Dáil Éireann Debate, Tuesday - 14 July 2026
275. Deputy John Clendennen asked the Minister for Enterprise, Tourism and Employment to provide an update on the application of the SME test across Government departments; whether it is being implemented as intended; whether consideration will be given to publishing the results of SME tests going forward; and if he will make a statement on the matter. [53719/26]
Amharc ar fhreagraThe SME Test encourages policymakers across Government to apply the principle of “think small first” and consider the impact that any new measures may have on SMEs, and to mitigate against those impacts where possible.
This approach helps small businesses by ensuring that new policies are designed in a way that support SMEs and reduces unnecessary burdens on them.
In May 2024, the Government committed to ensuring that an enhanced SME Test will be applied to all major new measures. Then, in October 2024, the Government formally approved the enhanced SME Test and Guidelines.
Under the current Programme for Government, we have committed to "rigorously implement the SME test to scrutinise every new piece of legislation and regulation for its impact on SMEs".
In addition, the Action Plan on Competitiveness and Productivity commits that all Government Departments will apply the SME Test to all measures, in particular to policy initiatives where it is proposed to increase costs on small business and include the SME Test in the Government handbook.
In terms of impact, we are seeing a growing and more consistent use of the SME Test. In 2025, 33 SME Tests were applied by 10 Government Departments. This compares to 26 SME Tests applied by 8 Government Departments in 2024.
The year-on-year growth of almost 27% in the number of Tests applied in 2025 is a good indication that the enhancements, implementation group and Government commitments are having an impact.
It is important to note that the SME Test is not a pass-or-fail exercise. Rather, it is a tool to support policymakers in considering the impacts of proposed measures on SMEs as part of the policy development process. Each Department is also expected to publish SME Tests on their websites, ensuring transparency and accessibility.
The SME Test is influencing outcomes and helping small businesses in a practical way.
For example, in the development of additional powers for an Rialálaí Agraibhia (Agri-Food Regulator), engagement identified a potential burden on smaller firms, resulting in small businesses with up to 50 full time equivalents being excluded from the scope of the legislation.
In my own Department, its application to the Employment Permits Bill identified options to mitigate impacts on SMEs, leading to a permanent move to electronic permits and the retention of the option to refund fees for refused applications, while related consultation on Minimum Annual Remuneration resulted in a more gradual adjustment period to 2030.
In the Schoolbooks Schemes, the SME Test identified measures to support schoolbook suppliers, including a Dynamic Purchasing System designed to reduce administrative burdens on SMEs and ensure that small businesses operating in the sector continue to have access to the schoolbook market.
To support implementation of the SME Test, my officials have delivered information sessions to several Government Departments. Training and resources were also made available to all Departments in 2025 through the OneLearning platform. Additional resources are being developed and will be accessible to civil service policymakers at any time through OneLearning.
