Garret Ahearn (Fine Gael) | Oireachtas source

Like Senator Byrne, there are two topics I wish to discuss. The Covid restrictions support scheme was introduced in budget 2021 to help support businesses during lockdown, essentially during lockdowns at level 3 or higher. Under the scheme, qualifying businesses can apply to Revenue for a cash payment of up to €5,000, or 10% of the business's revenue. A business must self-declare to Revenue that it has been disrupted by 75% compared with levels in 2019 as a result of the Covid-19 restrictions. There are approximately 17,600 businesses receiving support totalling up to €173.3 million. The scheme runs until 31 March 2021. Last night, the Tánaiste, Deputy Varadkar, stated that there will be a slow reopening of this lockdown and that many businesses, especially those in the hospitality sector, will not be reopened by April. It is my sense that we must act now to extend this vital scheme for businesses right up to and through the summer months. In my constituency of Tipperary, there are 680 businesses receiving support of more than €4 million. The scheme has been extremely helpful to those businesses through December and into the new year. It will give clarity to the businesses that are going through an extremely difficult time if the scheme can be extended as quickly as possible.

The stay-and-spend initiative was also introduced in the budget in October. It was initially expected to cost the Government approximately €270 million. It is an initiative whereby if one spends €625 per person, one can claim back €125.Only €6.8 million of the total amount, however, has been spent up to the middle of January. Essentially, that has been because hospitality businesses have been closed since September, except for a few weeks in December. The stay-and-spend innovative is due to run out at the end of April. Given that it is impossible to benefit from the scheme now because of the nationwide lockdown, it would be wise and important to extend the initiative beyond April, into the summer months and perhaps longer.

The Minister has stated that he is flexible in this regard, but it is also important to stress that the stay-and-spend scheme was originally introduced to encourage people to travel within Ireland and not to go abroad. The incentive can be spent locally, so when businesses open in the months to come it will be possible to spend just over €25 in home town locations to support businesses there. If we extend the scheme beyond April and into the summer months, therefore, it will certainly give support to local businesses.