Willie Penrose (Longford-Westmeath, Labour)

The Minister of State will note that the focus of this question is jobs. It is important that money flows to create new jobs and to sustain and retain existing jobs.

Ordinary people and owners of small businesses are saying banks are running rings round the Government. They got huge funding for recapitalisation with no lending conditions attached. There is a credit famine which knows no bounds. Overdraft facilities are being withdrawn or renegotiated, loans are not being given or are given with huge conditions attached. Additional security is demanded and punitive charges imposed. Is the Minister of State concerned that banks are refusing to lend to 50% of small firm applicants and of the impact this credit famine is having on small businesses?

The Minister of State and the Tánaiste doubted the ISME survey. I will bring them up to date. Does the Minister of State also doubt the county enterprise survey? Mr. Michael Tunney, chairperson of the CEB network says, "If the situation continues many good businesses will be forced to close as a result".

The number in receivership in the first half of the year has quadrupled. Some 523 companies are involved in liquidation, the highest since records began. Business closures outnumber formations for the first time since 2003. The Minister of State may doubt the ISME survey. Does he also doubt the county and city enterprise boards, which relay these figures to the Minister of State's Department?

The Minister of State launched a credit evaluation programme in Cork on 29 June. What did he hear from that programme which is inconsistent with what ISME and the CEB is telling him? What is going on? Why will the Minister of State not tell banks to release credit to businesses which need it.

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