Oireachtas Joint and Select Committees

Tuesday, 5 February 2013

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

Reform of National Micro and Small Business Support Structures: Discussion

2:15 pm

Photo of Anthony LawlorAnthony Lawlor (Kildare North, Fine Gael) | Oireachtas source

I thank the Minister for attending. Last week we had a fruitful meeting with his Department's Secretary General, and I welcome today's meeting. I assume the Minister will return shortly to update us on the jobs initiative and An Action Plan for Jobs. Perhaps he will allow the committee to make an input into the 2013 action plan for jobs.

A lot of high-quality people from the county enterprise boards, CEBs, will move to the local enterprise boards, LEOs. The Department might not take the good part of the CEBs. Some of the CEBs are useless while others are excellent. The Minister should target and identify the CEBs that have proven to be successful and use them as a model for LEOs. Resources have been a problem for CEBs in my county of Kildare and they will be a problem for LEOs. So many people will apply for and seek loans that the LEOs will not be able to meet demand. Some CEBs did not fulfil their role by not utilising the funds that were allocated to them. Instead of reinventing the wheel, the Minister should examine the successful CEBs and use them as a template for LEOs.

I hark on about two issues. First, the LEOs will be the first stop for the microenterprise fund. Second, although a large number of young people are unemployed, we have a high entrepreneurial base among them, the highest in Europe. I do not like quoting the Minister but he referred to young people gaining access to the microfinance fund. Perhaps he will direct LEOs to place an increased emphasis on assisting young people with ideas when they apply for microfinance. Many schools have participated in CEB schemes and there is a lot of competition among them. A lot of good ideas have emanated from schools but they have found it difficult to secure microfinance. They should not be handicapped simply because of their youth. I hope LEOs will play a role in identifying young entrepreneurs and, as the Minister said earlier, they should be given bonus points when it comes to the allocation of funding. I have met a couple of people who have found it difficult to secure microfinance.

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