expenditure up to a maximum grant of €150,000.
EI is continuing to work with companies to help them to become more innovative. The Agile Innovation Fund is an RD&I grant aimed at clients in sectors with rapid design cycles. The application process is simple and quick, with a short timeframe between application and approval.
EI has also rolled out a number of Brexit Advisory Clinics across the country which helps companies to examine their exposure to Brexit and develop effective strategies to mitigate against that exposure.
Enterprise Ireland has also introduced the Brexit: Act On initiative. Under the initiative an independent consultant helps companies to decide on specific actions that they can implement over a short period to enable them to address the risks and avail of the opportunities caused by Brexit.
12. Deputy Jan O'Sullivan asked the Minister for Business, Enterprise and Innovation when the second call for collaborative projects under the regional enterprise development fund will be issued; the amount that will be available for successful projects; if the criteria will be the same as for the first call; and if she will make a statement on the matter. [22622/18]
Amharc ar fhreagraThe REDF is aimed at accelerating economic recovery by delivering on the potential of local and regional strengths. It is a key action to support the Regional Action Plans for Jobs and the Action Plan for Rural Development.
The first call under the Fund was announced in May 2017, with the results released in December 2017. Twenty-one applicants representing all regions of the country secured a total of up to €30.5m in financial support for a range of enterprise and capability development projects.
Minister Humphreys launched the second call of the Regional Enterprise Development Fund (REDF) on 16th April 2018 with a closing date of 28th June 2018. This call will fund projects with the balance of the €60m remaining under the fund. The criteria for the second call remains the same as that set out for the first call.
A maximum of up to 80% is available for projects, with the balance to be leveraged from the private, community or public sector.
The Fund will support major new collaborative and innovative initiatives that can make a significant impact on enterprise development in the region/across regions or nationally to build the unique potential, strengths and capabilities to grow the regions. Projects must be impactful, with the key impact focus being sustainable job creation.
The fund will consist of 4 streams, as follows:
Stream 1: Major Regional Change Projects
Investment of €2m up to €5m per project (with a minimum of 20% to be leveraged from the private, community or public sector) for major initiatives with high-impact on enterprise development of the region and ability to create jobs, for example in specialized incubators; hubs in design; and initiatives in areas such as medical devices, fintech, agri-tech and food etc.
Stream 2: Regionally Significant Change Projects
Investment of €250,000 up to €2m per project (with a minimum of 20% to be leveraged from the private, community or public sector) for initiatives with high impact at regional/multi-regional level. For example: developing e-working centres; stimulating the development of SME outreach from the third-level education sector; and projects to accelerate start-ups.
Stream 3: Local and Community Enterprise Development Initiative
Investment of €50,000 up to €250,000 per project (with a minimum of 20% to be leveraged from the private, community or public sector) to stimulate the development of community based enterprises and networks. Examples of potential projects include: start-Up/Scaling academies; local networks/ consortia to deliver sectoral growth; and, addressing sectoral challenges around green, energy, digital, or innovation.
Stream 4: Industry Clusters
Investment of €50,000 up to €250,000 per project (with a minimum of 50% to be leveraged from the private, community or public sector) to maximize the benefits of collaborative opportunities through industry clusters, both established and new.
Further information and detail on the schemes is available on Enterprise Ireland’s website.
13. Deputy John Lahart asked the Minister for Business, Enterprise and Innovation the contingencies and supports in place to safeguard SMEs and export businesses in Dublin from a hard Brexit scenario; the supports in place to protect them; and if she will make a statement on the matter. [22882/18]
Amharc ar fhreagra16. Deputy Aindrias Moynihan asked the Minister for Business, Enterprise and Innovation the supports in place to safeguard export businesses and Irish small and medium enterprises from a hard Brexit scenario; and if she will make a statement on the matter. [22850/18]
Amharc ar fhreagra24. Deputy Billy Kelleher asked the Minister for Business, Enterprise and Innovation the contingencies and supports in place to safeguard Irish SMEs and export businesses from a hard Brexit scenario; and if she will make a statement on the matter. [22861/18]
Amharc ar fhreagra36. Deputy Lisa Chambers asked the Minister for Business, Enterprise and Innovation the contingencies and supports in place to protect Irish companies and exporters from a hard Brexit scenario; and if she will make a statement on the matter. [22876/18]
Amharc ar fhreagraI propose to take Questions Nos. 13, 16, 24 and 36 together.
