Dáil debates
Tuesday, 14 October 2025
Ceisteanna - Questions
Cabinet Committees
4:05 pm
Malcolm Byrne (Wicklow-Wexford, Fianna Fail)
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1. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [46519/25]
Shane Moynihan (Dublin Mid West, Fianna Fail)
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2. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [46522/25]
Shay Brennan (Dublin Rathdown, Fianna Fail)
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3. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [46842/25]
Naoise Ó Cearúil (Kildare North, Fianna Fail)
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4. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [46856/25]
Tony McCormack (Offaly, Fianna Fail)
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5. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [46859/25]
Ruth Coppinger (Dublin West, Solidarity)
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6. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [49987/25]
Darren O'Rourke (Meath East, Sinn Fein)
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7. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [50085/25]
Ruairí Ó Murchú (Louth, Sinn Fein)
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8. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [50088/25]
Ivana Bacik (Dublin Bay South, Labour)
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9. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet; and if he will make a statement on the matter. [50151/25]
Paul Murphy (Dublin South West, Solidarity)
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10. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [50160/25]
Emer Currie (Dublin West, Fine Gael)
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11. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [50176/25]
Rose Conway-Walsh (Mayo, Sinn Fein)
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12. To ask the Taoiseach when the Cabinet committee on the economy, trade and competitiveness will next meet. [50477/25]
Micheál Martin (Cork South-Central, Fianna Fail)
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I propose to take Questions Nos. 1 to 12, inclusive, together.
The Cabinet committee on the economy, trade and competitiveness last met on 14 July and the next meeting is scheduled for 27 November. The membership comprises the Taoiseach; Tánaiste; Minister for Finance; Minister Public Expenditure, Infrastructure, Public Service Reform and Digitalisation; Minister for Climate, Energy and the Environment, and for Transport; Minister for Agriculture, Food, Fisheries and the Marine; Minister for Enterprise, Tourism and Employment; Minister for Culture, Communications and Sport; and Minister for Further and Higher Education, Research, Innovation and Science. Other Ministers and Ministers of State are invited to attend when requested.
The committee oversees the implementation of the programme for Government commitments related to sustainable economic and employment growth; trade; competitiveness and productivity; innovation; the national digital strategy and pensions.
Despite many external challenges we continue to see strong economic performance with record numbers of people in work, low unemployment and real wage growth. The economy continues to demonstrate its resilience and ability to adapt to changing global circumstances. As evidenced by last week's budget we will continue to advance an economic model founded on a well-established and successful pro-enterprise policy framework, a stable and sustainable regulatory and tax environment with sound management of the public finances and significant investment in the infrastructure, energy and skills required to ensure our future competitiveness and productivity.
In an increasingly unpredictable global economy a proactive approach to market diversification will promote Ireland's economic resilience, foster competitiveness and productivity and strengthen and support our trade and investment model ensuring sustainable growth. For example, last month I met with Prime Minister Carney. While in Ottawa I launched a comprehensive Ireland-Canada economic report. The report highlights that Ireland is now the tenth-largest investor in Canada, with inward investment flows of more than €14 billion. Trade agreements are essential to our efforts to strengthen our economy, increase market diversification, protect jobs and positively benefit enterprises and consumers alike through increasing their options, reducing tariffs and costs and maintaining standards. Irish and European Union exports to the world facilitated by trade agreements support more than 750,000 jobs here, which is approximately one in three jobs. This trade supports real livelihoods.
I ask the Opposition parties why they continually oppose the Canada-European Union Comprehensive Economic and Trade Agreement, CETA, when it has worked both ways and enhanced jobs in Ireland, created more jobs in Ireland and protected jobs. Yet the Opposition parties opposed it all the way. That is completely out of touch with and disconnected from what puts bread on the table in Ireland. We will continue as a Government to invest in the future of Ireland while preserving the jobs, stability and prosperity of today.
As with all policy areas, issues relating to the economy are regularly discussed also at full Cabinet meetings where all formal decisions are made.
