Written answers

Thursday, 5 May 2011

Department of Enterprise, Trade and Innovation

County Enterprise Boards

5:00 pm

Photo of John McGuinnessJohn McGuinness (Carlow-Kilkenny, Fianna Fail)
Link to this: Individually | In context

Question 23: To ask the Minister for Enterprise, Trade and Innovation his plans to overhaul county and city enterprise boards and to formalise arrangements for constructive dialogue with small and medium enterprises and stakeholders. [9939/11]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
Link to this: Individually | In context

As Minister for Enterprise, Trade and Innovation one of my main priorities is to ensure that the manner in which State support for enterprise activity, entrepreneurship stimulation and job creation is delivered, is properly targeted and is effective and coherent. I want to ensure that it is cost effective and that the resources available to the State are used to maximise business activity and sustainability across all sectors in order to drive economic recovery.

The County and City Enterprise Boards have been the principal deliverers of State support to the micro-enterprise sector since their establishment in 1993. The role of the CEBs is to support micro-enterprises employing up to 10 people in the start-up and expansion phases and to stimulate and promote economic activity and entrepreneurship at local level. The CEBs deliver a series of Programmes to underpin this role and they can provide both financial and non-financial assistance to an eligible micro-enterprise. This sector is a key component of the indigenous small business sector. The micro-enterprise sector will be key to our economic recovery. Parallel to the work of the CEBs is, of course, the work of Enterprise Ireland whose remit includes the support of start-ups that have the potential to employ more than 10 and to achieve €1m in exports. These are start-ups that are typically highly innovative and are in a position to sell globally from their earliest stage.

The Programme for Government recognises that there is a multiplicity of enterprise and job support functions being carried out by local, regional and national agencies. The Programme also recognises the need to streamline such functions, to increase shared knowledge capability and resources while saving on administration costs. However a critical focus in achieving any such streamlining, is to ensure that we do not compromise on service delivery to the end user. While unnecessary overlap or duplication between agencies and organisations must be eliminated, as Minister for Enterprise, Trade and Innovation, it is my priority to ensure that above all else there is a coherent and cohesive delivery of State support to the indigenous business sector based on clear enterprise policy principles laid down by my Department.

In relation to the CEBs, I think that their current structure is, in any event, in need of review and reform to move away from their current set up of 35 separate, legal entities with the resultant administrative overhead costs and inflexible staff deployment that this entails. However, any changes to the CEB structure must not compromise the State's engagement with and support for our important micro-enterprise sector.

As the Deputy is aware, the restructuring of the CEBs has been an issue in the public domain since the publication of the Report of the Special Group on Public Service Numbers and Expenditure Programmes (the "McCarthy Report") in July 2009. Subsequent to the publication of the McCarthy Report, previous Ministers and Departmental officials have had a variety of consultations and discussions with the main stakeholders involved, including CEB senior staff and Boards, Enterprise Ireland and the Department of the Environment, Community and Local Government.

I am now actively considering the future structure of the CEBs and, in seeking to finalise any decision on their future, I can assure the Deputy that all points of view and, in particular, the needs of the end-user of the services of the CEBs will be fully taken into account.

Comments

No comments

Log in or join to post a public comment.