Brexit presents the most significant economic challenge of the past 50 years for businesses in all parts of the country, including Dublin, and my Department and its agencies are working hard to ensure that potentially impacted firms are taking the necessary steps to prepare and mitigate risks and to take advantage of potential opportunities.
Specifically, my Department provided for additional funding and supports in 2017 and 2018 to enable Enterprise Ireland and the Local Enterprise Offices (LEOs) to ramp up supports to firms in light of Brexit to sustain employment and to grow and diversify export markets. My Department has also provided additional funding to IDA Ireland to support exporting businesses that may be impacted by Brexit and to compete for new investment opportunities that may arise on foot of Brexit.
EI has launched several initiatives in response to Brexit, including:
- Brexit Scorecard: This interactive online platform can be used by all Irish companies to self-assess their exposure to Brexit under six business pillars.
- Be Prepared Grant: This grant offers SMEs up to €5,000 to assist them in preparing an appropriate Brexit action plan.
- Brexit Advisory Clinics: Recently held in Laois, Mayo, Cavan and Cork. The next Clinic will be in Dublin's Aviva Stadium on 21 June.
- Brexit 'Act On' Programme: This funding is to support the engagement of a consultant to draw up a report with tailored recommendations to help clients address weaknesses and become more resilient.
In addition, EI is implementing extensive trade mission and event schedules focused on global and sectoral opportunities, further developing in-market expertise and networks, placing greater focus on identifying new sectoral opportunities and stimulating demand for Irish products and services through international marketing campaigns. In 2017, EI launched a new Eurozone Strategy to increase exports to Eurozone countries by 50% by 2020.
The LEOs are supporting their clients by providing information, training and mentoring on Brexit related issues as well as advice on other sources of support.
InterTrade Ireland (ITI), has also been very active in assisting businesses address the challenges that Brexit may present for future cross-border commerce. A series of information and awareness raising events have been underway in towns across both North and South over recent months. ITI is also rolling out a ‘Start to Plan’ readiness voucher scheme, which enables companies to purchase specialist advice in areas such as customs, tax, tariff and non-tariff barriers, legal and labour mobility issues.
Other initiatives that my Department are advancing include the €300 million Brexit Working Capital Loan Scheme, under which accessible finance is made available to businesses at favourable terms.
The work of my Department is focused on supporting businesses throughout the country to withstand current challenges and succeed into the future. All our efforts are aimed at supporting businesses to diversify and compete and to ensure that Ireland will be in a strong position in case of a hard Brexit scenario.
14. Deputy James Browne asked the Minister for Business, Enterprise and Innovation if her Department will liaise with the IDA to ensure that additional land may be made available for development in County Wexford; and if she will make a statement on the matter. [22625/18]
Amharc ar fhreagraCreating more jobs in the regions is a priority for both the IDA and my Department. I will certainly be focused on doing everything I can to deliver the fairest possible spread of investment across the country. Total employment by FDI companies in Ireland now stands at a landmark 210,443 people which is an increase of 5.3% from 2016. This figure surpasses the overall five-year target of 209,000 which was set in the IDA’s ‘Winning’ strategy. The fact that the IDA has now, only three years into their five-year strategy, reached its total job creation target for that period demonstrates how strong Ireland’s FDI offering continues to be for multinationals. This is the highest level of employment from overseas firms in the history of the State and will deliver wide-ranging economic benefits for the people of Ireland.
The Government is also working to ensure a more even distribution of FDI across the country. Last year, IDA Ireland delivered 99 regional investments with 45% of new jobs created outside Dublin. The last three years has seen 30,000 new FDI jobs created outside Dublin.
