Bernard Durkan (Kildare North, Fine Gael)
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116. To ask the Minister for Jobs, Enterprise and Innovation the extent to which he continues to be in a position to encourage and facilitate job creation through the aegis of small and medium sized enterprises in the manufacturing and services sectors in the next 12 months; the degree to which current indicators remain positive in this regard; and if he will make a statement on the matter. [29283/15]

Richard Bruton (Dublin North Central, Fine Gael)
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Small and medium enterprises (SMEs) across all sectors of the economy are central to Government’s objective of creating sustainable full employment and to ensuring that all our people have the opportunity to engage in rewarding and well paid employment. The role of SMEs in job creation can hardly be overstated, as we know from research by the Central Bank that two-thirds of new jobs are created by firms in the their first five years. It is in this context that we have placed a key focus on promoting entrepreneurship and scaling of businesses in manufacturing and services sectors at the heart of the Action Plan for Jobs.

This focus on entrepreneurship and SMEs in Action Plan for Jobs is having a positive impact. As of Q1 2015, there were an additional 104,00 at work in the economy since the launch of the first Action Plan for Jobs in 2012, which achieved and exceeded the Government’s target of 100,000 extra at work by 2016. The services sector made the largest contribution to the achievement of the Government’s target of 100,000 more at work. Following a number of years of decline in employment from 2007, the manufacturing sector has also recorded increases in job numbers since 2011.

To achieve our ambition of sustainable full employment, jobs growth in export oriented manufacturing and services SMEs will be essential over the next twelve months and beyond. The 2015 Action Plan for Jobs sets out a comprehensive range of measures to support entrepreneurship, SMEs and the self-employed in the areas of education and research, business environment and supports, innovation and access to finance, networks and mentoring; and, access to markets. Increasing entrepreneurial activity is a Disruptive Reform in the Action Plan for Jobs for 2015. Our key priority is driving implementation of the actions in the National Entrepreneurship Statement, which was published in October last year and to achieve the ambitions targets set out for a 25% increase in the number of start-ups and in the scaling and sustainability of new enterprises.

The launch of the Local Enterprise Offices (LEOs) was a major reform delivered in 2014 and the clients of the LEOs increased employment by 4,012 last year to 31,326 jobs throughout the country. In 2015 the LEOs will have ambitious and robust county strategies and targets for start-ups, enterprise engagements and supports to be effective first-stop-shops for enterprise information and supports and launch an Entrepreneur Partnering Programme.

My Department through its agencies will build on the 2014 success of the awards programmes such as Ireland’s Best Young Entrepreneur with a renewed programme for 2015.

Enterprise Ireland works to increase the number of companies starting-up, succeeding, expanding, exporting and ultimately creating jobs in Ireland. EI’s support system for young companies includes help with business planning, mentoring and development advice, feasibility funding and finance, often in the form of equity investment, as appropriate to the founder’s ambitions and the company’s potential and stage of growth. Enterprise Ireland has set itself an ambitious target of 550 new and early start-ups supported by 2016. Enterprise Ireland also continues to support the development of the Seed and Venture Capital and Business Angel sectors to increase the provision of early stage funding to support entrepreneurs and early stage companies.

The launch of the simplified Startup Refunds for Entrepreneurs Scheme (SURE) in 2015 will provide additional finance for entrepreneurs. In many cases the lack of a first reference sale is a key barrier to accessing funding at an early stage. Early intervention through entrepreneur development programmes such as New Frontiers and others workshops and accelerator programmes helps companies accelerate their business development and to build up the skills and contacts needed to successfully start and grow. EI will support 130 new Entrepreneurs via the New Frontiers programme in 2015.

A range of agricultural related measures are being implemented including steps to maximise available agricultural land with measures to encourage long term leasing. We are also continuing to supporting the tourism sector with retention of 9% VAT rate

Bernard Durkan (Kildare North, Fine Gael)
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117. To ask the Minister for Jobs, Enterprise and Innovation the extent to which he expects European Union assistance by way of innovation and technology to directly benefit the indigenous business sector over the next five years; the likely effect on the economy as a result; and if he will make a statement on the matter. [29284/15]

Bernard Durkan (Kildare North, Fine Gael)
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124. To ask the Minister for Jobs, Enterprise and Innovation the degree to which he expects science and technology to play a role in job creation; and if he will make a statement on the matter. [29292/15]

Bernard Durkan (Kildare North, Fine Gael)
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125. To ask the Minister for Jobs, Enterprise and Innovation if he is satisfied at the extent to which science and innovation continues to play a part in evolution of our industrial base, in the manufacturing and service sectors; the degree to which these sectors have attracted European Union support, by way of grant-aid, or otherwise; and if he will make a statement on the matter. [29293/15]

Richard Bruton (Dublin North Central, Fine Gael)
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I propose to take Questions Nos. 117, 124 and 125 together.

