Building a Prosperous and United Community

BUILDING A PROSPEROUS AND UNITED COMMUNITY

HM GOVERNMENT

Table of contents

Foreword ...... 3

1. Rebalancing the economy and building a shared future ...... 5

2. Unlocking projects to boost the Northern Ireland economy ... 13

3. Building greater links between the Government and Northern Ireland Executive to drive private sector growth ...... 18

4. Implementation of this agreement ...... 19

BUILDING A PROSPEROUS AND UNITED COMMUNITY

Foreword

The world leaders we look The First Minister and deputy forward to welcoming to First Minister’s proposals Fermanagh next week will see a include: society that has already made great strides forward.  A programme to reduce and ultimately eliminate all We are in a new phase where we of the so-called ‘peace can build on the hard-won walls’ by 2023. political stability and strengthen  10,000 United Youth the foundations for lasting peace Programme cross- and prosperity for future community placements for generations. young people;  Ten shared educational The Government and Executive campuses in five years; are committed to working and together to tackle the important  Ten shared neighbourhood challenges of: developments.

 rebalancing the economy The measures we are agreeing to meet the challenges of today, subject to formal today’s global race for ratification by the Executive, investment and jobs; and complement this plan. We need  tackling the long-term, the right economic strategy to entrenched divisions in promote a stronger private society. sector, and we need to build a more cohesive, shared society. Progress on both of these is vital This is a package that requires if we are to maximise Northern both the Government and Ireland’s potential. Executive to work imaginatively to help us move further towards The proposals in Together: a shared and prosperous society. Building a United Community, announced by the Executive’s We have agreed: leaders on 9 May, demonstrate a commitment to tackling division  An investment plan that and building a shared future. confirms we are on course The Government welcomes the to deliver the commitment plan and will work with the to £18 billion of capital Executive to help take it forward. funding over the period 2005-2017; 3

 £300 million investment Importantly, we have agreed a through enhanced capital potential mechanism for taking borrowing powers, and forward the devolution of Government top-ups to Corporation Tax if the PEACE IV and EU Government decides to devolve Structural Funding to these powers. support frontline projects; Next week, we will be  To continue Northern showcasing to the world an Ireland’s Assisted Areas increasingly outward looking Status coverage in order to society, open for business, help the Executive provide focusing on the steps needed to the targeted support that succeed in a competitive global has helped to promote over economy, and tackling divisions 3,000 new private sector within the community. jobs in the last three months alone; This agreement is a symbol of our ambitious vision: a genuinely  A new way forward on shared society that can fulfil its Enterprise Zones and economic potential and planning reform, as well as strengthen the foundations for initiatives to drive continued peace, stability and investment in prosperity for the future. infrastructure, promote new businesses and boost tourism.

Rt. Hon. David Cameron MP Rt. Hon. Peter Robinson MLA Prime Minister First Minister of Northern Ireland

Rt. Hon. Theresa Villiers MP Secretary of State for Northern Ireland Martin McGuinness MLA deputy First Minister

1. REBALANCING THE ECONOMY AND BUILDING A SHARED FUTURE

Investment to build a shared future the economy and delivering a shared and support jobs future.

1.1. The Government and Executive 1.4 Capital borrowing: To support are clear that it is only by building a the Executive’s investment in this area, shared and cohesive society that a stable the Government has agreed to a and prosperous future can be secured temporary extension to the Executive’s for Northern Ireland. Moving towards a capital borrowing facility under the shared society is essential if Northern Reinvestment and Reform Initiative Ireland is to maximise its economic (RRI). potential in the global race for jobs and investment.  The Government will make available up to an additional 1.2 The First Minister and deputy £50m in 2014-15 and in 2015-16. First Minister announced a substantial The additional borrowing will be new package of measures to build a used to help support specific shared future on 9th May. The package shared housing and education included: projects.