I can assure the Deputy that the IDA always does its utmost to ensure that overseas firms consider all potential locations when visiting Ireland, including County Wexford. It is important to remember, however, that the final decision as to where to invest always rests with the company concerned.
Wexford has developed a strong base of overseas investment, with 18 IDA client companies employing a total of 2,948 people there. Employment in these firms is also growing, as evidenced by the 10% job growth figure achieved from 2016 to 2017. Total employment in overseas companies in the South-East Region now stands at 14,785 people in 75 client companies. The IDA continues to engage with its client base to help support further employment and investment growth in Wexford and the wider South-East region.
The IDA currently has both sites and buildings available for investment in Wexford. These include lands at the IDA Business & Technology Park and Whitemill Industrial Estate in Wexford Town and at the IDA Business Park in Enniscorthy. Buildings are also available at the IDA Business Park in Enniscorthy and the Whitemill Industrial Estate.
The Agency continues to draw the attention of investors considering locating or expanding in the South East to these different properties. It will also keep the property situation in Wexford under review to help ensure that companies can find the facilities or buildings they need in order to generate jobs and investment for the people of the wider area.
15. Deputy Jan O'Sullivan asked the Minister for Business, Enterprise and Innovation the mechanism by which her Department monitors the achievement of goals under the regional action plans for jobs; the progress on each of the goals in each region; and if she will make a statement on the matter. [22631/18]
Amharc ar fhreagraThis Government has made jobs and enterprise in the regions a top priority.
The Regional Action Plan for Jobs (RAPJs) 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. A key objective of each of the 8 regional plans is to have a further 10 to 15 per cent at work in each region by 2020, with the unemployment rate of each region not more than one percentage point greater than the national average.
The Plans are being monitored and driven in each region by Implementation Committees, comprising representatives from the private sector, as well as the Local Authorities, Enterprise Agencies, and other public bodies in the region.
Some of the actions set out in the RAPJs require active engagement with, and the development of networks within, the private sector. To drive this process, key industry figures have been appointed to act as Enterprise Champions within each Region.
Progress to date is good and employment continues to grow strongly.
The reporting of progress on actions under the Regional Action Plan for Jobs is coordinated by my Department in conjunction with the Regional Implementation Committees, Programme Managers and Secretariats. This information is collated through an online reporting tool, managed by my Department. Each Action in the RAPJ has a nominated “owner” of the Action, depending on its area of focus. Across the original eight Regional Action Plan for Jobs, there were 1,276 actions in total.
To date, my Department has published two Progress Reports per Region, with the third and fourth Progress Reports currently being finalised. The fourth Progress Reports will be final reports under the current iteration of the Regional Action Plan for Jobs, closing out the narratives on Actions for the 2015 – 2017.
Building on the momentum of the 2015-2017 Plans, my focus, and that of my Department will now turn to the refresh and refocus of the Regional Action Plan for Jobs through to 2020 which will place an emphasis on delivering to a smaller number of key strategic objectives in support of enterprise and job creation in every region. The refreshed Plans will capitalize on the added value that comes from collaborative action where for example there is: a particular (sectoral) opportunity for the region; a barrier to enterprise investment and or entrepreneurial activity; and/or a regional vulnerability that needs to be responded to.
In the second Progress Reports, on actions up to the end of 2016, the following was recorded for each Region:
South-West:
248 of the South West Action Plan’s 261 actions were due to be initiated or completed by the end of 2016. 237 of these were on track to be delivered, or had been completed. 4 actions were delayed; 7 actions were no longer being progressed or had been deemed unfeasible. This represented an overall implementation rate of 95%.
West:
179 of the West Action Plan’s 194 actions were due to be initiated or completed by the end of 2016. 175 of these were on track to be delivered, or had been completed. 4 actions were delayed; 2 actions were no longer being progressed, or had been deemed unfeasible. This represented an overall implementation rate of 97%.
