Dáil debates

Wednesday, 12 May 2021

Loan Guarantee Schemes Arrangements (Strategic Banking Corporation of Ireland) Bill 2021: Second Stage

 

5:05 pm

Photo of Jennifer Murnane O'ConnorJennifer Murnane O'Connor (Carlow-Kilkenny, Fianna Fail) | Oireachtas source

I thank the Ceann Comhairle. There is no doubt the industries and sectors most exposed to Brexit need additional support and financial aid, especially when we are still dealing with the impact of the Covid pandemic. This new scheme to help viable businesses is very welcome. This year we still see much demand for support and there has been and still is a place for loan guarantee schemes for viable but vulnerable businesses. More than €931 million has been sanctioned in State-backed loan guarantee schemes for around 8,000 businesses. However, thousands of jobs are now on the line and businesses and SMEs need much greater support and assistance.

It is most welcome that primary producers will be included in this scheme and it is so important for us to look after our agricultural sector. It has been the lifeblood of our country for years and, like our businesses, the people in it have done an excellent job.

There is absolutely no room for complacency when it comes to safeguarding jobs and economic prosperity, especially now as we emerge from the Covid-19 pandemic and adjust to a post-Brexit trading environment. The Department of Enterprise, Trade and Employment has been to the fore in helping businesses to deal with Brexit and continues to provide grants and training to assist with new customs arrangements arising from Brexit. That is most welcome. In August last year, our loan guarantee scheme mobilised €2 billion in support for companies affected by the coronavirus and many businesses stayed afloat because of that support.

Much has been done and a new scheme is very welcome, especially now with the double challenge of Brexit and coronavirus. Many businesses are still weighing up the cost of both. It is important we pass this Bill quickly because businesses need our help as soon as possible. My chief concern is that not enough information is out there about supports. We must ensure we can give the proper information. I know some businesses could not meet the criteria of the previous Brexit loan scheme. It is important for us to look at this carefully as we must try to help as many businesses as we can.

I am working with a business that did not apply for the scheme on time. I cannot find an appeal mechanism and the date cannot be extended. What are we doing for businesses which, through no fault of their own, did not get the information on time? I am trying to see if I can help this business, which could do well with a bit of support. Again, I have been told there is no appeals mechanism and nothing can be done about the deadline. As part of the progress, I ask the Minister of State to consider such matters. This is very important to businesses.

Grants are great and loans are brilliant but if they cannot be accessed, it can be a big concern. Working with all the different businesses and our agricultural sector, dialogue is important. There must be some sort of communication and I am firm believer in communicating and working with everyone. I ask the Minister of State to take my concern on board.

This Bill would permit a scheme to mitigate Brexit and Covid-19 impacts but would allow for future agreements to be entered into. If we do not have schemes to support businesses, we must find new ways to provide financial supports to viable but vulnerable businesses. I fully support this Bill. I ask the Minister of State to revert with something that can be done for businesses that, through no fault of their own, did not apply for grants. Could we consider an appeals mechanism?

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