 A ten year programme to reduce  This £100m additional and ultimately eliminate all borrowing power will be “peace walls”; conditional on the Executive  10,000 United Youth Programme demonstrating progress on the cross-community placements for implementation of this strategy young people; and demonstrating a clear link  Ten shared educational campuses between specific projects and the in five years; and promotion of a shared society.  Ten shared neighbourhood developments. 1.5 PEACE IV: The Government and Executive recognise the important 1.3 On 23rd May, the First Minister role PEACE funding has played in and deputy First Minister published supporting cross-community projects to their new ‘Together: Building a United promote reconciliation and in tackling Community’ strategy, setting out a inequalities and disadvantage. As a detailed framework for Executive result of the EU budget negotiations, action to promote a shared society. the PEACE Programme has now FM/dFM will publish shortly a detailed successfully secured €150 million plan for the delivery of the shared funding for a future PEACE IV. future projects outlined on 9th May. The Government and Executive have now  The Government will provide agreed a package of additional measures an additional €50 million from to assist the Executive in rebalancing the UK Territorial Co-operation

budget to the PEACE IV Ireland’s overall allocation for programme, subject to the period 2014-2020 to around confirmation of the UK’s €457 million. European Territorial Co- operation allocation.  Proportionately, the UK Government will be providing a  The Executive will seek, where greater internal transfer of appropriate, to use this additional funding to Northern Ireland than funding to support the United any other part of the UK, Youth programme announced by reflecting the Government’s the First Minister and deputy recognition of the important First Minister on 9th May. The support that Structural Funds Executive will seek North-South could provide in promoting Ministerial Council agreement to enterprise and, in that way, ensuring that submissions to the support cross-community Special EU Programmes Body cohesion. put building a shared and integrated society at the heart of  The Executive will maximise the our objectives for the PEACE opportunity provided by these IV programme. additional funds to drive competitiveness and growth, 1.6 Structural Fund allocation: EU whilst also using the funding as Structural Funds play an important role far as possible in a way that is in promoting competitiveness and consistent with the objectives set enterprise, and have the potential to out in the programme of work support cross-cutting programmes to envisaged in the Together: Building build a shared and cohesive society. The a United Community strategy. Government and Executive recognise the concern that the EU criteria for the Boosting growth allocation of Structural Funds for the period 2014-2020 would have led to a 1.7 The Government and Northern 43% reduction in funding for Northern Ireland Executive have taken forward a Ireland. constructive and positive programme of work examining the potential for  The Government is committed devolving Corporation Tax powers to to revising the allocations of the Northern Ireland Assembly. Structural Funds envisaged by the EU criteria. We will ensure  The Government will take that around a further €181 forward further work on million of additional funding will Corporation Tax devolution and be available for Northern make a final decision on the Ireland, subject to European devolution of these powers no Commission approval and the later than the Autumn Statement ongoing negotiations with the 2014. EU Parliament on the EU Budget. This will take Northern  Following discussions between

the Prime Minister and the First devolution to the Welsh Assembly and Minister and deputy First the Government is currently Minister, the Government has considering these recommendations. explored the best means of taking forward legislation in the 1.10 The Government and Executive event of a positive decision to agree that the devolution of some devolve Corporation Tax further tax powers might have the powers. The Government’s view potential to enable local politicians to is that we would be able to respond in a more tailored way to the proceed using a stand-alone Bill social and economic challenges that to make the necessary legislative Northern Ireland faces. The change. Government and Executive have already agreed to devolve to the  In the event that the Northern Ireland Assembly the power Government did decide to to set Air Passenger Duty on long-haul devolve the powers, we would flights, helping to preserve Northern introduce the stand-alone Bill in Ireland’s vital air link to the United the normal way with the aim of it States. becoming law before the prorogation of Parliament prior  The Government and to the 2015 General Election. Executive will examine the potential for devolving specific  The Government has set out to additional fiscal powers. the First Minister and deputy First Minister a way forward on  This work will include examining this issue between the signing of the potential for a corresponding this pact and autumn 2014. and ongoing increase in the Executive’s annual capital 1.8 The Government and Executive borrowing limit, proportionate to recognise that there is a need to any additional revenue raising examine the potential to devolve powers and considering wider additional fiscal powers and increase the issues of affordability. financial accountability of the Executive.  The Government and Executive recognise that 1.9 At present over 90% of the decisions around any further Northern Ireland Executive’s fiscal devolution require careful expenditure is funded by the Block consideration and analysis. Grant, which is provided by the UK Following this examination, Government from UK-wide revenues. recommendations for further The Scotland Act 2012 provided for the devolution will be put to devolution of substantial revenue Executive and Government raising powers to the Scottish Ministers by autumn 2014. Parliament. In Wales, the independent Silk Commission has published its Part 1 Report on the case for further fiscal