South-East:
165 of the South-East Action Plan’s 190 actions were due to be initiated or completed by the end of 2016. 162 of these are on track to be delivered, or had been completed and 3 actions were delayed or no longer being progressed. This represented an overall implementation rate of 98%.
Midlands:
By the second half of 2016, 92 of the Midland Action Plan’s 121 actions were due to be initiated or completed. Some 84 of these were on track to be delivered, or had been completed. 4 actions were delayed while another 4 were no longer being progressed or had been deemed unfeasible. This represented an overall completion/ implementation rate of 96.5%.
Mid-East:
136 of the Mid East Action Plan’s 163 actions were due to be initiated or completed by the end of 2016. 127 of these were on track to be delivered, or had been completed. 4 actions were delayed; 5 actions were no longer being progressed, or had been deemed unfeasible. This represented an overall implementation rate of 93%.
Dublin:
By the end of 2016, out of the 100 actions, 76 were ongoing, 18 were complete and 6 were delayed. This represented an overall implementation rate of 94%.
Mid-West:
120 of the Mid West Action Plan’s 159 actions were due to be initiated or completed by the end of 2016. 114 of these were on track to be delivered, or had been completed. 2 actions were delayed; 2 had been merged with others due to similarity of objectives; and 2 actions were no longer being progressed, or had been deemed unfeasible. This represented an overall implementation rate of 95%.
North-East/North-West:
By the end of 2016, 117 of the North East/North West Regions Action Plan’s 153 actions were due to be initiated or completed by the Departments and Agencies. Some 113 of these were on track to be delivered, or had been completed. Only 1 action was delayed while 3 were no longer being progressed. This represents an overall implementation rate (i.e. actions already complete or on track for completion) of 96.5%.
Monitoring implementation and publication of progress reports will continue under the refreshed Regional Plans.
17. Deputy John Curran asked the Minister for Business, Enterprise and Innovation if her Department has assessed the impact that United States sanctions on Iran will have on multinational and indigenous companies here; and if she will make a statement on the matter. [22756/18]
Amharc ar fhreagraIreland shares the views expressed by the EU High Representative for Foreign Affairs and Security Policy, Fredrica Mogherini, to the effect that the EU deeply regrets the announcement by the US that it will withdraw from the Joint Comprehensive Plan of Action (JCPOA) which was signed by the "E3+3" Group with Iran. The EU remains committed to the continued full and effective implementation of the JCPOA. The lifting of sanctions against Iran under the JCPOA has led to a positive impact on trade and economic relations with Iran, and its commitment to ensuring that this can continue to be delivered in the interests of improved geo-political stability.
Form a trade perspective, Iran, with a population of 80 million, and a relatively wealthy middle class, is a potential growth market worthy of further exploration for Irish exporters. However, I agree that the recent announcements by the US Administration are likely to have a negative effect on this growth potential, in particular if the US imposes sanctions on European companies that do business in Iran following their withdrawal from the Agreement.
According to CSO figures, Irish goods exports to Iran nearly doubled from €72 million in 2016 to €143 million in 2017, primarily due to an increase of €67m in the General Industrial Machinery category. However exports to Iran are a very small proportion of Ireland's total global goods exports - amounting to only 0.1% of Ireland’s total goods exports in 2017.
Goods imports from Iran to Ireland increased from €1.6 million in 2016 to €3.5 million in 2017. According to the CSO, there is no services trade with Iran.
According to CSO data, there is no Iranian foreign direct investment into Ireland. There are no Iranian companies in the IDA portfolio at present. IDA Ireland is maintaining constant contact with their client base in relation to any potential impacts the sanctions may have and the Agency will continue to monitor the situation closely.
Despite the alleviation of sanctions under the JCPOA, there remain practical difficulties for Irish businesses seeking to do business in Iran. The continuance of some US financial sanctions has meant that European banks - including Irish institutions - have been cautious with regard to engaging in financial transactions with Iran. In addition, Iran is often not included as a covered geographical territory for travel insurance and/or other types of business insurance, where the insurance company is from the US, or has a US mother company, and travelling to Iran negates the visa waiver for Irish passport holders travelling to the US.
