Jerry Buttimer (Cork South Central, Fine Gael)

In less than a week the Government, if I can annoy the Members opposite, has reaffirmed its position in its two announcements which have prioritised jobs and encouraged business. The programme for Government is committed to support the production and creation of jobs and it is also recognised that the big challenge for Ireland is to develop a strategy that will allow job growth and sustainable enterprise and that job creation is central to any recovery strategy. That is important.

The Finance Bill before us and the action plan for jobs announced on Monday are focused on delivering on these firm commitments, namely encouraging entrepreneurs, supporting business and facilitating job creation. It is a plan that the Members opposite did not have for 14 years. They ignored responsibility and the people. That is the reality.

The Finance Bill before us is correctly targeting small and medium enterprises and foreign direct investment. Growing the small and medium enterprise sector will be essential in growing our economy, restoring jobs and creating employment. Deputy Troy referred to small enterprises. He knows full well they are labour intensive. We must put in place measures to help such businesses maximise job creation.

The expansion of the employment and investment scheme incentive will ensure it is more widely available. It will help small and medium enterprises to raise investment over and above the limits that apply under the business expansion scheme. The number of investments in the old business employment scheme fell by approximately 50% from 3,200 in 2008 to approximately 1,470 in 2010. It is important that the expansion of the employment and investment incentive reverses that trend and encourages investment in progressive businesses which are creating employment.

The Minister for Finance has also reformed the research and development credit scheme available to small and medium enterprises. The research and development tax credit can be used to reward and incentivise employees. Small and medium enterprises can also contract out some research and development work and retain the full benefit of the available tax credits.

This Government is encouraging Irish companies to expand into emerging international markets. The measures are targeted to encourage business in markets which have significant growth potential, to which Deputy Hannigan referred, in particular the BRIC countries. The foreign earnings deduction will act as a reward for those companies who take on the risk of exploring the opportunities for growth in new markets.

To help expanding small and medium enterprises develop their businesses into BRIC countries there is a new special assignee relief programme. It will allow them to assign employees to new markets for between one and five years to establish vital trade links. As well as encouraging Irish business to expand internationally, the Minister is encouraging skilled executives who can create jobs to relocate to Ireland, which is important. The Finance Bill provides for tax relief on income for skilled executives working in research. These people create employment and are central to driving our economy. It is estimated that between 80 and 100 people might avail of this incentive, each creating jobs which will benefit the indigenous economy.

These initiatives are just part of the measures being introduced by the Minister and Government to encourage business and job creation. Despite what some across the floor said, these initiatives show creative thinking and an ambitious plan aimed at getting our country back to work. The Finance Bill, the action plan for jobs and the other job creation initiatives being implemented by Ministers show the Government is prioritising and delivering on its key commitment of creating jobs.

It recognises the difficulties being faced by families and many of our citizens and is working to provide an environment where we can grow our way to recovery. We live in the real world on this side of the House and understand the importance of a job. That is why the Finance Bill is the platform on which we can rebuild and relaunch Ireland. I commend it to the House.

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