Providing targeted support to the aim is to move away from the private sector need to provide such state support which is why the 1.11 Assisted Area Status: Northern statutory basis for automatic Ireland faces unique challenges in the 100% Assisted Area Status will context of a need to rebalance its be removed. economy and address disadvantage and continuing divisions. The current 100%  The Executive will continue to Assisted Area status coverage enables use Selective Financial Assistance the Northern Ireland Executive to Programme post 2014 to drive provide targeted support to a range of investment and business private sector led projects throughout expansion in Northern Ireland. Northern Ireland. Selective Financial In the most recent financial year Assistance provided through Invest NI ended 31 March 2013, Invest has helped to promote over 3000 new Northern Ireland promoted jobs in Northern Ireland in the last almost 7,400 new jobs and three months alone. secured nearly £608m of investment across R&D, skills 1.12 As part of this economic and jobs. Creating new jobs will package, the Government will continue remain central to the Executive’s with 100% Assisted Area Status strategy to rebuild and rebalance coverage for Northern Ireland. This the Northern Ireland economy. policy will be retained for at least the medium term. The Government 1.13 Enterprise Zones: Enterprise recognises that this is a key priority for Zone status can help businesses in the Northern Ireland Executive and we selected zones by enabling business rate will show flexibility on this issue in the discounts, relaxed planning regulations context of measures the Executive will and other incentives, such as enhanced develop as part of this package to boost capital allowances (ECAs) in certain the private sector. designated areas.

 The Government will ensure 1.14 Many of the benefits associated that Northern Ireland continues with Enterprise Zones in England are to benefit from 100% Assisted the responsibility of the NI Executive, Area Status for at least the which has taken action to enhance medium term. As part of any UK Northern Ireland’s telecommunications wide mid-term review of 2014- infrastructure; reform the planning 2020 Assisted Area Status system; and introduce non-domestic coverage, we may look again at rating policies which support business Northern Ireland’s economic growth. position. However, in any such review, we will continue to have  The Government would be regard for the particular willing to consider designating a challenges faced by Northern range of sites within any Ireland before embarking on any Northern Ireland Enterprise possible changes to coverage Zone as designated areas for levels. In the longer term, our 8

ECAs, should the Executive December 2013, allowing the propose them. Businesses in Executive to take forward its these areas would then be recommendations rapidly. The entitled to 100% first-year Government will work with the allowances on qualifying plant Executive to share best practice and machinery expenditure, from its Red Tape Challenge and subject to state aid other Better Regulation considerations. initiatives.

 The Government will enable the 1.16 Research and Development: Executive to increase the number The Government and Executive of areas which benefit from support the aim to increase business ECAs beyond those funded by spending on R&D in order to help the UK Government, if the Northern Ireland diversify and deepen Executive agrees to meet the its export base. While R&D spending in incremental cost and subject to Northern Ireland is now wider state aid considerations. proportionately on a par with the UK average, we recognise that R&D  The Executive will consider investment remains below the spending how the potential for designating in comparable small economies Enterprise Zones, when elsewhere in Europe. combined with other available economic development tools  The Government and such as Selective Financial Executive recognise the Assistance, would be of benefit importance of Bombardier as to the Northern Ireland economy one of Northern Ireland’s largest and, if appropriate, propose sites private sector employers. Subject that could benefit from to necessary approvals, including Enhanced Capital Allowances by clearance under State Aid rules October 2013. from the European Commission, the Northern Ireland Executive 1.15 Reducing business red tape: will provide a £12 million R&D We recognise that reducing regulatory grant to enhance its engine burdens on business is a pressing nacelles design, development and priority. Businesses responding to the manufacturing capability. Government’s consultation paper on Rebalancing the Northern Ireland  Subject to meeting value for economy consistently cited the need to money criteria, and in reduce red tape for companies in recognition of its strategic Northern Ireland. importance to the UK, the Government will provide up to  The Executive will conduct a £8 million over the next five review of business red tape to years to help secure the future of reduce the regulatory burdens this technology, which we facing businesses in Northern recognise would also increase the Ireland. The review will report by opportunity of securing work on