Despite these difficulties, Enterprise Ireland has supported the efforts of Irish companies wishing to trade with Iran, while highlighting the practical difficulties of doing business there. EI has previously brought trade delegations to Iran, and also held a 'Doing Business with Iran' Event in Dublin in July 2017, which 35 EI clients attended. EI has also secured the services of an in-country Iranian market expert/pathfinder, to provide advice and assist EI clients WHO may encounter difficulties due to the re-imposition of sanctions or the threat of same.
As regards client companies of EI, the precise consequences arising from the very recent announcement by the US Administration of its withdrawal from the JCPOA are still being analysed and EI, together with my Department, will keep the impacts on those companies under review.
18. Deputy James Lawless asked the Minister for Business, Enterprise and Innovation if she will report on the recent meeting of the Digital 9 EU conference; the key issues discussed at the meeting and the way in which Ireland compares with the other members of the D9 in terms of the digital economy; and if she will make a statement on the matter. [22852/18]
Amharc ar fhreagraAs Minister of State responsible for Trade, Employment, Business, EU Digital Single Market and Data Protection, I hosted a Ministerial meeting of the EU Digital 9+ (D9+) front-runner countries, which is a loose affiliation of like-minded Member States on Digital Single Market issues, on 15 May. The meeting further underscored Ireland’s commitment to the digital agenda and increased the visibility of Ireland as a digital front runner in Europe.
The meeting focused on Artificial Intelligence and built on recent EU developments in this field. On 10 April last, I signed an EU political Declaration on Artificial Intelligence, which set out areas where agreement was reached by Member States for future cooperation. The European Commission has since followed up with a Communication on Artificial Intelligence, proposing a three-pronged approach to increase public and private investment in AI, prepare for socio-economic changes, and ensure an appropriate ethical and legal framework. The D9+ meeting, which featured all eleven members of the group, will help to progress the development of policy in this emerging area.
Ireland is a digital frontrunner because of its prominent ranking in the EU Digital Economy and Society Index (DESI) Report. The European Commission published the 2018 DESI Report last Friday, which revealed that Ireland has moved up three places – to 6th from 9th – compared to 2017. This reflects improvements in basic and advanced digital skills; online transactions; and Irish people’s use of internet services.
19. Deputy Maurice Quinlivan asked the Minister for Business, Enterprise and Innovation the way in which she plans to assist businesses with challenges such as escalating insurance costs and commercial rates; and if she will make a statement on the matter. [22844/18]
Amharc ar fhreagraAddressing Ireland’s cost competitiveness remains a key economic priority for Government which continues to monitor Ireland's cost competitiveness on a regular basis.
The National Competitiveness Council monitors business cost competitiveness annually and its research findings indicate that Ireland’s cost base has improved across a range of metrics over the last five years (e.g. the cost of starting a business, communications costs, electricity prices and labour costs growth). This has made Irish firms more competitive internationally and made Ireland a more attractive location for firms to base their operations in. Despite improvements in Irish cost competitiveness, the openness of the economy means that the enterprise sector is particularly vulnerable to negative price and cost shocks which are outside the influence of domestic policymakers. Brexit also brings into sharp focus the importance of our cost competitiveness.
Government is committed to take action to address unnecessarily high costs (i.e. cost and price levels not justified by productivity) wherever they arise. A range of initiatives set out in the Action Plan for Jobs are in train across Government Departments to improve the ease of doing business, reduce the administrative burden, enhance our cost competitiveness and productivity, and drive greater efficiencies across the enterprise base.
The National Competitiveness Council and my Department and its agencies are continually engaged with relevant stakeholders on the particular policy needs required to support cost competitiveness. These stakeholders include other Government Departments, regulatory bodies, other public bodies and the private sector. In this regard, there is a role for both the public and private sectors alike to proactively manage the controllable portion of their respective cost bases, drive efficiency and continue to take action to address unnecessarily high costs. Such actions will ensure that improvements in relative cost competitiveness are more sustainable, leaving Ireland better positioned to cope with external shocks.
