Oireachtas Joint and Select Committees

Thursday, 5 October 2017

Public Accounts Committee

IDA - Financial Statement 2016

9:00 am

Photo of David CullinaneDavid Cullinane (Waterford, Sinn Fein) | Oireachtas source

That is perfect. The question of regional development has been raised and I cannot let Mr. Shanahan go without mentioning issues in the south east. It is one of two problematic areas, though I acknowledge that jobs have been created in recent years. We had a much bigger problem five years ago, and we are in a much better situation now. It is still a problem, however. I am looking at the national unemployment figure of 6.4% and the figure for the south east of 8.1%.

Even within the figures there are variations and in parts of the south east the rate of unemployment is even higher. I am constantly trying to figure out why that is the case. I have talked to stakeholders, opinion makers, entrepreneurs and captains of industry in the south east and they all say the same thing, that there is no good reason the south east should have a higher unemployment rate. I am trying to figure out the solutions. This is very important because resources and infrastructure follow jobs. We need to bring jobs to Ireland Inc. and that is the primary function of IDA Ireland. Many jobs are brought to Dublin. Of course, we have to build up the capital city, but if it overheats, it creates pressures in the areas of public transport, housing and rents, etc. We need a counterbalance to it. We have to identify such areas for that purpose. Why does the south east have an unemployment rate much higher than in the rest of the State? Is it due to skills shortages? Is there a need for property solutions? Is it due to the lack infrastructure? As the hard analysis must have been made by IDA Ireland, I ask Mr. Shanahan to help me to understand why the south east is underperforming to the extent it is. I am not dismissing the good work that has been done and know that Mr. Shanahan is going to say the number of jobs in the south east has increased. I accept that, but the reality is that the unemployment rate in the region is higher than the national figure.

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