future aircraft programmes. This Government will work jointly to combined funding from the maximise the positive legacy of Government and Executive has the G8 summit in Northern the potential to create at least 230 Ireland. According to a recent new jobs. report by Barclays, the summit has the potential to provide a  The Government is developing boost to the economy around the the business case to provide up time of the Summit, and could to £3 million additional funding generate significant longer term to support Aerojet to set up a benefits though tourism, FDI UK wide partnership that will and exports. build a facility to test rocket engines in Northern Ireland  The Executive and under the National Space Government will build on the Technology Programme. summit by delivering a major G8 branded Investment  The Government will ensure Conference in Northern Ireland that Northern Ireland benefits in October. The Prime Minister from access to the £2 billion will attend this conference to Aerospace Technology Institute champion investment in which will support research and Northern Ireland. development in this key sector.  The Executive is developing an  The Executive and International Relations Strategy Government will work together that will be informed by as part of the process of Ministers’ recent overseas visits implementing this deal to to countries with potential for establish whether there is more long-term benefits to Northern that the Executive and UK Ireland. This strategy will provide Government can do jointly to a focus and brand identity across stimulate spending on R&D in the Executive and its agencies, Northern Ireland. such as Invest NI, to promote specific areas and sectors of work Promoting Northern Ireland as a in those countries. This work will great place in which to invest also build on the goodwill and relationships built up through 1.17 The Government and the inward visits to Northern Executive are working together to Ireland. The results of this will be maximise the opportunity provided by to increase the Executive’s the G8 summit to showcase Northern presence in key markets, Ireland as a great place in which to do strengthen our international business. We now need to capitalise on economic position and support the global exposure Northern Ireland investment, trade, tourism, will receive from hosting the summit. agriculture, peace building and conflict resolution, science and  The Executive and technology development.

1.18 The Executive’s Economic which they may use our credit Strategy has prioritised export-led insurance policy to allow them to economic growth as the key means of provide more working capital to rebalancing the Northern Ireland their exporter customers. economy towards one characterised by a sustainable and expanding private  The Executive will bring sector that will deliver growing forward proposals for employment and prosperity for all. consideration by the Government on an Export Tax  In recognition of the importance Credit, including forecast of boosting trade and economic benefits for Northern investment, the Government has Ireland. tasked our Embassies in emerging markets to promote  The Executive recognises that a jobs and growth in Northern positive outcome to the cross- Ireland. UKTI and Invest NI will party work on issues like deepen and strengthen their parading and flags is essential to work to support and develop provide a stable, long-term their key sector offers on ICT platform to promote investment. and creative industries; business To maximise Foreign Direct and financial services; renewables Investment it is vital that we can and agri-food. point to substantial ongoing efforts by the Executive to build  The Government will work with a shared and prosperous future the Executive to increase the for the people of Northern number of banks and brokers we Ireland. work with in Northern Ireland who provide export finance in Providing a boost to tourism in order to ensure our products are Northern Ireland widely known and available to eligible exporters. 1.19 The Executive is capitalising on the increased interest levels and  The Government continues to awareness generated by supporting a work closely with participating number of opportunities in 2013 to banks to identify improvements further increase Northern Ireland’s to the Bond Support and Export profile on a world stage. These include Working Capital Schemes. Under the UK City of Culture, World Police the schemes, UK Export Finance and Fire Games and the hosting of the is able to provide guarantees to G8 Summit in Fermanagh. The banks in support of an exporter’s Government and Executive recognise working capital and bonding the lasting benefits that hosting the G8 requirements. This can help summit in particular can bring to the increase the size of the available tourist sector in Northern Ireland. The facility. We will also continue to tourist sector has huge potential, but we work with invoice finance recognise that the contribution of providers to explore ways in tourism to the economy in Northern

