Written answers

Thursday, 15 November 2018

Department of Jobs, Enterprise and Innovation

Brexit Supports

Photo of Billy KelleherBilly Kelleher (Cork North Central, Fianna Fail)
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99. To ask the Minister for Jobs, Enterprise and Innovation further to Parliamentary Question No. 113 of 8 November 2018, the schemes that are being developed between her Department, the Directorate General for Competition and the Directorate General for Agriculture and Rural Development on the development of schemes that do not fall under the General Block Exemption Regulation; if these schemes will be operational before 29 March 2019; and if Exchequer funding will be required. [47650/18]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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My Officials are working with DG Competition and DG Agriculture on the development of schemes under the State aid Framework and the European Guidelines for State Aid in Agriculture, Forestry Sectors and Rural Areas.

The guidelines set out the conditions and criteria under which aid in these areas would be considered compatible with the internal market and we see potential in these guidelines to support investment of enterprises in Ireland's Food sector and other Brexit impacted sectors.

Part of this process is to explore our options to include small midcaps in the Future Growth Loan Scheme announced in Budget 2019. Support under this scheme for SMEs is being addressed under the General Block Exemption Regulation (GBER).

DG Comp and DG Agri are working with us to progress matters as quickly as possible.

Should any further Exchequer funding be required, this would be a matter for discussion with the Department of Public Expenditure and Reform.

Photo of Billy KelleherBilly Kelleher (Cork North Central, Fianna Fail)
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100. To ask the Minister for Jobs, Enterprise and Innovation the number of participants on the rescue and restructuring scheme since it was established in tabular form; and the amount drawn down to date. [47651/18]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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At the outset, I want to assure the Deputy that my Department and agencies are working proactively with Brexit exposed firms to support their contingency planning and business transformation investments to prepare for Brexit potential impacts, to protect jobs and to build resilience, so that they do not reach the stage of needing rescue support.

The rescue and restructuring scheme was put in place for Undertakings in Difficulty and operates under the EU Rescue and Restructuring Guidelines. Under the scheme, an undertaking is considered to be in difficulty when, without intervention by the State, it will almost certainly be condemned to going out of business in the short or medium term.

This scheme was put in place as it was considered prudent to have contingency measures in place so that my Department can respond swiftly to changing circumstances as necessary. However, I did not, nor do I expect that there will be a need for the State to provide rescue/restructuring aid to companies as there are supports in place that enterprises can avail of before they reach the point where they are almost certainly at the stage of being in severe difficulty and at risk of going out of business. This scheme is part of a belt and braces approach to supporting enterprise.

To date, no enterprise has sought rescue and restructuring aid.

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