Joan Burton (Dublin West, Labour)
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Question 164: To ask the Minister for Finance if he will publish a full cost benefit analysis of the business expansion scheme; if he will publish before Second Stage of the 2011 Finance Bill a full cost benefit analysis of the BITES scheme; and if he will make a statement on the matter. [48035/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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A full review of the Business Expansion Scheme (BES) was carried out in 2006. The report can be obtained from the Department of Finance website, at http://www.finance.gov.ie/documents/publications/Reports/BESSCSReport.pdf. This review highlighted the lack of equity capital support for small firms in their start up and early development phases, how vital the scheme had been in the past for such firms and the continuing needs in this regard. It also noted the potential return to the economy from indigenous Irish companies and the clear support for continuation from a large number of representative and other bodies in the public and private sector.

Following this review, the Government decided to extend the scheme until the end of 2013, and enhance it in certain respects. The approval of the European Commission for the scheme was granted in August 2007. In Budget 2011, I announced that the BES is being reformed and will be renamed the Employment and Investment Incentive (EII). This incentive will come into operation once the necessary approval from the European Commission has been received. In the meantime, the existing scheme will continue to operate. An Ex Ante Economic Impact Analysis of EII will be published at the same time as the forthcoming Finance Bill. Evaluation of the current BES will feature as part of this report.