Malcolm Byrne (Wicklow-Wexford, Fianna Fail)
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I strongly welcome the Taoiseach's commitment to the implementation of CETA and to the growth of our trade relations with Canada. However, I want to raise EU competitiveness. It is over a year since the publication of the Draghi report yet the European Policy Innovation Council, the Brussels-based think-tank states that only 11% of the recommendations are on the road to implementation. We are seriously falling behind in Europe in terms of competitiveness. One of the areas is network resilience and our digital infrastructure. We are shortly to publish the new national digital and AI strategy. The Taoiseach might give us an update on that. As part of Ireland's competitiveness strategy, will the Taoiseach ensure we will have the necessary digital infrastructure to be able to compete in this century?
Shane Moynihan (Dublin Mid West, Fianna Fail)
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Cuirim failte roimh an dul chun cinn atá á dhéanamh i leith saorthrádáil timpeall an domhain. Key to any free trade and any strong trading relationships is a strong, export-led economy driven by our indigenous firms. While the budget made some moves in increasing the attractiveness of entrepreneurship and developing an entrepreneurial economy, could other issues be considered such as setting up a number of metrics around how we measure the number of employees employed by indigenous SMEs and the proportion of corporation tax those companies pay? Can some funding be allocated or thought given to schemes designed to mentor new entrepreneurs from existing proven entrepreneurs who have been successful in this field? For those companies that we want to scale up and keep in Ireland can the Government make it easier for employee-share options to be made available in those companies to ensure everybody has bought into the success of those companies and that they are allowed to scale up?
We need to scale up our indigenous industry and I encourage the Taoiseach to consider that too.
Shay Brennan (Dublin Rathdown, Fianna Fail)
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Internationally recognised digital hubs like Station F in Paris have profoundly transformed their local and regional economies by attracting start-ups, venture capital and cutting-edge innovation ecosystems. The Government has signalled strong backing for digital hubs as cornerstones of Ireland's economic competitiveness and future growth. Sandyford Business District is at an advanced stage of planning its own large-scale digital innovation campus. This is uniquely suited due to its strategic location, quality infrastructure and well-established international business community. With proactive Government support, Sandyford could emerge as a flagship hub of digital entrepreneurship and innovation on the European stage. How can local stakeholders best engage with and bring this opportunity to the Government's immediate attention to ensure it receives the co-ordinated backing necessary for success?
Naoise Ó Cearúil (Kildare North, Fianna Fail)
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I spent my summer months drafting my first Bill to establish a national AI office. I was delighted to see on 8 September the Minister, Deputy Peter Burke, announcing that this office will be established. Indeed, in the budget last week funding was allocated for this very office. Can the Cabinet committee consider naming this office an oifig náisiúnta um intleacht shaorga, or ONIS for short? It is a good name, one we can all remember. It also fits with in with Acht na dTeangacha Oifigiúla as well. It is a name people will remember. Making sure it is in Irish will give it that little bit of strength as well.
Tony McCormack (Offaly, Fianna Fail)
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Our national success in enterprise depends on our competitiveness and our competitiveness depends on reliable energy infrastructure. In County Offaly we have a great energy infrastructure that is close to capacity. EirGrid is under real pressure to expand it. Offaly’s central location and long history in energy generation means it is ideally placed to help to meet that challenge. Bord na Móna, with its expertise and local presence, could play a key part in strengthening grid capacity across the midlands. I urge the Government to work with Bord na Móna and EirGrid to unlock Offaly’s full potential as an energy investment hub.
4:15 pm
Ruth Coppinger (Dublin West, Solidarity)
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The Government took a decision in the budget to give huge tax cuts to developers, the fast food industry and the hospitality sector to boost trade and competitiveness. In doing so, it has made people 2% worse off according to the ESRI and the bottom 10% of society are 4.4% worse off.
