Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

In response to Deputy Doherty and so that I am clear, this payment is going to these companies, many of which will receive it this week. It is similar to a grant. Grants are taxable as income. It is the case that one cannot claim against a loss twice. One cannot reduce a loss by use of this payment and then claim the same loss against one's tax liability for the year. This is a payment and it will go to companies this week. It will make a significant difference to companies that will receive it.

On the point about its potential to be expanded further into the service sector, I am well aware of the importance of suppliers to our restaurants, cafés and non-essential retailers. I cannot see the case as to why we would allow a specific sector such as that relating to food supply to avail of the scheme if restaurants are closed. What do I then do about businesses which sell to non-essential retailers, which is a substantial part of our domestic economy? We will not be in a position where we can maintain this high level of support if we make it available to all companies that have been affected significantly but indirectly by Covid. The purpose of the scheme is to provide additional support to the closed businesses that I have, understandably, heard about every week in the Oireachtas.

I thank the Deputy for acknowledging that this is a smart scheme. I think it will have an effect. It is always the case that when one brings in a new scheme, parts of our economy and companies are left outside the parameters of it. That cannot be a reason for failing to try to help businesses that are closed. They are the businesses that need the most help. If one's business is closed, one does not have the ability to redirect trade in the same way as businesses which may be able to supply to other businesses that are not closed if all of our country is at level 5, or businesses which may find new customers and new ways of getting their goods to customers. That flexibility is not open to businesses which are closed. This scheme is designed to provide an additional level of support to closed businesses or businesses with a low level of trading.

In response to the questions on public health guidance for taxi drivers that Deputy Boyd Barrett asked, since he and I debated the matter in the recent past, further additional supports have been made available to taxi drivers. Those taxi drivers can avail of the pandemic unemployment payment. People are allowed to continue to avail of the pandemic unemployment payment while doing some part-time work.

However, taxi drivers mainly do not have a business premises that is required to close in the first place. The Covid restrictions support scheme is designed to help businesses that have been required to close premises. The Deputy asked who it is helping. The latest figures that we have show that 37% of the companies on the scheme are bars or restaurants, 8% are hotels and accommodation, 21% are other services such as hairdressing and beauty, and non-essential retail, arts and other businesses make up 33% to 34% of the scheme. The majority of this scheme is going to businesses that are closed or barely open due to public health guidance. The Government recognised there was a need to do that and the scheme has been designed to provide additional cash payments to companies at a time when they need it the most to help them to reduce costs and to reopen, hopefully soon.