Dáil debates

Thursday, 5 May 2011

Other Questions

County Enterprise Boards

4:00 pm

Photo of Dessie EllisDessie Ellis (Dublin North West, Sinn Fein)
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Question 11: To ask the Minister for Enterprise; Trade and Innovation the way county and city enterprise boards are to be restructured; the timetable for this restructuring; and if he will make a statement on the matter. [10012/11]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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The county and city enterprise boards, CEBs, have been the principal deliverers of State support to the micro-enterprise sector since their establishment in 1993. The CEBs support micro-enterprises employing up to 10 people in the start-up and expansion phases and also promote economic activity and entrepreneurship at local level. The CEBs deliver a series of programmes to underpin their role and they can provide both financial and non-financial assistance to an eligible micro-enterprise. The micro-enterprise sector is a key component of the indigenous small business sector and I am confident that it will be key to our economic recovery.

I thank Deputy O'Dea for his words of acknowledgement on my appointment. With regard to the restructuring of the CEBs, there is no doubt but that the county enterprise board model has served the micro-enterprise sector very well over the years but there is also no doubt that some restructuring of that model is now required. There have been many changes to the social, economic and technological landscape of Ireland since the establishment of the boards in 1993 and it is timely to restructure. However, any restructuring must not compromise the State's engagement with and support for our important micro-enterprise sector and in particular must not make it more difficult for the end-user to access the support services available for the sector.

As Minister of State with responsibility for small business, I want to ensure that there is a coherent and cohesive delivery of State support to the indigenous business sector, based on clear enterprise policy principles laid down by the Department and to ensure that any structural or institutional changes do not compromise the State's support for indigenous businesses. There are a number of schools of thought on the best way forward on CEB restructuring. All options are being considered at this stage and I am engaging with officials and other Government colleagues in order to determine the best way forward.

Photo of Peadar TóibínPeadar Tóibín (Meath West, Sinn Fein)
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I noted with some amusement the contribution made by Deputy O'Dea and his cautioning of the Minister with regard to the reduction of the amounts going to the county enterprise boards, while under the Fianna Fáil led Government, the funding for county enterprise boards was reduced by approximately 30%. That is ironic.

Photo of Willie O'DeaWillie O'Dea (Limerick City, Fianna Fail)
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On a point of order, I did not-----

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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That is not a point of order.

Photo of Willie O'DeaWillie O'Dea (Limerick City, Fianna Fail)
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I want to correct the record of the House. I did not caution the Minister about reducing the amount of money going to county enterprise boards. I will not be misrepresented in the House.

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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I will allow the Deputy in, but it is not a point of order.

Photo of Peadar TóibínPeadar Tóibín (Meath West, Sinn Fein)
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The county enterprise boards are at the coal face of small enterprise development throughout the State. They have a great knowledge of entrepreneurs living in their area and are extremely successful. Their focus, ethos and accessibility would be reduced if they were amalgamated with the local authorities and I would urge the Minister not to become involved in that. Instead, I urge him to reinforce investment in the county enterprise structure.

We have a fine Deputy from Meath here today, but, unfortunately, Meath does not get the same level of investment from the IDA and Enterprise Ireland as other counties. I urge the Minister to take that into consideration in future when developing policy with regard to these organisations. Will the Minister of State consider implementing a State-wide programme for exporting for small businesses with under ten employees and include that in enterprise boards?

Photo of John PerryJohn Perry (Sligo-North Leitrim, Fine Gael)
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The restructuring of the boards is long overdue, but they have operated successfully as a one-stop-shop facility. As Deputy Bruton stated, we are looking at options that will ensure there will be a facility available for people who are setting up small companies in the innovation, research and development area or in the micro-enterprise area and the boards will certainly fund seed capital for larger companies. I assure the Deputy that whatever the final decision taken on the restructuring, it will enhance the situation. We have 35 enterprise boards to date, without duplication. They do outstanding work and have been very successful with limited resources. The backbone of this economy is small companies. It is about encouraging enterprise by providing a one-stop-shop facility that will clearly preserve the ethos of the enterprise boards. I acknowledge the critical role of the enterprise boards to date. Some very successful companies in the State have started with the support of the enterprise boards and that certainly will not be lost in the restructuring. As the Minister, Deputy Bruton, stated, it will encompass the best expertise and facilitation and will cut down on red tape with less duplication to ensure a person with an idea can go to a single location, an instant solution centre, that will satisfy his or her requirements in terms of initial seed capital, working capital or whatever the case may be to encourage that person to set up a company. Our job will be ensuring that facility will be in place.

Photo of Peadar TóibínPeadar Tóibín (Meath West, Sinn Fein)
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What is the Minister of State's view on rolling out a State-wide export programme for businesses?

Photo of John PerryJohn Perry (Sligo-North Leitrim, Fine Gael)
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Our job is to ensure the economy can grow. Some 900,000 people work in small companies which form a critical part of the domestic economy. It is the area that needs the kick-start at the moment. Clearly where there is an export potential it certainly will be supported.