I will specifically ask the Taoiseach about electricity. We have the highest electricity costs in the EU and we hear that retail prices are three times higher than wholesale prices. Massive profiteering is taking place in electricity that will increase poverty, but it is also a huge cost on small businesses, which the Government claims it wants to help. When will we have a not-for-profit electricity sector? The Taoiseach talked as if it was a terrible thing in response to an earlier question. It would be hugely supported in society because it is the cost that is worrying people more than anything else. Average bills are also due to increase €207 more than last year with no support.
Ruth Coppinger (Dublin West, Solidarity)
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Maybe it is not such a bad idea after all to go back to the model we had in the 1970s and 1980s when people could afford electricity.
Darren O'Rourke (Meath East, Sinn Fein)
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In the audiovisual room this afternoon, a briefing organised by Deputy Guirke was addressed by Ciaran Staunton and Kelly Fincham on barriers faced by Irish citizens returning from abroad. They raised a range of barriers, such as access to driving licences and planning permission, but the issue I want to raise that relates to the economy and trade is the dearth of teachers, occupational therapists and other allied health professionals and the recognition of nursing qualifications from abroad. Is that something the Taoiseach can address to allow people to come home and contribute to the economy in the public sector or private sector?
Paul Murphy (Dublin South West, Solidarity)
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Education is crucial to competitiveness. We will not have it without teachers, yet many schools are in crisis situations. I will give one example from my constituency. St. Mary's Boys National School in Rathfarnham is set to lose another teacher next year, having lost one in September, unless the Government commits to reducing class sizes. I have been contacted by many parents, one of whom wrote to say:
My son is already in a class that exceeds the national average size. Without intervention, he may soon be placed in an even larger multigrade class, which would significantly affect the quality of his education. The school is currently just four pupils short of retaining its 16 class teachers.
In the budget, it was announced that 1,042 teachers will be hired, which will not cover the 1,046 teachers who will be retiring so it will not reduce the pupil-teacher ratio. The hospitality VAT rate cut cost the equivalent of hiring 7,800 teachers, illustrating where the Government's priorities lie. Will the Taoiseach commit to reducing class sizes?
Emer Currie (Dublin West, Fine Gael)
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I raise the deemed disposal rule for exchange traded funds, ETF. I welcome the reduction in the exit tax rate announced in the budget, but the rule itself remains the difficulty. Under the deemed disposal rule, investors are taxed every eight years on gains they have not realised. This creates an opportunity cost for savers. To pay the tax, investors may need to liquidate part of their ETF holdings or use cash that otherwise could have remained invested, meaning the long-term growth is reduced and the benefits of compounding are not fully realised. In both cases, I am told, it penalises prudent, long-term investments. Will the Taoiseach indicate whether the Government has any short- or long-term plans to address the rule?
Rose Conway-Walsh (Mayo, Sinn Fein)
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Energy costs in the State are astronomical and are having a detrimental impact on competitiveness. This rip-off of Irish customers was confirmed again today by a recent international report, which revealed that our retail electricity prices are three times higher than wholesale prices, one of the highest price gaps in the world. We are completely exposed to the price of fossil fuels on the international markets and this is driving up the cost of doing business here, with businesses being ripped off.
Decarbonising and renewable energy must be prioritised to address this, but the technology for businesses to decarbonise often requires an upfront investment that is unrealistic and too expensive for many businesses. Existing supports in place from Enterprise Ireland, under the green transition fund among others, are not seeing participation rates that will contribute to Ireland achieving its goals of reducing emissions by 51% by 2030 and climate neutrality by 2050. What additional measures to assist businesses to decarbonise is the Government putting in place to make energy more affordable, reduce the cost of doing business and boost our competitiveness?
Micheál Martin (Cork South-Central, Fianna Fail)
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I thank all the Deputies who contributed. Deputy Malcolm Byrne was first out of the traps about the 11% of recommendations, which is quite low, implemented from the Draghi report. Ireland is already identifying the Single Market and some of the reforms in the Draghi and Letta reports for our Presidency of the European Union in the latter half of next year. We would like to see an acceleration of the implementation of the recommendations of the Draghi report because they are essential to European Union competitiveness. Draghi pointed out that barriers that exist are much more costly than any tariff imposed by the US, by three times in some cases.
