Written answers

Wednesday, 26 July 2017

Department of Jobs, Enterprise and Innovation

EU State Aid Negotiations

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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82. To ask the Minister for Jobs, Enterprise and Innovation the detail of each specific EU Competitiveness Council Ministers' meeting at which she made the case for the need for a revision of state aid rules of Regulation (EU) No 1407/2013 to protect Irish enterprises and related jobs during the UK’s two-year exit phase from the EU and the subsequent transition phase; the date of every such meeting at which this was raised, in tabular form; the status of progress being made at EU level to increase current state aid thresholds to support Irish enterprises in the event of a hard Brexit; and if she will make a statement on the matter. [36711/17]

Photo of Frances FitzgeraldFrances Fitzgerald (Dublin Mid West, Fine Gael)
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Since the Brexit Referendum, my predecessor, Minister Mary Mitchell O'Connor, attended three meetings of the Competitiveness Council on 29 September 2016, 28 November 2016 and 20 February 2017.  State Aid rules did not feature on the agenda.  However, in our engagements with both EU Commissioners and Ministers from other Member States since the UK decision, Brexit has been a central part of the discussions at these meetings.  Last autumn, officials of my Department initiated discussions with DG Competition to sensitise the Commission to potential difficulties likely to be encountered by Irish firms from the Brexit referendum result. I also informed Michael Barnier, the EU's chief Brexit negotiator, of these discussions when I met him in Brussels on 10th July 2017.  These discussions continue at the highest levels to address all relevant issues relating to any proposals emerging from our work with industry.

The Government is conscious of the need to consider the types of supports that Irish businesses may require to address challenges arising as a result of the Brexit Referendum, which is likely to represent a structural shift in the UK trading relations.  Short, medium and long term responses from market diversification through to price repositioning will be needed.

On foot of extensive engagement with industry, my Department is working with the Department of Finance, the Department of Agriculture, Food and the Marine, Enterprise Ireland and the SBCI to develop appropriate, tailored and targeted responses. This work, along with market developments as a result of Brexit, and ongoing engagement with the business community, will inform further discussions with the Commission and the development of any further initiatives to business.

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