Written answers

Wednesday, 7 July 2010

Department of Enterprise, Trade and Innovation

Employment Support Services

12:00 pm

Photo of Jack WallJack Wall (Kildare South, Labour)
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Question 92: To ask the Minister for Enterprise, Trade and Innovation if any review is planned of the Border, midland and western region from a geographical perspective to investigate possible areas (details supplied) that have lost industries or suffered from lay-offs recently with the view of providing stimulus packages or grant assistance for such areas to counteract such employment losses; and if he will make a statement on the matter. [30433/10]

Photo of Batt O'KeeffeBatt O'Keeffe (Cork North West, Fianna Fail)
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The composition of regions is not a matter for my Department. However, the position in relation to State aid is that aid for investment in companies in the various regions of Ireland must be in accordance with the Regional Aid Map 2007-13 approved by the European Commission. This Map was drawn up in accordance with the Commission's Regional Aid Guidelines. Under these Guidelines, Ireland was entitled to designate regions representing up to 50% of the population for regional aid. Ireland fully utilised this quota when drawing up the Map and there is no scope to designate further population areas. The Mid-East Region, which includes Kildare, was not designated as it was relatively more developed than other areas in the State. While the Mid-East region is not entitled to regional aid, undertakings in the region continue to qualify for other forms of State aid, including aid for small and medium-sized enterprises, aid for Research and Development and Training aid which are available in all areas.

Sustaining employment is a priority in the face of increasing unemployment. During 2009, Enterprise Ireland pursued a Sustaining Enterprise agenda that prioritised helping client companies through the economic crisis. Schemes such as the Enterprise Stabilisation Fund and Employment Subsidy Scheme were introduced to assist companies address the difficulties arising from the challenging trading conditions as a result of the recent recession. In addition, the agency is offering a range of New Funding Supports in 2010 including the Job Expansion Scheme, Lean Initiative Programmes, New Market Research Programmes and Key Manager Grants. In 2009 there were 173 Enterprise Ireland aided companies in Kildare and they employed approximately 5000 people.

The role of Kildare County Enterprise Board is to provide a source of support for micro-enterprise in the start-up and expansion phases, to promote and develop indigenous micro-enterprise potential and to stimulate economic activity and entrepreneurship at local level. The Board can support individuals, firms and community groups provided that the proposed project has the capacity to achieve commercial viability. The Board delivers a series of support programmes to underpin and to fulfil this role and can provide both financial and non-financial assistance to a project promoter. The 2010 capital allocation for Kildare is €372,108, which is being used to promote enterprise development across the County including the areas of Castledermot, Athy, Monasterevin, Kildare, and Rathangan. At the end of 2009, there were 897.5 jobs existing in Kildare County Enterprise Board supported companies.

In March 2010, IDA Ireland published 'Horizon 2020', its strategic document for attracting Foreign Direct Investment into Ireland in the coming decade. One of the high level goals set out in that strategy is that by 2014, 50% of all investments will be located outside Dublin and Cork. IDA's focused strategy for County Kildare has been to promote the county as part of an integrated East Region with access to a population base of 1.5 million people. County Kildare has in recent years attracted some world class manufacturing companies such as Intel, Wyeth Medica (now Pfizer), Braun, Hewlett Packard and Oral B. At present there are 26 IDA Ireland supported companies in Kildare employing approximately 9,131 people.

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