The Government recognises that rising insurance costs for enterprise are an issue. For this reason, the Minister for Finance established the Cost of Insurance Working Group in July 2016. In terms of my own Department’s work, in December 2017, we published the First Report of the Personal Injuries Commission, which was established on foot of a recommendation from this Cost of Insurance Working Group. Implementation of the actions in the Report of the Personal Injuries Commission will help to bring more consistency to medical reporting and diagnosis of personal injuries, leading to a better functioning personal injuries environment in the future.
The ongoing work of the Personal Injuries Commission, the implementation of the Report on the Cost of Motor Insurance and the complementary work of the Cost of Insurance Working Group should contribute to a better functioning personal injury litigation system and should also help to deliver reduced premiums for businesses.
In terms of commercial rates, the levying and collection of rates is a matter for each individual local authority. The Department of Housing and Planning has developed legislative proposals to modernise and consolidate the legislation governing commercial rates. Among the measures included in the General Scheme of the Bill are provisions to allow a local authority to introduce rates alleviation schemes to support the implementation of policy objectives, including in: local economic and community plans; Development Plans and Local Area Plans; and national planning policies.
The Government approved the drafting of a Rates Bill. The General Scheme of the Bill is currently with the Attorney General’s office for drafting, with a view to its introduction as soon as possible.
20. Deputy Billy Kelleher asked the Minister for Business, Enterprise and Innovation her views on whether the Innovation 2020 research and development intensity target of 2.5% of GNP will be attained; and if she will make a statement on the matter. [22859/18]
Amharc ar fhreagraIn 2011 and as part of the Europe 2020 Strategy to support growth that is smart, sustainable and inclusive, the Government committed to raise gross investment in Research and Development to 2.5% of GNP by 2020. This commitment was reiterated in Innovation 2020 in 2015.
Expenditure on Innovation, Research and Development consists of both public and private expenditure. Gross investment in R and D has since risen to €3.2 billion in 2016. This is an increase of over half a billion euro since 2011. The estimated expenditure on R and D by Government Departments in 2017 is €768 million. This represents an increase of almost €40 million over 2016 and is the highest level of public expenditure on R&D since 2012.
A very significant part of our innovation policy has been to align public investment efforts in a manner that leverages R and D activity in the enterprise sectors. While private spending on R and D slowed during the financial crisis, it has been increasing steadily since 2011. Business Expenditure on R and D rose to €2.3 billion in 2016 from €1.7 billion in 2011, an increase of over 35%.
Despite the fact that overall expenditure in R and D has increased every year since committing to Europe 2020 targets, reaching the 2.5% of GNP intensity rate target presents a very significant challenge. In 2016 our GNP intensity level stood at 1.43%, down from 1.91% in 2012. Even when using GNI* as a complementary indicator (GNI* removes globalisation impacts on the Irish economy), the R and D intensity rate is estimated at 1.72% for 2016.
This is in part due to the strength of our economic performance and subsequent increases in GNP growth rates year on year over the last number of years. Our challenge is to increase the level of investment in R and D to keep pace with GNP growth rates, in the context of significant demands on the public purse.
Notwithstanding the level of the R and D intensity rate, I am pleased to note that Ireland performs well in international comparison tables. European Commission analysis shows that, in aggregate terms, Ireland is one of the best innovation output performers, making it one of the most efficient performers overall in terms of outputs relative to investment.
My Department is commencing an interim review of Innovation 2020 this year and this will give us the opportunity to take stock of what has been achieved under Innovation 2020 since December 2015 and will inform the development of its successor.
21. Deputy Thomas Pringle asked the Minister for Business, Enterprise and Innovation her views on the business survey results (details supplied) carried out recently; her plans for greater diversified funding for small businesses in County Donegal and rural Ireland; and if she will make a statement on the matter. [19108/18]
Amharc ar fhreagraMy Department, and other Government agencies operate a number of programmes and schemes to assist the start-up and expansion of small businesses. My priority as Minister for Business, Enterprise and Innovation is to drive the creation of high-quality and sustainable jobs around all the regions and counties of Ireland, including Donegal.
