Oireachtas Joint and Select Committees

Tuesday, 30 June 2020

Special Committee on Covid-19 Response

Impact of Covid-19: SME Recovery

Mr. John A. Moran:

Again, it depends on the level of support from the Government. I am not sure if members heard the mayor of Leicester on the radio this morning. It was a really important reminder to us all that this virus has not gone away and that a second wave could come. The mayor was describing the fact that now, because of the lockdown in Leicester, balance sheets in businesses in Leicester will be disproportionately harmed, in effect because of the new lockdown measures in that city compared with businesses in other cities. Of course as part of the structuring of our new stimulus and what will happen in October, we could build in protections so that firms know exactly what would happen second time around if that were to recur in the country and to explain how they might get through that. Let us go back into history and look at what happened at the time of the Spanish flu. The cities that were absolutely devastated were those that got a second wave. I am unsure whether that was because the community could not quite do it a second time in terms of the support or, more likely, it was because firms and businesses were so significantly weakened by the first crisis that they simply could not battle their way through a second one. Deputy Butler asked me a question about timing. It is really important that we move quickly and find a way to do it. As we said in our plan, this does not mean that all the measures will happen straight away and that they will be put in place.

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