Niamh Smyth (Cavan-Monaghan, Fianna Fail)
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62. To ask the Minister for Enterprise, Trade and Employment for an update on the supports available to businesses with the rising cost of energy in running a business, particularly those in the hospitality sector, which has seen a number of closures recently. [22978/24]

Peter Burke (Longford-Westmeath, Fine Gael)
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The last number of years has seen a significant increase in inflationary pressures, most pointedly in the form of energy price inflation – which is a significant input cost for firms across a range of sectors, including hospitality. This Government has adopted an active approach in supporting Irish businesses throughout the period of increased costs.

Before Budget 2024, a total of €12 billion was provided to assist households and businesses with rising costs. This included the provision of €1.3 billion through the Temporary Business Energy Support Scheme (TBESS) to support firms facing higher energy costs. Budget 2024 also saw the announcement of several further measures, including a €257 million package for the Increased Cost of Business Scheme, the extension of the 9% VAT reduction for gas and electricity until the 31^st of October 2024, and the extension of the temporary excise rate reductions applying to auto diesel, petrol and marked gas oil until the 31^st of March 2024.

I also recognise that there are other costs impacting firms. My Department, in collaboration with the Department of Social Protection, has assessed the cumulative impact of recent and forthcoming changes to working conditions. Reflecting the findings of this assessment, a range of measures are being brought forward to assist businesses in adjusting to these increased costs as well as more generally to improve the cost competitiveness of firms. These measures include, among others:

• Increasing the amount available under the Energy Efficient Grant Scheme to 10,000 and reducing the business contribution rate from 50% to 25%;
• Increasing the employer PRSI threshold from €441 to €496 with effect from 1^st October 2024, which will ensure that employers with employees earning the weekly equivalent of the national minimum wage will pay the lower rate of employer PRSI of 8.8%;
• Reopening the Increased Cost of Business Scheme for another 14 days, and launching a second phase of the Scheme targeted at businesses in the retail and hospitality sectors;
• Implementing an enhanced SME Test; and,
• Widening the eligibility for the Trading Online Voucher.