Enda Kenny (Mayo, Fine Gael) | Oireachtas source

We are retaining the 12.5% corporation tax.

As the Minister for Communications, Energy and Natural Resources, Deputy Rabbitte, has reminded me, the potential for on-line trade in the retail and other sectors is enormous. Only a very small percentage of that is generated in Ireland. That will rise to serious numbers in billions of euro over the next period.

In respect of the Deputy's point about small and medium enterprises, SMEs, the Irish economy will be built on their backs. The major banks have measured up in terms of the objective for each to lend €4 billion in new loans for 2013. I expect those targets to be reached. I have difficulty with some of the SMEs because, irrespective of whether their applications or proposals are valid, many are turned down and the Credit Review Office needs to consider the conditions applied. There was a ten-point plan in last year's budget specifically for SMEs. The cash receipts basis threshold for VAT is now increased from €1.25 million to €2 million with effect from 1 May next year. The overall increase of €1 million will assist cash flow for those SMEs.

I was in Wicklow at the location for the filming of The Vikings. It is an extraordinary location with huge numbers employed. Having met personnel in America to discuss this, I am glad the film relief scheme was extended to 2016 and included non-EU talent. It is a very labour-intensive area.

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