Dáil debates

Wednesday, 2 December 2020

Finance Bill 2020: Report Stage

 

7:40 pm

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

I am responding to the first round of interventions. The challenge I would then face is that businesses that are allowed to reopen and have done so would then ask why they cannot access funding under the Covid restrictions support scheme if businesses that can open but remain closed can. Pubs would take this view and restaurants and hotels would quickly follow. It goes back to the point I made, which is that any time criteria are set for access to a scheme that has already paid out tens of millions to employers, there will always be some employers who fall just outside those criteria. I accept that this is difficult and I will look at the operation of the scheme and see whether it has been set up in a way that gives support to those who need it most. The challenge one always faces in putting together a scheme such as this, however, is that there will always be businesses that fall just outside the criteria.

I listened to what Deputy Ó Laoghaire said regarding the particular business he mentioned. I return to a point I made earlier. This pub and other businesses that decide to reopen will face a lower VAT rate. In addition, while I will not comment on the particular business in question because I am not aware of its circumstances, such businesses will, in general, still be able to avail of the employment wage subsidy scheme and a deferral or, for many business, a waiver of commercial rates. They will also be able to access the variety of other supports that are available.

Such businesses will, in general, still be able to access the deferral or, in the case of many businesses, will not have to pay commercial rates. They will be able to access a variety of other supports available. Even if this support is not available, a range of other supports are available precisely for the reason set out by Deputy O'Dowd.

These businesses are crucial in the generation and retention of jobs within our country. When businesses run into a challenge such as a pandemic, we have a duty to help them. Even if this particular form of help, in the form of the CRSS, is not available to some businesses, a range of other supports are available. These are in place because we value them. We are trying to keep them going until the point where public health improves and we are able to go back to something that is closer to the normal that we left.

Deputy Barry made another point regarding criteria for accessing the scheme and why other criteria are not available. All the issues Deputy Barry raises are important but they are not issues to be dealt with through our tax code. They are not issues to be dealt with through a scheme that is trying to keep employers going and jobs maintained. They are best dealt with through an industrial relations mechanism like the Workplace Relations Commission or the engagement that should and does take place between employers and employees. The only role of these schemes is to try to keep jobs in place. At the moment, that is the most critical challenge I face as someone charged with overseeing our economy overall and trying to keep it safe. That is the most important job we face.

Deputy Michael Healy-Rae made the point about my actions burdening future generations. I assume he was referring to the levels of national debt that will exist in future. If I did not take the actions that I am taking that will cause the debt to rise and if the Government did not do the same, then we would face charges and criticism for not doing enough. It will be the case that our national debt will go up. It is also the case that hundreds of thousands of jobs would not have the chance to come back if it was not for the actions I have described.

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