Written answers

Wednesday, 29 April 2015

Department of Jobs, Enterprise and Innovation

Social Enterprise Sector

Photo of Séamus KirkSéamus Kirk (Louth, Fianna Fail)
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67. To ask the Minister for Jobs, Enterprise and Innovation his Department's strategy in relation to social enterprise; if he has a strategic plan for this sector; the number of jobs created by social enterprises over the past five years; the net impact of these jobs on the economy; and if he will make a statement on the matter. [16909/15]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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The Programme for Government includes a commitment to develop a vibrant and effective social enterprise sector. A report on the potential of social enterprises to create jobs and to identify the actions required by Government and other relevant bodies and agencies, was commissioned and produced by Forfás in July 2013.

The Forfás report recommended the establishment of an Inter-Departmental Group (IDG) to develop and champion the sector. The group was established in October 2013 and is chaired by Minister of State Sean Sherlock.

The function of this group is to provide a coordinated approach from the Government sector to support the development of social enterprise in Ireland, to develop a policy framework for the provision of these supports and to examine the recommendations of the Forfás report in greater detail with a view to their implementation.

The Group also formally engages with the Social Enterprise and Entrepreneurship Task Force (SEETF), as the best representative group of the sector to progress the recommendations of the Forfás report. Since October 2013, the recommendations being examined by the group cover the areas of Policy Development, Capacity Building, Procurement, Funding and Finance, Developing Leaders, Harnessing Community Support and, Governance.

The Social Enterprise spectrum ranges from enterprises that are fully supported by the State through to a small number of commercially trading companies. Therefore mapping the sector and identifying the supports required is a challenge for policy makers.

My Department has no policy responsibility for the social enterprise sector. This lies with Minister Sean Sherlock who chairs the Inter-Departmental Group on Social Enterprise with secretariat support being provided by the Department of Environment, Community & Local Government. To this end my Department has no specific strategy in relation to social enterprise, however, there are many supports available to all entrepreneurs wishing to start up a business, and those that wish to expand businesses, with a viable commercial element.

Progress so far includes:

Social Inclusion and Community Activation Programme

Support for social enterprises has been included as an element in the new Social Inclusion and Community Activation Programme, under the Department of the Environment, Community and Local Government, effective from 1 April 2015.

Social Innovation Fund

The Department of the Environment, Community and Local Government has supported the establishment of a Social Innovation Fund (starting at €10m – matched 50:50 State/philanthropy) to support the growth of social innovations with the potential for transformative impact on critical social issues facing Ireland, including unemployment and the environment, with funding being provided from the Dormant Accounts Fund.

Local Enterprise Offices

The New Local Enterprise Offices which have been established will act as the first-stop-shop and sign-posting service to any enterprise that is commercially viable and meets the eligibility criteria set down by the Department of Jobs, Enterprise & Innovation.

Capacity Building/E.U. Funds

The group is exploring mechanisms to develop capacity in the sector and examine how best to access EU funds e.g. the new EU Employment and Social Innovation (EaSI) programme has a Microfinance and Social Entrepreneurship axis dedicated to support for access to micro-finance and social entrepreneurship.

Public Procurement

Preliminary research is also being undertaken on the inclusion of social impact clauses in public procurement policy.

Commission for the Economic Development of Rural Areas (CEDRA)

The Commission for the Economic Development of Rural Areas, CEDRA, published its report in 2014. The Report contained 34 recommendations focussed on supporting the medium term economic development of rural areas in the period to 2025. The Department of the Environment, Community and Local Government recently announced a fund of €2million euro for a pilot Rural Economic Development Zones (REDZ) initiative under CEDRA. In this context and to reinforce the diversity of potential for economic development identified in the report, both in rural areas in general and REDZ areas in particular,the REDZ pilot will be complemented by a Social Enterprise scheme.

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