241 Mr. Leonard asked the Minister for Enterprise and Employment if he proposes to increase funding allocations to county enterprise boards to meet their backlog of applications. [3183/97]

The county enterprise initiative has been allocated £21.133 million in 1997, an increase of 7 per cent on the allocation which was contained in the Book of Estimates for 1996. The 1997 allocation represents a significant increase on the original financial provision made for the CEBs in the operational programme for local urban and rural development (LDP), 1994-99, under which the boards are co-financed by the European Union.

Under the LDP the boards were projected to draw down over £27 million in State and EU funding during 1995 and 1996. During the period in question, however, the level of activity undertaken by the boards resulted in expenditure exceeding £40 million in State and EU funding, with the additional funding being provided by the Exchequer, as a result of a decision by the Government to provide the funds necessary to enable the boards to carry out their activities. A similar pattern of expenditure will occur in 1997 with the boards receiving an allocation of over £21 million as against a projected expenditure figure of £17 million in the operational programme.

I am not aware of any exceptional backlogs on a country-wide basis but the Deputy will appreciate that, notwithstanding the very generous allocations which the boards have received to date, all State funded bodies and agencies must operate within a budget and must prioritise their operations. I am confident that the boards will continue to successfully promote micro-enterprise at local level within the budgets allocated to them.