The importance of science, technology and innovation (STI) to Ireland is recognised by the Government as being crucial to growth in our indigenous and FDI sectors and plays a key role in job creation. Investment in STI is an essential component of supporting an innovative and enterprising economy. It assists in creating and maintaining high-value jobs and attracts, develops and nurtures business, scientists and talented people, ensuring Ireland is connected and respected internationally. Statistics show that RDI performers are gaining an increasing share of sales, export sales and are accounting for increasing shares of employment.

My Department and its agencies are focused on the development and support of internationally trading manufacturing and services firms in Ireland, and have a clear and steady focus on the potential and opportunities that exist and can be created by prioritising innovation and technology as a key driver of success. Enterprise Ireland, IDA Ireland and Science Foundation Ireland provide a spectrum of innovation and science/technology development programmes that deliver financial, technical and experiential support to help companies become more innovative, encourage and support competitiveness, and help them grow their sales and exports in order to create a climate in which sustainable employment will grow and expand.

Evidence, from both the EU and internationally, shows that the Government’s strategy of accelerating the economic and societal return on our STI investment is paying off. Globally, Ireland is ranked:

- 1st in the world for the availability of skilled labour [Source: IMD World Competitiveness Yearbook];

- 11th in the Global Innovation Index 2014 out of 143 countries [Source: Cornell University, INSEAD and WIPO 2014]

- 13th in the world for university-industry collaboration on R&D [Source: Global Competitiveness Report 2013-2014]

- Ireland’s global ranking in terms of citations was 16th in 2014 – up 4 places from 2013 [Essential Science Indicators Thomson Reuters]

In addition, Ireland has improved its position for 2 years in a row in the European Commission Innovation Union Scoreboard according to the 2015 edition. We are now ranked 8th amongst the 28 EU Member States moving from 9th place in 2014 and 10th place in 2013. It is particularly encouraging to see that Ireland is the overall leader in two specific dimensions: Innovators – which measures how innovative firms are; and Economic Effects - which captures economic success stemming from innovation in terms of employment, revenue and exports.

With a budget of just under €80 billion and covering the period 2014 to 2020, Horizon 2020 is the EU’s new programme providing access to European funding to researchers, research organisations and industry to engage in leading edge research, thus facilitating European economic recovery. Horizon 2020 is a core part of Europe 2020, the Innovation Union and the European Research Area and is responding to the economic crisis by investing in future jobs and growth, addressing people’s concerns about their livelihoods, safety and environment and strengthening the EU’s global position in research, innovation and technology.

Ireland performed to a very high standard in the preceding programme, the Seventh Framework Programme for Research, Technological Development and Innovation 2007-2013 (FP7) with almost €600 million in funding to participants in Ireland having been allocated from call results to date, thereby achieving the national target set for Irish participation in this programme. It is important to remember that this funding is provided on a competitive basis, with excellence being the key award criterion.

In December 2013, the Government approved a national strategy for participation in Horizon 2020 together with an ambitious target of €1.25 billion in funding to Ireland over the lifetime of Horizon 2020. The strategy sets out a comprehensive range of actions designed to maximise Ireland’s participation in the programme and achieve the target, involving all of the key Departments, agencies and research performers. A Horizon 2020 High Level Group, under the chairmanship of the Department of Jobs, Enterprise and Innovation, has been established to oversee the implementation of the national strategy. This includes identifying key areas of opportunity where Irish researchers, agencies and companies can maximise their participation in the programme. During the first nine months of Horizon 2020, Ireland has been awarded €97 million – our target for the full year is €100m.

A national support network of National Contact Points coordinated by Enterprise Ireland has been established, comprising knowledgeable and experienced practitioners from relevant Departments and agencies, charged with helping companies and academics access the funding opportunities presented by Horizon 2020.

I am confident that, building on our successful performance in FP7 and supported by our national strategy and a strong national support network, Irish companies and multinational corporations based in Ireland will continue to have excellent support to compete for Horizon 2020 funding.