AQW 37703/11-15


Ms Claire Sugden
Independent
East Londonderry


Tabled Date: 20/10/2014
Answered On Date: 04/11/2014
Priority Written: No


Question:
To ask the Minister of Enterprise, Trade and Investment for her assessment of the (i) bureaucracy barriers with Invest NI in respect of encouraging inward investment in Northern Ireland; and (ii) information requested of companies wishing to locate in Northern Ireland, compared to information requested in the Republic of Ireland.


Answer:
(i) Invest NI competes in a very competitive international market for inward investment.  This involves a significant element of business development, which includes running tailored inward visits for potential international investors.  This is a proactive process, which hopefully results in Northern Ireland being considered as a suitable investment location.
As the relationship with the potential investor develops, both parties will exchange information.  The company will carry out detailed due diligence on Northern Ireland, including skills, operating costs, academic linkages and property.  Invest NI will carry out detailed due diligence on the company and its business plan, ahead of securing funding and agreeing a Letter of Offer with the company.  This process is not considered to be bureaucratic by the companies as the majority have been through a similar process to raise money from investors, Banks, Venture Capital and for some, the Stock Market.
Invest NI recognises that this engagement process is central to building a positive relationship with potential and existing investors.  This process is independently reviewed, with results from Invest NI’s 2014 Annual Customer satisfaction survey showing that for those who received funding from Invest NI, that 79% were satisfied with the application process and 73% were content with the time taken to approve their application. 
                               
Therefore, Invest NI is confident that there are no unnecessary barriers in respect of encouraging inward investment in Northern Ireland.
(ii) Invest NI has not carried out a detailed analysis of due diligence and approval processes across the UK and Ireland, however it has met with a number of the development agencies, including those in the Republic of Ireland, to share experiences and to discuss matters of mutual interest.  It is clear from these discussions that the due diligence and approval processes are very similar.  This should be expected as the funding schemes run by Invest NI and the Irish development agencies are governed by the EU.  There should be consistency in approach, funding levels and the kinds of information requested.
Therefore, Invest NI is confident that the information requested of companies wishing to locate in Northern Ireland, would be comparable to information requested in the Republic of Ireland, and in other parts of the UK.