The publication of the digital strategy and of an updated AI strategy is imminent. Aontaím leis an Teachta Shane Moynihan go bhfuil cúrsaí trádála ríthábhachtach ó thaobh cúrsaí geilleagair na tíre. On employee metrics, I fully agree we need to scale up indigenous companies. Looking strategically at the country into the future, there is an inextricable link between multinational investment and our own SMEs or indigenous enterprises. Many of them are part of the supply chain. Many have grown in expertise because of their relationships with multinational companies but there has been in issue with scaling and growing multinationals in such areas as life sciences or technology. The one area in which we have grown multinationals is food- and agriculture-based industries with such examples as Glanbia, Kerry Group and so on. There is certainly an issue in regard to employee share options and so forth.
Enterprise Ireland manages a leadership for growth programme for companies. In the past, they went to Harvard. I met representatives of 35 companies in New York recently. When I was at the UN , we did a bit of work with our companies and 35 are availing of the leadership for growth programme. They are SMEs. I have met many people who have been on that programme over the years and they all say it had a beneficial impact on their mindset, their ambitions as CEOs and how they had been organising their companies up to that point. Mentorship is extremely important and we work with many companies in the US and the larger Irish companies that help us to mentor emerging Irish companies. However, strategically, the future has to be to increase the scaling up of Irish-owned companies for long-term competitiveness.
Deputy Shay Brennan is on a similar mission, with a specific application to Sandyford. I met the owner of Station F recently. He is an innovative medical person. He is one of the first people I have met in Europe who I can say is a real business leader. We generally interact with US behemoths, such as the digital giants Google, Amazon and so on, but here is a French person, a European, who has a clear vision of the enterprise side and the digital side in particular, including incubation and so on. In terms of Sandyford and how to progress, engaging with Enterprise Ireland is critical in the whole area of incubation and supports available from that unit. Linking up with third level institutions is important in that area because it can give added heft and companies can draw on talent, ability and brains on the campus and link them to the business campus. I recommend those two options and if I can be of any help in talking to Enterprise Ireland and going out to see it, I will because the future is in creating hubs like that to enable entrepreneurship to flourish.
We can do more, if I am honest, on budgetary and fiscal policy, but we can only do so much in any one budget. Very often when we do things for entrepreneurship, they get attacked politically as looking after the wealthy or businesses and so on, whereas we are trying to enable an environment where jobs will be created in the future and they are good high-quality jobs.
DeputyÓ Cearúil's suggestion on the national AI office was excellent. I will talk to the Minister in respect of oifig náisiúnta na h-intleachta saorga. The tuiseal ginideach was spot on. That was the old de Valera policy - name it in Irish and people will cop on and learn a bit of Irish along the way.
It is good news. We made rapid progress on the proposals. Many Deputies recommended the creation and establishment of a national AI office. It is only some months ago it was aired at Leaders’ Questions. We have moved to progressing that and putting it on a statutory basis. I think the AI issue is huge. We have a lot of catching up to do in Europe and in Ireland in respect of AI. There is also the relationship with energy use and AI, which is going to be very challenging, which means we will definitively need offshore wind from 2030 onwards to enable us to avail of the AI revolution. Okay, people will question it. Some are saying now it could be like dot.com, but it is here to stay long term. We need to make sure we can get our heads around it and be part of that agenda into the future. The general view worldwide is that Europe is way behind the United States and China in respect of this.
On Deputy McCormack’s point, because of their previous history Offaly and the midlands is well positioned to become an energy hub using Bord na Móna. I pay tribute to Bord na Móna. As a state company it has transformed very effectively from being a fossil fuel-based company with many climate issues to transforming it to almost the opposite agenda very quickly. It is a very good example of a state company aligning itself with state policy very quickly; not resisting it but going with it. I have been down there quite a lot with Bord na Móna which has enlisted third-party companies which are investing in energy projects in the midlands. The transition programme funding we have received from Europe and, indeed, the national transition funding should help to underpin the continuation of the midlands and Offaly as an energy hub into the future.
