Peter Burke (Longford-Westmeath, Fine Gael)

I thank the Deputy for this very important question in an area that we are really moving the dial on. Ireland currently holds a strong competitive position globally, ranked seventh overall, and first in the eurozone, in the annual IMD world competitiveness rankings for 2025. However, we cannot be complacent and work remains to be done in many areas. We are aware that there are significant challenges and it is important that we do not take our strengths for granted. In a rapidly changing and uncertain international environment, it is fundamental that we take action to address long-standing legacy issues as well as emerging threats to our competitive performance. Persistent high costs in areas such as energy continue to challenge the competitiveness of businesses, particularly SMEs. Moreover, external shocks like Brexit and geopolitical uncertainties have embedded themselves into the cost structure, making it harder for businesses to remain competitive, whether indigenous or FDI.

In response to international economic developments, and in line with a commitment in the programme for Government, work is under way on the development of an action plan on competitiveness and productivity. The Government agreed to accelerate the timeframe for this work and the action plan will be presented for consideration at a competitiveness summit to be held in July. The action plan will reflect a whole-of-government approach to domestic drivers of, or barriers to, competitiveness, focusing on areas firmly within our own control. Its development has been informed by extensive consultation across Government Departments and with external stakeholders. My Department has already undertaken a series of bilateral engagements with key Government partners, including in the areas of infrastructure, housing, research and innovation. This discussion will continue over the weeks ahead. My Department has also launched a public consultation which is currently open. The action plan will also be guided by the forthcoming Ireland's Competitiveness Challenge 2025 report from the National Competitiveness and Productivity Council, NCPC. That evidenced-based input will be vital to ensuring that our policy responses are targeted, proportionate and future-facing.

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