John McGuinness (Carlow-Kilkenny, Fianna Fail)

Why do we not leave them alone and give county enterprise boards substantial funding in order that people can access the funding directly and deal with county enterprise boards which understand local needs? Credit unions seem to understand their client base much better in terms of their business needs by comparison with banks. Why do we not allow them to do that business? Why is it that this debate goes on in an endless way with very little happening to support those businesses of which we are all so proud?

It is time for the Government to think differently about relying on the two pillar banks and to take into consideration the much more effective way of dealing with the issue through current structures such as county enterprise boards and credit unions. Why do we not create that alternative space in the market for those businesses to engage with? They are grossly misunderstood by the banks which almost refuse to give a decision in some cases. I am aware of business people whose application is with the bank for the past 18 months with no decision. I can give a list of such cases. Businesses do not function like that. They have to function on the basis of being able to decide in reaction to the market or by leading the market in an immediate fashion knowing that they either have a loan or an overdraft to do the business. They cannot do that anymore, and not because they have a bad business – I do not expect anyone to support a poor business idea. We should support businesses in a different and more direct way. The Bill goes some way towards providing a resolution but the Government has a lot more work to do.

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