Bruton: Enterprise capital budget at highest level

The Minister for Jobs, Enterprise and Innovation, Richard Bruton has announced that his department has secured an increase in its capital budget, from €508m to €514m in 2012.

The minister said his department's budget has been set at "its highest ever level" and "reflects the priority accorded to job-creation by this Government".

The Government's five-year capital programme has increased the Enterprise Ireland capital budget in 2012 by 4%, while the number of start-up Irish companies to be supported in 2012 will go up by 10%.

The minister also said that new technology centres in Cloud, E-learning and Financial Services will be started in 2012and the IDA capital budget to enable delivery of the “Horizon 2020” strategy will be protected over the period of the programme.

Mr Bruton said: "This Government is determined that, alongside the very painful budgetary decisions we have to make, we must implement our plan for economic recovery and job creation.

"That is why, at a time of declining resources, the Enterprise capital budget is not only being maintained but is receiving a small increase in 2012 to its highest level ever. In the context of total capital cuts of €750m in 2012, this represents a major statement of government priorities. This will mean that my Department and its agencies will be able to continue current levels of spending on job-creation, as well as increasing the scope of some crucial programmes and implementing some new measures.

"As I have said before, if we are to turn this economy around and get people back to work in the numbers we need, we must not only aim to attract world-leading companies to Ireland but we must also seek to grow world-leading companies in Ireland. Only an indigenous engine of growth will drive the economy to recovery. That is why the bulk of the extra resources will be spent on supporting high potential Irish companies start up, expand, and grow to a size where they can support large numbers of jobs.

"Changes to the way capital budgets will be managed in my Department in future will mean that, with proper management, there will be substantially more funding to spend than the Exchequer allocation. I am satisfied that, as a result of these changes, my Department’s capital budget in 2013 can remain at or within 5% of its 2012 levels."

The five-year capital programme announced today will also allow:

* A 20% increase in the number of Innovation Partnerships

* €18million spend on Innovation Fund Ireland in 2012 to further improve the Irish venture capital industry

* Full support in 2012 for the SFI research community of over 3,000 researchers, including research teams working with over 500 industry partners

* Maintenance of the Programme for Research in Third Level Institutions

* Doubling the number of Technology Innovation Development Awards to 200 in 2012

* Full maintenance of the County Enterprise Boards’ budget