Ireland supportive of EU business initiatives

Tánaiste meets Enterprise and Industry Commissioner Günter Verheugen

The Tánaiste and Minister for Enterprise, Trade and Employment, Ms Mary Coughlan, T.D., today (Thursday 26th February 2009) met with Mr Günter Verheugen, Vice President of the European Commission and Commissioner for Enterprise and Industry in Dublin.

Speaking after her meeting the Tánaiste said “The EU Competitiveness Council has always recognised that Europe must be fit to compete globally. The collaboration between the Commission’s Directorate General for Enterprise and the member States is producing good concrete results. Maintaining competitiveness and strengthening the SME sector, in particular, are frontline policy objectives not only in Ireland but right across the EU, and we endorse those measures contained in the Small Business Act (SBA) for Europe and other EU Initiatives which best support these objectives. The SBA reflects many of the issues identified and addressed by the Small Business Forum Report, which are already being implemented as part of our policies in assisting SMEs”.

The Tánaiste repeated her support for the drive towards better regulation and reducing administrative burdens and costs. Critical investment decisions by companies over the coming months will be predicated on the ability of our economy to remain an attractive place to do business. As part of an EU Initiative, we have agreed to reduce by 25% the administrative burdens on business by 2012. I am leading this cross-Government project,” the Tánaiste said. Each Department is identifying the Information Obligations that are the main source of red tape cost.

Better use of ICT, email and standard online forms, such as invoices, will assist business and cut down on “red tape”.

The Tánaiste said “It is recognised internationally that the burden of regulation always falls more heavily on smaller firms. For this reason, the benefits of the simplification programme we are putting in place will be particularly important for SMEs. The process of measurement and simplification requires high levels of interaction between business and Government, through surveys, interviews and workshops. Full participation by business in this process will be essential for its success.

The second leg of our approach to reducing red tape costs for business deals with new regulation. While the 25% target will deal with existing legislation, the Government has also decided to revise the approach to Regulatory Impact Analysis (RIA) to include administrative burden measurement”.

The Tánaiste added: “The EU’s great strength lies in the ability of member States to support one another. In this time of crisis and economic upheaval, the EU is working in a coordinated way to restore confidence and bring about recovery. The Tanaiste went on to say that “In working together however it is vital that we should avoid regressing into protectionist policies. I am confident that the EU Commission’s oversight and monitoring in this area will protect the common good”.

In reference to the Lisbon Treaty, the Tánaiste stated that “Ireland’s relationship with the EU and our future role in Europe will be defined by the result of the forthcoming referendum on the Lisbon Treaty. It is no exaggeration to say that the decision which Ireland makes will be as momentous as the decision facing the people when we first decided to join the then EEC. Not ratifying the Lisbon treaty risks placing Ireland at the political and economic periphery of Europe. I am convinced that any weakening of our position in the EU, particularly in these turbulent times, will cast serious doubts on Ireland’s attractiveness as a good place to invest leading ultimately to job losses. The other EU member states and the Commission are working with us to address the key concerns which the Irish people have expressed about the Lisbon Treaty”.