Written answers

Wednesday, 16 December 2020

Department of Enterprise, Trade and Employment

Covid-19 Pandemic Supports

Photo of Jim O'CallaghanJim O'Callaghan (Dublin Bay South, Fianna Fail)
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40. To ask the Minister for Enterprise, Trade and Employment the number of businesses in each local authority area that have received a restart grant and that have received a restart grant plus in tabular form; the funding allocated for each grant category in each local authority; and if he will make a statement on the matter. [44041/20]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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The Restart Grant and Restart Grant Plus schemes were designed to help small and medium sized businesses get back on their feet after what has been an exceptionally difficult time. Approximately €650m under the restart grant schemes will be allocated by the end of the year.

The purpose of the schemes was to help with the cost of reopening or adapting business premises so that normal business could resume. Grant payments were administered by the Local Authorities via the commercial rates system as this was considered the most effective means to get urgent financial assistance to small businesses impacted by COVID-19.

The Restart Grant Plus scheme closed to new applications on 31 October and the COVID Restrictions Support Scheme (CRSS) operated by the Revenue Commissioners is now in place.

In total, over 118,600 applications have been managed under both Restart schemes. I would like to take this opportunity to thank the 31 local authorities and the Local Government Management Agency for their working in managing applications under both schemes.

I have set out separately in tabular form the information requested by the Deputy as of 11 December 2020 at .

Photo of Jim O'CallaghanJim O'Callaghan (Dublin Bay South, Fianna Fail)
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41. To ask the Minister for Enterprise, Trade and Employment the number of businesses that have availed of the Covid-19 credit guarantee scheme by county in tabular form; and if he will make a statement on the matter. [44042/20]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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The COVID-19 Credit Guarantee Scheme (CCGS) is the largest guarantee scheme in the history of the State. Its function is to add certainty to businesses that liquidity is available for working capital and investment purposes. Loans of up to €1 million are available for up to five and a half years. Loans under €250,000 do not require collateral or personal guarantees.

The Scheme was originally scheduled to run until 31 December 2020 in line with the requirements of the European Commission’s Temporary Framework on State Aid. Following the extension of the terms of this Framework Government approved, on 24 November, the extension of the COVID-19 Credit Guarantee Scheme to run until 30 June 2021. It is available to SMEs, small Mid-Caps and primary producers.

As part of the Commission’s State Aid Temporary Framework, each loan under the Scheme must have reduced interest rates. These are clearly articulated in the documentation businesses sign with their finance providers.

The Government will cover 80 percent of any claims under the scheme. As per State Aid rules set by the European Commission, a premium must be paid to the Irish state which will alleviate some of the costs.

The CCGS has a draw down rate of on average €8 million per week. This is close to guaranteeing in a week what was guaranteed in the full year of 2018 in the standard CGS. The sectors utilising the scheme most prominently are wholesale/retail at 20 percent, accommodation/food services at 14 percent, agriculture at 11 percent and construction at 9 percent. This demonstrates the strong need and utilisation of the CCGS by businesses most affected by COVID 19.

The CCGS which is currently available through AIB, Bank of Ireland and Ulster Bank will see a number of new lenders joining the Scheme early in the new year offering new product-lines. These new lenders will ensure increased regional availability of finance through the CCGS.

Table 1 provides a breakdown of the number of businesses in each county that have drawn loans under the COVID-19 Credit Guarantee Scheme up to 3 December and the value of those loans.

Table 1 – number and value of loans drawn by county

County Number Value
Carlow 15 € 506,000
Cavan 17 € 778,000
Clare 55 € 2,366,044
Cork 172 € 7,929,314
Donegal 60 € 2,336,445
Dublin 375 € 21,996,084
Galway 130 € 5,960,174
Kerry 39 € 1,270,165
Kildare 66 € 3,861,600
Kilkenny 33 € 1,641,955
Laois 34 € 1,405,396
Leitrim 4 € 69,600
Limerick 66 € 3,482,760
Longford 5 € 131,000
Louth 31 € 1,881,663
Mayo 72 € 3,326,537
Meath 80 € 3,512,878
Monaghan 25 € 1,301,000
Offaly 18 € 700,750
Roscommon 14 € 553,500
Sligo 23 € 988,666
Tipperary 61 € 2,881,678
Waterford 37 € 1,620,000
Westmeath 17 € 664,500
Wexford 19 € 801,000
Wicklow 48 € 2,058,360
Total 1516 € 74,025,069

I want to assure the Deputy that I and my officials are closely monitoring the Scheme and its effectiveness. I would also direct the Deputy to my Department’s website which has the details of this scheme as well as other relevant loan and grant supports available to Irish businesses.

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