The Local Enterprise Office (LEO) in Donegal is the first-stop-shop for providing advice and guidance, financial assistance and soft supports such as training and mentoring to anyone wishing to start or grow a business. Funded by my Department, LEO Donegal plays a critical role in supporting microenterprises in the start-up and expansion phases.
The LEO Donegal has invested significantly in micro and small businesses by way of its core suite of supports since its establishment in 2014. Between 2014 and 2017, the LEO Donegal paid out over €1.4 million in grant funding in respect of 121 projects. Clients supported with grant funding have consistently added new jobs with 100 new jobs supported in 2017 and 621 in total over the last 4 years. During this time, over 5,200 participants attended LEO training courses and 132 participants received mentoring. Furthermore, 211 applicants from the county entered the Ireland’s Best Young Entrepreneur (IBYE) competition since it was launched in 2014.
As you know, my Department secured an additional €4m capital funding for the 31 LEOs for 2017 to fund a range of LEO Brexit supports across the country, including Donegal. This additional funding has been maintained for 2018. These supports are aimed at strengthening the capacity of micro and small businesses to better cope with the changing external environment, especially the impacts arising from Brexit. The supports include grants to assist LEO clients in diversifying their markets, targeted training and mentoring to address Brexit-related challenges and opportunities, as well as a Lean for Micro programme to help micro-enterprises to address competitive issues within their businesses by building the capability of their employees to identify problems and improve operations.
The LEOs can also assist businesses in accessing other Government supports, for example, business loans from Microfinance Ireland or Trading Online Vouchers for businesses that want to improve their online sales.
The Regional Action Plan for Jobs, launched in the North East/North West in November 2015, is a central pillar of the Government’s ambition to create more jobs in rural areas including Donegal. Under the Plan, the aim is to increase employment in the region by 10-15% over the period to 2020, resulting in the delivery of 28,000 jobs. 12,000 more people are in employment in the Border region from Q1 2015 to Q2 2017 representing good progress towards the target of 28,000 jobs by 2020.
In May 2017, my Department with Enterprise Ireland launched the Regional Enterprise Development Fund (REDF) with funding of up to €60m designed to support the ambition, goals, and implementation of the Regional Action Plans for Jobs. The first call under this Fund concluded last August, with results announced on 11th December. Three projects across the North East/North West secured funding under the first call including Donegal Digital Innovation which will involve the creation of an innovation ecosystem in Inishowen, by delivering a 3-year enterprise capacity-building programme based on the peninsula’s location factors, high tech skillsets and applied research potential in traditional sectors.
The second call for projects under the Regional Fund opened for applications on Monday 16 April.
Finally, my colleague Minister Ring has responsibility for the Action Plan for Rural Development which takes a whole-of-Government approach to the economic and social development of rural Ireland. The Plan contains over 270 actions to be delivered by a range of Government Departments, State agencies and other bodies. The Plan seeks to support sustainable communities, support enterprise and employment, maximise our rural and recreation potential, foster culture and creativity, and improve rural connectivity. A key objective of the Plan is to support sustainable communities through the enhancement of local services, in areas such as rural schools, post offices, and convenience shops.
22. Deputy Billy Kelleher asked the Minister for Business, Enterprise and Innovation the status of the introduction of legislation to enhance the powers of the Personal Injuries Assessment Board in view of the recommendation in the cost of motor insurance report; and if she will make a statement on the matter. [22860/18]
Amharc ar fhreagraOn 27 June 2017, the Government gave approval to the drafting of the Personal Injuries Board (Amendment) Bill along the lines of the General Scheme. The purpose of the Bill is to amend the existing legislation to strengthen PIAB in terms of operational issues to ensure greater compliance with the PIAB process and encourage more claims to be settled through the PIAB model.