Ireland remains lower than in the rest appropriate safeguards, and to of the UK. We will work together to agreement between the UK and maximise visitor numbers to Northern Irish Governments, we will work Ireland over the coming decade. towards a pilot visa waiver reciprocation by the UK which 1.20 The Government recognises would permit visitors from some there would be benefits from increasing destinations to enter Northern the number of visitors to the Republic Ireland and Great Britain using of Ireland who also visit Northern an Irish visit visa, without the Ireland and Great Britain. The UK and need for a separate UK visa. Irish Governments are working This pilot will help to maximise together to strengthen the external tourism and business activity border of the Common Travel Area. between Northern Ireland and This has the potential to enable a the Republic of Ireland for reciprocal visa arrangement, with legitimate visitors. significant possible benefits to the tourist sector in Northern Ireland. As a  This measure will provide an first step, the Irish Government important boost for the introduced a visa waiver scheme Northern Ireland Executive’s accepting visitors from 17 countries drive to increase tourism revenue with a UK visit visa for travel to the and numbers. The Republic of Ireland without applying Executive aims to increase for a separate Irish visit visa. tourism revenue to £676 million and visitor numbers to 4.2  The UK Government is million by December 2014, assisting the expansion of the whilst working towards a long Republic of Ireland’s visa term goal to make tourism a £1 biometric programme. This work billion industry by 2020. This should enable a long-term and visa waiver pilot, and the follow- groundbreaking way forward on up work on a wider reciprocal a reciprocal visa arrangement for visa arrangement, have the the UK and Ireland. potential to provide a long-term platform to help the Executive  The Government will aim to boost the tourist sector. take forward a pilot scheme as a first phase measure. Subject to

2. UNLOCKING PROJECTS TO BOOST THE NORTHERN IRELAND ECONOMY

Pushing forward with infrastructure 2.3 Using UK Government projects guarantees as a means to unlock key projects: 2.1 The Government and Executive recognise the importance of driving  The Government will apply its forward infrastructure projects to Infrastructure Guarantee provide a short-term stimulus to the Scheme flexibly to ensure that economy and to lay the longer-term locally or regionally significant foundations for private sector growth. projects in Northern Ireland will be eligible, subject to the 2.2 Securing the £18 billion projects fulfilling the other capital investment package: The relevant criteria. The scheme previous Government made a currently requires qualifying commitment to provide an £18 billion projects to be ‘nationally capital investment package to significant’. Northern Ireland over the period 2005-17. In recent years, the UK  The Commercial Secretary to Government has provided significant the Treasury and the Secretary additional capital funding to the of State for Northern Ireland Executive through Barnett will host a seminar in Northern consequentials after recent Budgets Ireland in the autumn to and Autumn Statements and through promote UK Government the additional capital borrowing facility support for increasing private set out in this package. Capital funding sector investment in for the NIE in 2015-16 will be infrastructure. confirmed at the Spending Round th 2013, which will be announced on 26  The Executive will identify a June. range of projects and put these forward to HMT as soon as  In light of these practicable so that these developments, and the measures initiatives can be considered for in this package, the Executive eligibility for the Guarantee agrees that the Government is Scheme. These initiatives could on course to meet the £18 include shared future projects billion commitment, and the that the Executive wishes to take reference to the Joint Ministerial forward as part of its ‘Together: Committee is therefore Building a United Community’ resolved. strategy.

