Seanad debates

Thursday, 3 April 2014

SME Envoy Networks: Statements

 

12:45 pm

Photo of Martin ConwayMartin Conway (Fine Gael) | Oireachtas source

I welcome the Minister of State and his appointment as an SME envoy, which is most appropriate given his wide and diverse experience in business and government for the past three years, during which we have seen a significant turnaround in the fortunes of businesses. However, it is a drop in the ocean and what we need to see are the ripple effects across the country in urban and rural areas. There are SMEs in every parish and we need to ensure an equal spread of opportunities and their facilitation by the Government in rural Ireland, as well as in urban areas.

I note from the speech of the Minister of State that 98% of companies in Europe employ fewer than 250 people. It is fantastic to have thousands of jobs in Intel, Facebook and Google which are extremely welcome and very important, but what will sustain and develop the economy on a long-term basis are the people creating 20, 30 or 50 jobs. There are vast opportunities because of brand Ireland. This is seen as a keen, environmentally friendly country, including from a tourism perspective, and our brands are unique and strong. Brands like Ryanair and Guinness add enormously to the economy. In sport the GAA adds enormously to our offering to those who come here.

I would like to see a significant reduction in the red tape associated with businesses. If someone has a restaurant in the west, in Galway or Clare, a suite of requirements must be complied with to satisfy environmental health regulations, whereas a similar restaurant in the south of Spain or France does not appear to have to meet the same requirements in terms of toilet facilities and the HACCP. Sometimes, common sense needs to prevail, as opposed to convoluted red tape, although I do not see too many people being poisoned because of poor food quality. It does not happen on the Continent to the extent that it used to. Common sense must, therefore, prevail and red tape must be significantly reduced.

We have seen the reform of local government in Waterford, where the city and county councils were joined to become one local authority. There has been a significant reduction in rates as a result of the amalgamation. This must continue to be the case and it percolate throughout the country. Where town councils are being eliminated, reductions in the numbers of councillors, directors of services and senior managers must result in a reduction in rates which SMEs constantly describe as crippling. A lady is opening a restaurant in Ennis and her rent is €500 a week, while her rates bill is €200 a week, which is bizarre. A significant job of work needs to be done in that regard.

The Taoiseach said Ireland should be the best place in the world in which to set up a small business. We should be world-class. There is no reason this should not be the case, given that we have the ability, the skills set, the talent and entrepreneurial flair required. Senator Paschal Mooney made interesting points on how we needed to drive entrepreneurial spirit within schools and universities. Compared to where we were five years ago, we are showing much more confidence. The position of envoy will help to ensure joined-up thinking within Europe. If each of the 23 million SMEs could create one job, it would solve the unemployment problem in Europe. I wish the Minister of State well. He is the right man for the job and the results achieved are already tangible. We will continue to see significant benefits.

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