John Halligan (Waterford, Independent) | Oireachtas source

Right now Ireland's research and development investment rate is at 1.43% of GNP, so the Deputy is correct. The rate is based on the latest Central Statistics Office gross national product, GNP, figure from July 2016. There are two issues. As the economic recovery continues, this is predicted to increase GDP and GNP, so the rate will continue to fall back until 2020 if there is no increase in public and private investment. I should point that there are few countries in Europe that have reached national targets. It is very important to make that clear. Whereas public research and development investment levels have fallen since 2013, there has been a gradual increase. In 2017, it reached €769 million. If we look at the Government's budget, it increased in 2016 by 6.95% over the previous year. In the most recent Supplementary Estimates from last December, €25 million of the €40 million available to the Department was targeted at research and development innovation programmes. All Departments with research funding will definitely need to prioritise it in the respective budget allocations. Additional funding will be required for my Department. As far as I know - I may be wrong but I do not believe I am - no country in Europe has reached the 2.5% target. It is not as if we are behind other countries.

I will refer briefly to the impact indicators. There are a couple of matters regarding international competitiveness ranking. In my initial contribution I said we were in the top ten for science projects and there are 17 research centres that are regarded as some of the best. We are competing with massive economies across Europe, such as Germany, and we do not have the investment we would like for research development innovation. We can consider how we must compete for funding in education in a tight fiscal space, along with housing and heath. It is somewhat restrictive. Looking at what we have achieved with the percentage of GNP spent and investment made by the Government in comparison with what can be made by bigger governments with larger populations, and which have been ahead of us for the past ten, 15 or 20 years in research and development, we are doing reasonably well. It will take some years but this Department and its Ministers are doing everything possible to invest in innovation and research development. We are looking to up our investments to the best of our ability.