Dáil Éireann Debate, Wednesday - 27 May 2020
953. Deputy Ged Nash asked the Minister for Employment Affairs and Social Protection if she plans to access EU funding relating to the support to mitigate unemployment risks in an emergency scheme; if so, the amount she anticipates accessing under the scheme; the specific programmes it will be acquired for; and if she will make a statement on the matter. [7563/20]
View answerThe SURE instrument was published on 2nd April by the European Commission and is intended primarily to support Member States with efforts to protect workers and jobs, and also support some health-related measures. It is temporary in nature, with the duration and scope limited to tackling the consequences of the coronavirus pandemic. It was adopted at ECOFIN, and published in the Official Journal of the European Union on 19 May 2020.
Briefly, the Commission will borrow on financial markets to finance loans to Member States, allowing Member States benefit from the EU’s strong credit rating (AAA) and low borrowing costs. Under the proposal, SURE will provide financial assistance to Member States of up to €100bn in total. The loans are targeted to assist Member States to address sudden increases in public expenditure caused by the Covid-19 pandemic, in order to preserve employment (such as short-time work schemes and other similar measures put in place for the self-employed) and certain occupational health expenditure.
Notwithstanding, a number of Member States, including Ireland, have parliamentary processes to be completed before SURE can be activated. In Ireland, while the regulation will have direct effect, primary legislation will be required in order to sign and give effect to the underpinning guarantee agreement. Any decision to access the SURE funds is a matter, in the first instance, for the Minister for Finance.
