Richard Bruton (Dublin North Central, Fine Gael)

The allocations are based on a weighting of factors, including unemployment and the capacity of CEBs to deliver new projects. It is a balancing act, which is as it should be, to encourage high performers and so on.

The Deputy is right, in that practices differ between CEBs. Some are in the habit of committing in advance and have high levels of commitment at any stage of the year while others adopt a different policy. The reform is intended to develop a service level agreement with local authorities, one that will go beyond the allocation of funds and consider the quality of mentoring and training to ensure that standards are being met. We will also use the LEO structure as the conduit for many of the micro-finance applications to ensure that they are backed by quality business plans. New policy instruments are in the hands of the LEOs, which are being developed, but we also want local authorities to knuckle down to their responsibilities and make the environment in each county as good as it can be for supporting businesses.

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