Written answers

Tuesday, 27 May 2014

Department of Jobs, Enterprise and Innovation

Small and Medium Enterprises Supports

Photo of Marcella Corcoran KennedyMarcella Corcoran Kennedy (Laois-Offaly, Fine Gael)
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334. To ask the Minister for Jobs, Enterprise and Innovation the amount of foreign direct investment in Industrial Development Agency Ireland supported companies in the cities and counties of Dublin, Limerick, Cork and Galway and in counties Laois and Offaly in the years 2010, 2011 and 2012; if the IDA have met its Horizon 2020 strategy aims in terms of regional development; and if he will make a statement on the matter. [22411/14]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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I am informed by IDA Ireland that in the three year period 2010 to 2012 inclusive, IDA Ireland has paid a total of €221,920,153 in grant aid to its client companies in the cities and counties of Dublin, Limerick, Cork and Galway and in counties Laois and Offaly. Detail of the amounts paid in respect of each county in respect of each of the years 200, 2011 and 2012 are set out in the attached tabular statement.

The IDA Ireland Strategy for the period 2010 to 2014, “Horizon 2020”, set an ambitious regional economic development target of 50% of investments in regions outside Dublin and Cork and this has proven to be a challenge. During the period 2010 to 2013, approximately 35% of all FDI announcements were in locations outside of Dublin and Cork, while 40% of all FDI site visits by potential investors were to locations outside of Dublin and Cork. In terms of IDA supported job numbers, the latest figures to hand which are contained in the Forfás Annual Employment Survey, 2013 show that 72,500 people, roughly 44% of the total employment in IDA Ireland’s base of companies including those that were former clients of Shannon Development, are located outside of Dublin and Cork.

It must be acknowledged that some regional locations outside of Dublin and the main urban centres already facilitate the presence of a large number of multinational companies who have invested over the years, span multiple sectors and employ significant amounts of people. The primary opportunity for regional locations is in respect of the existing client base and potential further investment opportunities from same. Approximately 70% of all FDI investments won by IDA Ireland is from the existing client base.

Under the Action Plan for Jobs 2014, IDA Ireland and Enterprise Ireland are working with my Department to develop a framework for a Regional Enterprise Strategy to better integrate the efforts of enterprise agencies and the other regional stakeholders in building enterprise based on sustainable competitive advantage of the region. This exercise will complement the in-depth analysis of our FDI strategy which is currently being undertaken by Forfás and which will take account of factors such as key trends emerging in FDI best practice internationally, Ireland’s strengths in attracting FDI and any changes to the EU’s State Aid Rules, which will come into effect on 1stJuly, 2014. The results of these two exercises will form the basis of IDA Ireland’s strategy from 2015 onwards.

Table showing IDA Ireland grant payments to its client companies in the cities and counties of Dublin, Limerick, Cork and Galway and in counties Laois and Offaly in each of the years 2010, 2011 and 2012

-201020112012Total
Cork (city and county )€20,119,751€15,092,610€14,308,619€49,520,980
Dublin (city and county )€46,420,938€43,043,936€22,156,125€111,620,999
Galway (city and county )€9,448,677€14,107,397€12,252,609€35,808,683
Limerick (city and county )€5,104,862€7,801,591€11,209,46224,115,915
Laois €274,324€21,182€0€295,506
Offaly €211,870€338,200€8,000€558,070

Photo of Tommy BroughanTommy Broughan (Dublin North East, Independent)
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335. To ask the Minister for Jobs, Enterprise and Innovation his plans to ensure that the business development manager grant for local small businesses and enterprise centres will be continued in 2015. [22425/14]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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I have been informed by Enterprise Ireland that since the launch of the first Community Enterprise Centre scheme in 1989, €64 million has been approved by Enterprise Ireland for the development of Community Enterprise Centres across the country. Many centres were developed in areas of low employment and population, with the support of Enterprise Ireland, Local Development Groups and other local organisations.In January 2012, Enterprise Ireland introduced a €2m fund to support the appointment of Business Development Managers to sustain and scale up tenants and employment numbers within Community Enterprise Centres that were previously funded by Enterprise Ireland. At present, there are 46 Business Development Managers in the network of centres, which have been supported by Enterprise Ireland under the 2012 Community Enterprise Centre Business Development Manager Scheme.

I am aware that Enterprise Ireland is reviewing the Business Development Managers Scheme and I expect them to report back to me shortly on this matter.

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