Dáil debates

Wednesday, 7 February 2018

Other Questions

IDA Ireland Site Visits

11:30 am

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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36. To ask the Minister for Jobs, Enterprise and Innovation the position regarding regional IDA site visits up to the end of 2017 in addition to vacant IDA properties nationwide; and if she will make a statement on the matter. [6009/18]

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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My question is on the same theme as Deputy Smyth's. I ask the Minister to address the glaring anomaly over which IDA Ireland and by extension the Minister are presiding, with the imbalance in IDA Ireland's site visits to Dublin compared with those outside Dublin. It is simply not acceptable and feeds into the two-tier recovery the country is experiencing.

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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I thank the Deputy for raising the issue. IDA Ireland is leading our efforts to attract even more foreign direct investment to regional areas. The agency continues to work towards key development targets set out in its 2015-19 strategy, including increasing investment by 30% to 40% in every region. Since the launch of that strategy, half of all jobs created by its client companies have been based outside Dublin. To quantify the extent of this impressive result, it means that just under 30,000 jobs have been created in the regions in three years. Moreover, the agency's 2017 results showed that every region posted net gains in jobs last year. This shows that real progress is being made towards increasing the regional spread of FDI throughout the country.

Site visits represent an important tool through which investors can be encouraged to invest in regional areas and IDA Ireland always does its utmost to ensure that investors consider all potential locations when visiting Ireland. Ensuring that there are properties available for potential multinational investors is a key component of that approach. If there were no available properties in the regions, IDA Ireland-owned or otherwise, it would significantly diminish the agency’s capacity to attract and win new investments there. Overseas firms need to know that there are suitable sites and facilities in an area before they make a decision to invest.

I stress that the portfolio of properties held by IDA Ireland depends on the level of demand from investor companies and that the agency also helps to provide property solutions for Enterprise Ireland clients whenever possible. The objective is always to ensure that companies - small or large, indigenous or multinational - are connected with the right property in the right location so that the business concerned can thrive and jobs can be created.

In that context, we should not lose sight of the fact that FDI only forms one part of investment in regional locations. Indigenous enterprise also helps to drive employment growth across Ireland. All Departments and the State’s enterprise agencies work together constantly to help foster and support Irish companies wherever they can.

IDA Ireland has a property portfolio so that it can readily help potential job-creators find a suitable place in which to do business. The availability of these properties is key to our ongoing efforts to attract more firms to this country. The underlying objective though is always to match companies with these sites and properties so jobs and economic opportunities can be created.

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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As the Minister knows, last night we debated a motion on broadband. The shambles of the broadband roll-out is impacting on balanced regional development and the location of business. It is feeding into a wider concern about the unravelling of services in rural areas. IDA Ireland is also complicit with those in government in this agenda which is seen as an attack on rural Ireland. In 2017, there were 682 site visits, 47% of which were in Dublin. Almost 80% of all site visits were to Dublin, Galway, Limerick or Cork.

At the other end of the scale is the Minister's constituency, as outlined by Deputy Smyth, where there was one visit in Monaghan and two in Cavan. Donegal had two; Laois had four; Leitrim had five; Longford had seven; Mayo had seven; Monaghan had one; Roscommon had three; Wexford had three; Wicklow had two; and Cavan had two. I am becoming worn out from raising the issue. We are banging our heads against the wall here.

Photo of Eugene MurphyEugene Murphy (Roscommon-Galway, Fianna Fail)
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I thank the Deputy.

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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Why can IDA Ireland not engage in a real and meaningful agenda and campaign to bring these companies when they come to Ireland-----

Photo of Eugene MurphyEugene Murphy (Roscommon-Galway, Fianna Fail)
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I thank the Deputy.

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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-----to locations outside the main population centres and sell these locations-----

Photo of Eugene MurphyEugene Murphy (Roscommon-Galway, Fianna Fail)
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Okay-----

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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-----because with the national planning framework-----

Photo of Eugene MurphyEugene Murphy (Roscommon-Galway, Fianna Fail)
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The Deputy had his one minute.

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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-----coming down the line, there is a huge campaign developing in opposition to that strategy which will again impact negatively on rural Ireland?

Photo of Eugene MurphyEugene Murphy (Roscommon-Galway, Fianna Fail)
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I thank the Deputy. I call the Minister.

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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The Minister needs to use every-----

Photo of Eugene MurphyEugene Murphy (Roscommon-Galway, Fianna Fail)
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Deputy, please-----

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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-----avenue at her disposal to ensure IDA Ireland departs from its current strategy.

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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IDA Ireland cannot direct companies to go to a particular place. It competes in a very competitive global market. To get some of those companies to come to Ireland is quite an achievement. IDA Ireland is focused on the regions and is doing its utmost to increase regional investment. The goal is to increase investment in every region by 2019 by 30% to 40%.

For example, Northern Trust was expanding its operations in Limerick last year, creating 500 new jobs. Many new investments are from existing IDA Ireland clients. It is not all about site visits. It is about supporting existing clients to increase employment. That is the case as it stands. It is doing everything. I am from a rural area and will focus on the regions.

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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IDA Ireland is offering the excuse that it cannot go into the boardrooms of potential investors in this country and direct them to come to a specific location. It picks up the representatives of the company when they come to Ireland and brings them to their stated preferred location. IDA Ireland needs to do better. While it can bring them to their preferred stated location, it should offer them alternative site visits in the counties I have named which are receiving very few site visits. It is not rocket science. At this stage we are all worn out from the excuse that IDA Ireland cannot direct where companies locate in Ireland. It must do better and the Minister should instruct it to do better.

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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Most of the companies seeking to locate in this country carry out their own assessments first. That is why sometimes people may be talking down regions, which is not a good idea because that negativity can influence companies' decisions. IDA Ireland is committed to the regions. It has informed me that it is doing everything it can to increase investment across the regions. The Deputy can rest assured that I will ensure the regions receive the attention and particularly those which have lagged behind. The Border region is one that has lagged behind as have parts of the midlands. The south east and the south west have done particularly well, which is partly down to the collaborative way the people in those areas have presented the benefits of doing business. There are also many clusters there. Where there is business, it brings business. We need to work more collaboratively in the areas that have not got investment. I will certainly be focusing on them.