Jackie Cahill (Tipperary, Fianna Fail)
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120. To ask the Minister for Public Expenditure and Reform the cumulative additional expenditure undertaken as a result of the Covid-19 pandemic; and if he will make a statement on the matter. [55887/21]

Michael McGrath (Cork South Central, Fianna Fail)
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Significant supports have been put in place by Government across 2020 and 2021 to respond to the impacts of Covid-19. This funding has been critical in supporting citizens and businesses impacted by the pandemic and providing the necessary funding to allow our key public services respond effectively to the crisis.

Following the onset of the pandemic last year, over €16½ billion for measures to respond to the impacts of Covid-19 was allocated to Departments during 2020. This allowed for the introduction of a wide range of measures including income and employment support schemes such as the Pandemic Unemployment Payment (PUP), Employment Wage Subsidy Scheme (EWSS), and Temporary Wage Subsidy Scheme (TWSS); and business supports such as restart grants and commercial rates waivers. Significant additional funding was allocated to support our health service in responding to the impact of the pandemic; support the operation of public transport; and support the reopening of the Education sector.

Provision for up to almost €15 billion in Covid-19 related spending was made for 2021 following the publication of the Economic Recovery Plan (ERP) in June which included measures such as the further extension of the PUP and EWSS. This €15 billion provision included funding already allocated to Departments, the remaining funding held in the Contingency Reserve and Recovery Fund, and an additional funding requirement arising from the ERP measures. Given the improving labour market as restrictions unwound, the amount now expected to be required to be allocated to Departments for Covid-19 related measures in 2021 was revised to almost €13.4 billion in the Budget 2022 Expenditure Report.

Under Budget 2022, provision of up to €6.8 billion will be made available to fund Covid-19 related measures next year. €2.8 billion of this was included in Departmental Estimates in the Expenditure Report while €4 billion was held in reserve to be allocated during 2022. This reserve will provide scope for Government to respond to any challenges posed by any deterioration of the situation with the virus next year. Additional to this, funding of €0.2 billion has also been allocated for 2022 under Ireland’s National Recovery and Resilience Plan.