Niall Collins (Limerick County, Fianna Fail)
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272. To ask the Minister for Jobs, Enterprise and Innovation the impact the recent decision by the United Kingdom to leave the European Union will have on policy decisions pertaining to sustaining employment levels, national competitiveness levels and wage growth in the short and medium term; and if she will make a statement on the matter. [18990/16]

Mary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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On June 24th the UK voted to leave the European Union. This decision has significant short-term and long term implications for Ireland. Economically, the uncertainty arising from the outcome of this decision in the short term, has resulted in a weakened exchange rate, stock market volatility and lower growth prospects for the UK economy. Due to our close and well established ties with the United Kingdom, the outcome of the referendum has particularly direct consequences for Irish growth and trade prospects.

The economic and political implications and timing of Brexit – and indeed the institutional arrangements between the UK and EU, and between Ireland and the UK are unclear at this juncture. Notwithstanding this considerable uncertainty, the immediate implications for Ireland of the UK leaving the EU are being addressed by Government. The Government has undertaken careful planning in recent months for the contingency of this result, and we will now take this work forward to ensure that we respond appropriately, and that Ireland’s interests are represented fully in the negotiating process. On June 24th we published a contingency plan outlining our whole of Government response.

While there is a lack of clarity as to how the negotiation process will proceed, I will be working to ensure that there is certainty as early as possible on the terms of future trading relationships. The UK will remain an attractive market for many Irish companies, with a population of over 65 million people. I have met with and will continue to engage intensively with our enterprise development and promotional agencies and other stakeholders and representative bodies. They will be working with enterprises to support their adjustment to the new arrangements in due course. Similarly, the UK is the third largest investor in Ireland and I will endeavour to ensure the impact on those relationships is minimised. I, together with the enterprise agencies under my remit, will also ensure that businesses, investors and potential investors in Ireland are fully informed of Ireland’s continued commitment to the EU and of developments as they unfold.

Ireland is ranked first in the eurozone in the 2016 IMD Global Competitiveness Index and it is important that we continue to sustain that position. As Minister for Jobs, Enterprise and Innovation, I consider it vital to retain a sharp focus on maintaining our own competitiveness for trade and investment. In particular in relation to areas such as costs, it is important that we continue to provide a stable macroeconomic environment and public finances during the adjustment period. We need to continue to invest in the areas that will underpin future enterprise growth including in innovation and research, skills and address infrastructure bottlenecks. We need to sustain our core strengths for inward investment namely a strong pool of highly skilled, multilingual workers in the only English-speaking country within the Eurozone. We will continue to provide barrier-free access to an EU market of over 450 million consumers.

Enterprise 2025, Ireland’s National Enterprise Policy, sets out our vision for Ireland to be the best place to succeed in business, delivering sustainable employment and higher standards of living for all. Enterprise 2025 highlighted the importance of sustaining the progress made on diversifying to non-UK markets and we will continue to support enterprises in that regard. We will continue to implement Enterprise 2025 through the Annual Action Plan for Jobs. We will work across government to progress any additional specific measures necessary to sustaining and growing jobs in the 2017 Action Plan for Jobs.