Mr. John Hogan:

As the Chairman has just articulated, there has been an increased cost to the Exchequer resulting from the tax credit over recent years. The Department has conducted a series of evaluations of the research and development tax credit, most notably in 2016 and for 2017, which was published as part of the pack that members have been given. The outcome of that quite detailed review, which is available on our website, is that the research and development tax credit was seen as being responsible for 60% of the additionality of the research and development happening in the country. That compares favourably with other similar types of interventions. It is a general measure that is available to companies, large and small, which incur the type of research and development expenditure that qualifies under the incentive. The Department continues to review this regularly in line with our tax expenditure guidelines.