The General Scheme addresses issues highlighted in submissions made to the public consultation held in 2014, by the then Minister, on the operation of the Personal Injuries Assessment Board Acts 2003 and 2007 in addition to issues highlighted by the Cost of Insurance Working Group Report on the Cost of Motor Insurance published in January 2017 and the Report of the Rising Costs of Motor Insurance published by the Oireachtas Joint Committee on Finance, Public Expenditure and Reform, and Taoiseach.
The Bill is currently being drafted by the Office of the Parliamentary Counsel. This is a technical and complex piece of legislation and it requires careful consideration during drafting in conjunction with the Office of the Attorney General. It is hoped to have the drafting of the Bill completed in Q 2 2018 and published thereafter.
23. Deputy Thomas Pringle asked the Minister for Business, Enterprise and Innovation the progress to date with the Action Plan for Jobs for the north-west region; and if she will make a statement on the matter. [19109/18]
Amharc ar fhreagraSince becoming Minister for Business, Enterprise and Innovation, I have made jobs and enterprise in the regions my top priority.
The Regional Action Plan for Jobs 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. A key objective of each of the 8 regional plans is to have a further 10 to 15 per cent at work in each region by 2020, with the unemployment rate of each region not more than one percentage point greater than the national average.
The North-East/North-West Regional Action Plan for Jobs has been a key policy response for supporting employment growth in the Border region. Local Authorities, enterprise agencies, and other key public and private sector stakeholders across counties Donegal, Sligo, Leitrim, Cavan, Monaghan and Louth have been strongly involved in, and are key drivers of, the NE/NW Action Plan.
The core objective of the NE/NW Action Plan is to have a further 28,000 at work in the region by 2020. In terms of impact, 12,000 more people are in employment in the Border region from Q1 2015 (baseline year) to Q2 2017, representing good progress towards the target of 28,000 jobs by 2020 as set out in the Regional Action Plan.
Achievements in the North West under the Action Plan since 2015 include the establishment of a new precision engineering and manufacturing Technology Gateway at IT Sligo; the award of INTERREG funding to the North West Greenways Network, and the selection of 12 participants from the North West for Enterprise Ireland’s New Frontiers programme in 2017. At the end of 2016, as reported in the Second Progress Report, more than 90 per cent of the actions in the North East/North West Action Plan were either on track for completion or complete. The third and fourth (final) progress reports are being finalized currently.
In December last year I announced €30.5 million in funding to support enterprise capability in the regions, with 21 projects from all over the country receiving funding. This Regional Enterprise Development Fund (REDF) totalling €60 million is being rolled out by Enterprise Ireland over the next 4 years to support collaborative and innovative projects that can sustain and add to employment at a national, regional and county level. On Monday 16th April, last I launched the second Call under the fund, making available the remainder of the €60 million.
Two of the successful projects involved participants from the North West region under Call 1 of the Fund: a network of three Digital and Innovation Hubs (which included one in Co. Leitrim); and a new Digital Innovation Hub and enterprise capacity building programme in Co. Donegal.
The enterprise agencies continue their work to contribute towards the ambitious targets set out in the Regional Action Plan. Enterprise Ireland recently announced a 4% employment growth in its client companies for the Border region, which now employ almost 11,500 people. On the FDI front, the number of IDA-backed jobs grew by 4% as a whole last year, with almost 12,500 people now employed in IDA companies in the Border region.
Through partnership between Enterprise Ireland and the Local Authorities, the Local Enterprise Offices (LEOs) have supported 586 companies in the North West with 2,616 employees and last year LEO client companies in the North West added 190 new employees in total.
Building on the progress and momentum of collaboration achieved to date through the Regional Action Plans 2015-2017 is my priority. On Monday, the 16th April last I met with the Chairs of the Regional APJ committees and other regional stakeholders, and together we have started a process to refresh and refocus all the Regional Plans to ensure their relevance and impact out to 2020. I look forward to working further with the regional stakeholders in the North-West to ensure we deliver to the employment targets for 2020 set out under the Regional Plans.
