John McGuinness (Carlow-Kilkenny, Fianna Fail) | Oireachtas source

First, I welcome the Minister's statement on the continuation of the Covid support schemes and the fact that there will not be a cliff edge at the end of this. We had a good discussion in the finance committee this week in which, as the Minister said, various suggestions were put forward to deal with some of the shortfalls affecting the SME sector. I support that. In supporting it, I wish to take up the points raised by Deputy Nash when he spoke about FBD Holdings. It is time for the Minister to make a statement on FBD Holdings, the claims being paid and the deductions it says it is entitled to make. It is very important that we ensure the greed of the insurance companies is not allowed to continue to affect businesses, particularly those in the SME sector that require and are entitled to the claim.

The schemes have supported businesses. The Minister said the financial level of support was €12 billion. I would like the Minister to examine the very small businesses that are affected by turnover in terms of qualifying for some of the schemes. They need support, and they will need support to reopen. One of the biggest problems is that many of these small businesses have carried forward debt from the financial crash. They had made deals with their banks at high interest rates. Some of the bigger ones, particularly in the tourism sector, have been bought by vulture funds which are demanding their money. It would be helpful if there was a scheme in place whereby very small businesses and those that are affected by banks and vulture funds at the other end of this were able to access low interest rates and to rebuild their balance sheets and loans in terms of what they have to repay. If that happened, it would mean they could restructure their loans, they would have a reasonable interest rate and they would be able to continue in business and quickly respond to the reopening of the economy.

There is nothing like a family business and an individual in business to respond to the challenges of the time. They proved that in the financial crash and I believe they will prove it again this time if given an appropriate break. The commentary from the Central Bank indicates that some businesses will not reopen. I am making the case for the smaller ones. I ask the Minister to look at those that do not have a fixed premises. People aged 66 years and older who were enterprising enough to go into business and create employment should be given some benefit, perhaps the difference between the social welfare benefit and the €350.

That is absolutely essential. At this time, with the commercial rates, for example, it would have been a great opportunity to introduce reform. We have missed that boat. It was a lost opportunity. Commercial rates, as far as businesses are concerned, are an unfair tax on them. It should be linked to turnover. That is the only fair way to do have that kind of tax. I am sure businesses would respond positively to that type of development. There is no doubt, however, that in spite of the €12 billion being spent, businesses are still not being supported to the level needed to get them into the space where they are reopening and are competitive once again. We will need them to pay their taxes. The warehousing of tax is fine but the day of reckoning will come when they will have to pay. That day will be difficult for them if they are not allowed to reschedule their loans and rebuild their books and there is not a proper banking system that will facilitate small businesses. I encourage the Minister to do this.

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