Deputy Coppinger spoke about not-for-profit. Someone has to pay in the end. You just cannot magic the grid or investment in it. There is an onus on the Deputy to identify the massive state investment that would be required in addition to what we are investing already to get to a not-for-profit electricity or energy system in Ireland. She referenced the 1970s and 1980s. I was a student in the early 1980s. The 1980s was not a good decade economically.
4:25 pm
Ruth Coppinger (Dublin West, Solidarity)
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I know. Fianna Fáil sent a lot of people emigrating. I remember it.
Micheál Martin (Cork South-Central, Fianna Fail)
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I would not be sentimentally returning to the 1980s as a model for the future. I just would not do that.
Micheál Martin (Cork South-Central, Fianna Fail)
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The population was much lower. There have been dramatic changes in Irish society in terms of population growth, economic growth, the challenge of climate and all of that. It is not as simple as presented. We cannot keep doing one-off budget packages forever. That seems to be the suggestion from the Opposition-----
Ruth Coppinger (Dublin West, Solidarity)
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We are saying to nationalise electricity.
Micheál Martin (Cork South-Central, Fianna Fail)
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-----that we should have a one-off package this year, a one-off package next year and so on. We just cannot continue to do that.
Deputy O’Rourke raised an important issue. The qualifications issue pertains to some of the regulatory bodies in specific areas, namely the Medical Council, the Teaching Council – it may not like me saying this but I think it can be quite conservative – and some of the other bodies such as Coru. I have been in touch with the Minister for Health and the Department is moving on Coru. It says it is moving on therapists, for example. It is interesting. It has taken too long to register people who are clearly well qualified and have good international qualifications in speech and language, physio or occupational therapy and it could be a year or a year and a half before they are recognised here. We must be much more nimble. Then there are things like driving licences and all of that. There is a very legitimate issue in terms of people returning to live in Ireland from overseas and how we can reduce the barriers to them reintegrating into society and facilitating that.
Deputy Murphy spoke about education. If a school is four pupils short, he knows it can appeal on the basis of developing school status to retain a teacher. That system has been there for a long time for retaining teachers. Over the last number of years, we have significantly reduced the pupil teacher ratio. I am not saying that is in this case but sometimes it depends on how a principal or the management of a school will deploy teachers. They may have other priorities and they may do it in different ways. That also happens. In this case the Deputy is saying the school is down a teacher and due to lose again next year. I do not know if that is because of population demographics in the area or not but we are investing a lot in education in recent years and we will continue to do that.
Deputy Currie mentioned the exit tax rate in terms of funds and so on. I think the Finance Bill might be an opportunity for her to press that case with the Minister, Deputy Donohoe. That allows for more detailed examination of issues of that kind. I accept the basic principle that sustainable investment and good practice is what we should be encouraging and facilitating.
To Deputy Conway-Walsh I would say renewable energy is the key. Deputy Conway-Walsh is gone. I am kind of alarmed - there were terrible protests about having Leaders' Questions once a week and so on but the leaders of all the parties are not here at all. There we go. Deputy Conway-Walsh has left after asking her question. She will be back, I think, to be fair.
Micheál Martin (Cork South-Central, Fianna Fail)
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I am sorry, Deputy Conway-Walsh. I was just saying that renewable energy is the key and the green transition is the key. I accept her point. One of the issues we have is the over-reliance on fossil fuel important on a number of fronts. Energy security is the key one, by the way. Everybody here is complaining about the decision to have a LNG facility. It would be utterly irresponsible if we do not develop that. My concern is the time line to develop it because we have no back up if anything was to happen to the interconnectors. That is a big security vulnerability.
Verona Murphy (Wexford, Independent)
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We have two questions left with 20 minutes and 30 seconds.