Written answers

Wednesday, 3 March 2021

Department of Enterprise, Trade and Employment

Covid-19 Pandemic Supports

Photo of Ruairi Ó MurchúRuairi Ó Murchú (Louth, Sinn Fein)
Link to this: Individually | In context | Oireachtas source

20. To ask the Minister for Enterprise, Trade and Employment the supports available for businesses with mobile premises, premises which are not permanently fixed in place and premises on which no commercial rates are payable which are ineligible for the Covid-19 business aid scheme; and if he will make a statement on the matter. [11153/21]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I am keenly aware that businesses are continuing to make massive sacrifices to protect their communities. The Government has put in place a comprehensive package to help businesses and workers during the pandemic, including the Employment Wage Subsidy Scheme (EWSS), the Pandemic Unemployment Payment (PUP), the COVID-19 Restrictions Support Scheme (CRSS), low-cost loans, the deferral and warehousing of tax liabilities and the waiver of commercial rates. Full details are available here at:

At an early stage of this crisis, it became apparent that the impacts on economic activity were going to remain with us for much longer than originally anticipated. It also became clear that many businesses were incurring costs such as rent, rates, insurances, maintenance, security and other utilities, on an ongoing basis without the ability to generate the revenues required to meet these costs. Most of these costs are associated with the running costs of a premises, while for businesses without a fixed premises, fixed costs will likely be lower as a proportion of their total expenses.

I acknowledge that many businesses who do not trade from a commercial premises have been severely impacted, and for those individuals and businesses, Government has already moved to provide income supports in the form of the PUP, TWSS and EWSS which are payable regardless of sector and are available to employees, sole traders and proprietary directors. Where gaps have been identified, Government has moved quickly to fill those gaps and to ensure that nobody is left behind. Self-employed individuals can now earn up to €960 over an 8-week period and still remain eligible for the PUP. The Enterprise Support Grant, introduced by my colleague the Minister for Social Protection was a one-off grant introduced to reimburse certain non-rate paying businesses who had closed due to the COVID-19 pandemic, for re-opening costs up to a maximum of €1,000.

In the 2021 Budget, the Government allocated significant additional resources to Departments to provide help to different sectors. I would highlight the €395m provided to the Department of Transport and the €222m allocated to the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media.

These additional monies will go towards helping businesses, including self-employed and those that are not rate paying businesses, such as through the €30m for private bus operators, €55m for a focused business scheme for strategic tourism businesses along with a €50m scheme for the live entertainment sector.

These are in addition to financial assistance and other schemes provided to businesses via Enterprise Ireland, InterTrade Ireland and Local Enterprise Offices.

The three main schemes, the CRSS, EWSS and PUP compare favourably with any other packages on offer in other countries. The Government is very much open to proposals as to how we can help further but the Government schemes are generally designed to help meet fixed costs that cannot be avoided and it is not possible to provide compensation for loss of personal income or profits.

Photo of Marc MacSharryMarc MacSharry (Sligo-Leitrim, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

21. To ask the Minister for Enterprise, Trade and Employment if the €160 million boost to firms under the Covid-19 fund as announced on 9 February 2021 extends to sports clubs; if not, the reason sports clubs that pay local authority commercial rates and that were covered by his Department's business scheme up to November 2020 when the Covid restrictions support scheme was created now find themselves without support; and if he will make a statement on the matter. [11198/21]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I am acutely aware of the difficulties that the necessary ongoing Covid-19 restrictions are putting on communities right across the country. Sacrifices are being made right across the country by people in order to protect their communities.

With this in mind the Government has put in place a comprehensive package to help businesses and workers during the pandemic, including the Employment Wage Subsidy Scheme, the Pandemic Unemployment Payment, the COVID-19 Restrictions Support Scheme, low-cost loans, the deferral and warehousing of tax liabilities and the waiver of commercial rates.

I recently announced a new €60m Scheme, called the COVID-19 Business Aid Scheme (CBAS), that is being developed to provide grants to businesses ineligible for the Government’s other existing schemes and is designed to help with fixed costs. The details of this scheme are currently being finalised and it is expected they will be announced shortly.

Photo of Jennifer WhitmoreJennifer Whitmore (Wicklow, Social Democrats)
Link to this: Individually | In context | Oireachtas source

22. To ask the Minister for Enterprise, Trade and Employment if he will consider extending company grants for businesses not considered as a rated premises but which meet all other criteria and are losing out on much needed business supports as a result; the actions which can be taken in a case (details supplied); and if he will make a statement on the matter. [11282/21]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I am acutely aware of the difficulties that the necessary ongoing Covid-19 restrictions are putting on businesses right across the country. With this in mind the Government has put in place a comprehensive package to help businesses and workers during the pandemic, including the Employment Wage Subsidy Scheme (EWSS), the Pandemic Unemployment Payment (PUP), the COVID-19 Restrictions Support Scheme (CRSS), low-cost loans, the deferral and warehousing of tax liabilities and the waiver of commercial rates.

I would urge business owners to seek the supports outlined above if they have not already done so. I would also suggest they contact their Local Enterprise Office who can signpost them and advise them of supports that may be available for their business.

Budget 2021 provided a significant package of tax and expenditure measures to build the resilience of the economy and to help vulnerable but viable businesses across all sectors. Details of the wide range of supports available are on my Department’s website.

I recently announced a new €60m Scheme, called the COVID-19 Business Aid Scheme (CBAS), that is being developed to provide grants to businesses ineligible for the Government’s other existing schemes and is designed to help with fixed costs.

Businesses, however, will be required to be in receipt of a rates bill from their local authority for their business in order to qualify. The intention behind this provision is to assist businesses operating from fixed premises to meet some of the ongoing fixed costs of maintaining those premises.

The Government is very much open to proposals as to how we can help businesses further. However, our schemes are there to help meet fixed costs that cannot be avoided and to provide basic weekly income support up to maximum of €350 per week. We are not providing compensation for loss of personal income above this level or compensation for loss of profits for any sector.

Comments

No comments

Log in or join to post a public comment.