2.4 Creating a planning system Executive can retain the that supports economic growth: proceeds of sales from a range of assets. The Executive will  The Executive will establish a continue to identify new process for economically opportunities to unlock revenue significant planning from its assets. applications, and make new arrangements in relation to  The Executive agreed to the applications for Judicial Review creation of the Asset of planning decisions. Management Unit in January 2011 which has identified 2.5 Maximising the potential of capital realisation opportunities Belfast Port: The Budget agreed by across departments, assisted the Northern Ireland Executive for each department with the 2011-15 recognises the need for the production of Asset Executive to realise revenue from the Management Plans, transferred Port within this Assembly term. land and property data onto a Although Belfast Port is a Trust Port central asset register and and therefore an independent statutory prepared a draft Asset body, it is important that a major Management Strategy aimed at public asset like the Port delivers a releasing long term efficiency demonstrable economic benefit for the savings across Central people of Northern Ireland. Government.

 The Executive will take  The Executive will build on forward a substantial this work by conducting a programme of work to examine review of its assets to establish how the financial potential of whether further savings can be Belfast Port might be unlocked. made to help deliver wider economic growth programmes.  The Government will work The Government will share with the Executive to provide best practice from the work practical support on this project; carried out by its Government share best practice from our Property Unit. Since May 2010, work on Trust Ports in GB; and the Government has saved £1 assist in the consideration of the billion for the taxpayer by legislative options for any selling property and land no potential changes to Belfast longer required by the Civil Port. Service. Disposals of surplus land could provide significant 2.6 Unlocking revenue from the resources for the Executive Executive’s assets: whilst opening up new opportunities for businesses in  The Government and Northern Ireland. Executive already have an agreement by which the

2.7 Building on Northern including the practical and legal Ireland’s strong communications issues that would need to be infrastructure: The Government and addressed. This facility is Executive have taken forward a currently available at Dublin and successful programme of work to Shannon Airports, allowing for create a high quality communications easier and quicker connections infrastructure in Northern Ireland. The and arrivals in the US. Government provided £4.4 million from the Broadband Delivery UK  The Government will act in rural broadband programme for accordance with its EU Northern Ireland in 2011. Belfast and obligations to provide Derry/Londonderry have been appropriate support in relation successful in their bids for super- to the protection of Northern connected city status. Ireland’s regional air links.

 The Government and The provision of surplus MoD Executive will work together to assets to boost growth and build a implement the rural broadband shared future with equality of project as quickly as possible. opportunity for all

 The Government is beginning 2.9 The Government has delivered to roll-out the Mobile on its commitment to gift surplus Infrastructure Project in military sites to the Northern Ireland Northern Ireland. As Executive. In 2011, four military sites committed in the 2012 Budget, were transferred to the Executive. The we will ensure that the A2 and Government and Executive will go A29 will be provided with further than this to examine whether coverage and we have already additional surplus military assets in begun work to identify locations Northern Ireland might help the that will benefit from our Executive to boost growth and build a investment in tackling the shared future with equality of mobile 'not spots' problem. opportunity for all.

2.8 Air Travel: We are committed  The Government has made a to exploring what else we can do to proposal to resolve the support Northern Ireland’s vital air outstanding issues around the links. historic leased area of St Lucia Barracks.  The Government and Executive will consider with  The Executive will accelerate the US authorities, and other development of military assets interested stakeholders, the already gifted to the Executive. feasibility of establishing US immigration, customs and  The Government will explore agricultural pre-clearance at the potential for gifting or Belfast International Airport, transferring up to 350 surplus

Ministry of Defence houses to will ensure that Northern Ireland is the Northern Ireland Executive taken into account as the Government as they become available over considers the way forward on banking the next year, subject to funding issues more generally. considerations. These houses would be provided subject to  The Government will extend their being used in a way that is the Start-up Loans scheme to consistent with MoD’s Northern Ireland. People operational requirements and wanting to start their own our joint objective of building a business across Northern shared future for the people of Ireland will benefit from access Northern Ireland. to this £117 million UK fund.

