Written answers

Thursday, 24 February 2005

Department of Enterprise, Trade and Employment

Industrial Development

5:00 pm

Photo of Dinny McGinleyDinny McGinley (Donegal South West, Fine Gael)
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Question 18: To ask the Minister for Enterprise, Trade and Employment the work undertaken by Enterprise Ireland in 2004 in facilitating the expansion of Dublin companies to regional locations; the details of firms which relocated in 2004; the number of employees which relocated; and if he will make a statement on the matter. [6204/05]

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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The implementation of Enterprise Ireland's regional development strategy is a day-to-day matter for the agency and not one in which I am directly involved.

Enterprise Ireland informs me that it seeks to encourage a balanced spread of regional enterprise development in line with Government policy. Enterprise Ireland's strategy in this regard includes encouraging companies, where relevant, to locate outside Dublin and its environs to less developed regions.

One of the ways in which Enterprise Ireland encourages client companies that wish to relocate to regional locations is by making it financially more attractive for them to establish or grow outside Dublin and the mid-east. Enterprise Ireland provides higher levels of funding assistance for companies that are expanding or establishing a business in certain regions.

The availability of suitable building infrastructure can be an important factor in encouraging companies to expand outside Dublin and Enterprise Ireland makes its client companies aware of available business space in the regions. It also conducts itineraries to regional locations for companies which might be encouraged to relocate. Furthermore, Enterprise Ireland is directly involved in supporting certain programmes aimed at building infrastructure for businesses.

There is little tradition of companies relocating outside of Dublin. While Enterprise Ireland can encourage a company to consider relocation, it is the company itself that makes the final decision. There are many factors, beyond the influence of Enterprise Ireland, which the company will consider such as its home base, proximity to markets, availability of physical, educational and research infrastructure, access to raw materials and availability of skilled labour and research facilities, to name but a few.

Enterprise Ireland remains committed to the creation of an environment where existing businesses in the regions can develop their competitiveness, high growth start-up businesses are encouraged, and innovation flourishes. My Department considers the issue as a priority and has recently asked Enterprise Ireland to review its regional enterprise development strategy. It is intended that this review will facilitate the design of a new regional strategy for the agency.

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