Fianna Fail TD criticises Minister over store size change

The Minister for the Environment, Mr Roche, yesterday clashed with his Fianna Fáil colleague Mr Ned O'Keeffe over the introduction of new retail planning guidelines which will allow for the opening of large-scale retail outlets in certain parts of the country such as the Ikea store planned for north Dublin.

Speaking at the Joint Oireachtas Committee on Enterprise and Small Business, Mr O'Keeffe criticised the recent Government decision to lift the cap on retail floorspace which he indicated would benefit overseas companies. He also suggested that large -scale retail outlets would "smother" the centre of the country.

Mr Roche rejected what he said were assertions made by Mr O'Keeffe. He also said the deputy had arrived at the very end of a meeting and asked questions similar to ones which he had already answered in the course of a two-hour hearing.

It is understood that the Minister and Mr O'Keeffe had previously clashed on the issue of the amended retail guidelines at a recent meeting of the Fianna Fáil parliamentary party.

Addressing the committee, Mr Roche confirmed that he had overruled some of his civil servants in his decision to lift the cap on floor space.

However Mr Roche said the most senior officials in his Department had agreed with his move while those who had opposed were "junior to the people who supported my position".

Mr Roche said the abolition of the cap on retail warehouse floorspace in Dublin as well as in towns designated as gateways under the National Spatial Strategy, would "facilitate the entry of new retail operators into the Irish market, increase competition and in time allow Irish consumers the same choice as consumers throughout Europe enjoy".

The existing cap of 6,000 square metres of floorspace remains through the rest of the country. Mr Roche said the former guidelines had never been intended to restrict competition.

The Minister said the abolition of cap on floorspace only applied to outlets selling durable goods and that he had no plans to introduce similar measures for the grocery sector.

The Minister said Ireland was an ideal market for companies such as Ikea and at some stage they were going to locate somewhere on the island.

He said there were no retail planning guidelines in the North and if such outlets were established just over the Border, not only would employment opportunities be lost but also substantial revenue.