 The Government and  The Government will work Executive will work together to with the Executive and a identify whether it might be suitable bank to enable viable possible to transfer further businesses in Northern Ireland surplus military assets in the to benefit from a pilot extension future on a case by case basis, to the Enterprise Finance subject to this being compatible Guarantee Scheme aimed at with continuing operational addressing loan affordability. A defence requirements. range of scheme designs are being developed that will unlock Helping businesses to access the new lending by giving banks finance they need to thrive greater confidence in SMEs’ ability to meet the cost of loan 2.10 The Government and Executive repayments. acknowledge the significant challenges facing Northern Ireland banks, and the  The Government and the difficulties in accessing finance that Business Bank will work with remain a major concern for local the Executive to support businesses. In particular, we recognise lending to businesses in that a significant number of Northern Northern Ireland. The Business Ireland businesses are currently Bank will work with finance constrained by the repayments providers in Northern Ireland required on loans taken for past to deliver products that provide property investments. This property relevant solutions to the access ‘overhang’ means that these businesses to finance difficulties in the can no longer access the working region, as part of its role in capital they need to operate or to boosting access to finance develop new opportunities, which across the UK. The Secretary of presents a risk to economic recovery in State for Business, Innovation Northern Ireland. and Skills and the Secretary of State for Northern Ireland will 2.11 In recognition of these host a joint seminar with NI challenges, we will redouble our efforts Executive Ministers and to promote lending to businesses, and 16

business leaders to help raise  The Government will continue awareness of the Business Bank to work with the Bank of in Northern Ireland. England and three of the main banks in Northern Ireland -  The Government will work Danske Bank, the Bank of with the Executive and the Ireland UK and Allied Irish banks to examine the scope for Bank UK (operating as First Government backing for Trust Bank in Northern Ireland) mentoring and turnaround – to encourage participation in support for businesses facing the Funding for Lending difficulties in repaying loans. Scheme. This will include discussions about whether businesses could  The Government will consider be offered support from a with the Executive how the turnaround expert free of specific constraints on access to charge. finance in Northern Ireland can be addressed.

3. BUILDING GREATER LINKS BETWEEN THE UK GOVERNMENT AND NORTHERN IRELAND EXECUTIVE TO DRIVE PRIVATE SECTOR GROWTH

3.1 The Government and the how we can maximise support Executive acknowledge that UK wide for businesses in Northern schemes to boost growth have not Ireland. always been as effective in Northern Ireland as they have been elsewhere in  The Government and the UK. We have set out proposals in Executive will examine how we a number of areas to improve and can best engage with the Irish expand existing schemes. But we will Government to make sure that also introduce new mechanisms to their support for the Irish ensure that the UK wide growth banking system takes full measures implemented by the account of the operation of Government have the maximum Irish banks in Northern Ireland. possible impact in Northern Ireland.  To support this Ministerial level  We recognise that banking and engagement, the Government access to finance will require a will ensure that a joint cross- detailed programme of further Whitehall official level working work by the Government and group to engage with the Executive, which will need to Northern Ireland Executive on build on the report recently banking and access to finance. published by the Executive’s independent Economic  More widely, we will discuss the Advisory Group. scope for DETI’s independent Economic Advisory Group to  The Government and supplement these mechanisms Executive will create a joint by monitoring the effectiveness Ministerial taskforce to lead of UK wide economic policies work examining whether on an ongoing basis. tailored support is required for Northern Ireland’s banks and

4. IMPLEMENTATION OF THIS AGREEMENT

4.1 The Government and Executive  The Executive and are committed to a significant joint Government will publish programme of work to implement this annual updates to the Northern economic pact. Ireland Assembly and Parliament respectively on  The Prime Minister, First progress on these issues. Minister and deputy First Minister will provide an update  The Government and on the implementation of this Northern Ireland Executive agreement in the context of the will work with the Irish G8 Investment Conference this Government, both in the autumn. We will publish this context of ongoing North- update. South engagement, and the 10 year programme of East-West  The Prime Minister, Secretary economic co-operation agreed of State for Northern Ireland, by the Prime Minister and First Minister and deputy First Taoiseach, to examine how the Minister will hold an annual Irish Government can summit on progress in contribute to supporting rebalancing the economy and economic growth and a shared building a shared future for the society with equality of people of Northern Ireland. opportunity for all in Northern Ireland.

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