Oireachtas Joint and Select Committees

Thursday, 18 June 2020

Special Committee on Covid-19 Response

State's Response to Impact of Covid-19 on Gaeltacht Areas and the Islands

Photo of Seán KyneSeán Kyne (Fine Gael) | Oireachtas source

Online shopping has always been important and it has grown because of people being required to stay at home due to shops being closed and due to the crisis. The potential is considerable and the trading online voucher scheme is very important in that regard. We have been able to secure additional money for Údarás na Gaeltachta to service Gaeltacht companies. There is approximately €14 million in additional funding throughout the country and €600,000 for Udarás na Gaeltachta.

There is also a Covid-19 online retail scheme suitable for retailers employing more than ten people, the objective of which is to support companies in the indigenous retail sector with a pre-existing online presence to respond to both the domestic and international consumer demand for competitive online offers. Successful applicants will be awarded funding to support a maximum of 80% of project costs and grants ranging from €10,000 to €40,000 will be awarded under a competitive scheme, with Údarás na Gaeltachta providing advice and support to Gaeltacht companies to assist them in preparing applications for the scheme, which is operated by Enterprise Ireland.

We want to ensure every Irish company has an online presence, which is an aspiration across government. It is very important for indigenous job creation and tax and VAT receipts. I do not have the cross-departmental figures to hand but I have heard previously that there is significant online expenditure abroad. The potential for Irish companies, therefore, is significant. Part of the turnaround in An Post's fortunes has been from the parcel business and it has been quite busy in recent years with parcel delivery emanating from online shopping, which is an important positive for a company that has had its own difficulties.

The Deputy mentioned Brexit, and while I do not have all the information on that, co-operation between Údarás na Gaeltachta and the relevant comparable authorities in Scotland has been ongoing for a number of years. That relationship has been built up and is important, not least between Donegal and Scotland, where there is an historical connection between the two communities. The potential is huge and has always been recognised but it has been brought home by the Covid crisis. I am confident in both the supports, namely, the Covid online retail scheme and the trading online voucher scheme.

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