Written Answers Nos. 73-91
73. Deputy Fergus O'Dowd asked the Tánaiste and Minister for Business, Enterprise and Innovation if a reply will issue to proposals set out by an organisation (details supplied); and if he will make a statement on the matter. [15073/20]
View answerI understand the critical role SMEs must play in the national recovery and I welcome all suggestions and inputs such as these proposals referred to by the Deputy. The Government listens carefully to all such suggestions and will consider them as we develop responses to the crisis and put our economy on the path to recovery. Indeed, previous suggestions by this group, such as an SME and State Bodies Group, were considered during the development of the new Programme for Government.
I am acutely aware that the SME sector is facing a financing crisis not of their making. SMEs have different business models and needs compared to larger businesses and will require specific policy interventions. The business supports introduced in response to the crisis to date have been cognisant of this and any additional and future actions will do the same.
The new Government’s job over the next few weeks and months is to help businesses get back on track in every way we can. I have every confidence that an ambitious July Stimulus package will help to “recapitalise small and local businesses” as well as setting our economy on the right course for the future.
74. Deputy Brendan Smith asked the Tánaiste and Minister for Business, Enterprise and Innovation if he will give consideration to the issues raised in correspondence (details supplied); and if he will make a statement on the matter. [15081/20]
View answerAs Tánaiste and Minister for Enterprise, Trade and Employment, I am acutely aware that COVID-19 has brought particular challenges for retailers - large and small, across the country.
In order to assist businesses to address the challenges posed by COVID-19, the Government has put in place a comprehensive suite of supports for firms of all sizes, which includes the wage subsidy scheme, grants, low-cost loans, write-off of commercial rates and deferred tax liabilities. These supports are designed to build confidence, to further assist businesses in terms of the management of their companies and to allow them to begin looking to the future and start charting a path forward for weeks and months ahead.
Horizontal supports that are applicable to the Retail Sector include the Working Capital scheme, Future Growth Loan Scheme, COVID-19 Loan from MicroFinance Ireland and the SME Credit Guarantee Scheme. For a full list of supports for business please see https://dbei.gov.ie/en/What-We-Do/Supports-for-SMEs/COVID-19-supports/
The growth in demand for shopping online domestically and globally is driving the retail sector more broadly to develop its online capability in order to enhance its competitiveness. Trading online is a very important route for retail businesses to grow and improve their business in the current crisis and will be an important element in their recovery over the longer term.
The objective of the COVID-19 Online Retail Scheme - a competitive scheme, administered on my Department's behalf by Enterprise Ireland, is to support companies in the indigenous retail sector who have already started an online journey, to further enhance and strengthen their online presence, which will have the most immediate impact enabling them to respond to both domestic and international consumer demand with a competitive online offer.
My Department proposed this Scheme in response to the COVID-19 crisis and the urgent need for retail companies to achieve a step change in online capability. Applicant companies must be an indigenous retailer, employing 10 or more people, have an existing online presence (e.g. website or social media), and have a retail outlet through which they derive the majority of their revenue. Successful applicants will be awarded funding to support a maximum of 80% of the project costs.
Under the first call of this scheme I recently announced that 183 retailers will receive funding of between €10,000 and €40,000 under the COVID-19 Online Retail Scheme competitive call totalling €6.5 million. The second call is due to open in the coming weeks.
This Scheme is not about taking the first steps; it is about raising the bar, in an informed, planned and strategic way. Further details on this Scheme available at https://dbei.gov.ie/en/What-We-Do/Business-Sectoral-Initiatives/Retail-Sector/COVID-19-Online-Retail-Scheme/
In addition, there was a major expansion of the Trading Online Voucher Scheme to help small and micro enterprises, with up to 10 employees, including those in the retail sector, to get online quickly.
The Trading Online Voucher Scheme is being expanded by €14.2m after the Local Enterprise Offices received 3 years’ worth of applications in 3 months following the outbreak of COVID-19 in Ireland. Following a previous expansion of the Scheme in early April, total additional funding for the Scheme is now almost €20m in 2020.
Under the Scheme, small businesses can claim up to €5,000 in two vouchers worth €2,500 each. The Scheme also facilitates subscriptions to low-cost online retailing platform solutions to quickly establish a retailing presence online. Further details about the expanding Trading Online Voucher Scheme are available at https://www.localenterprise.ie/Discover-Business-Supports/Trading-Online-Voucher-Scheme-/
I am committed to supporting the needs of the retail sector in developing their online capability and enhancing their competitiveness.
In addition to the above, my Department has developed a range of proposals which I have brought to the Cabinet Committee on Economic Recovery and Investment for consideration. These proposals, along with others from Ministerial colleagues, will be developed and adjusted further for the Government’s consideration of an ambitious stimulus package which will be announced soon.
My colleague Damien English, TD, Minister of State with responsibility for Business, Employment and Retail is chair of the Retail Forum and he will continue to liaise with the retail sector during this challenging time.
75. Deputy Mary Lou McDonald asked the Tánaiste and Minister for Business, Enterprise and Innovation when live music in venues will recommence; the guidelines that will apply to musicians and venues; and if he will make a statement on the matter. [15240/20]
View answerOn 19th June, the Government, having considered the expert public health advice provided by the National Public Health Emergency Team (NPHET), approved the rephasing of the Roadmap for Reopening Society and Business. Apart from some exceptions, the reopening of most sectors was brought forward to Phase 3, which began on Monday 29th June. This includes theatres, concert halls, music venues and other culture outlets. Gatherings of up to 50 people indoors or 200 people outdoors are currently permissible when conducted in line with public health advice. However, specific recommendations apply in relation to singing, choirs and the playing of musical instruments in groups. These are available for review at https://www.gov.ie/pdf/?file=https://assets.gov.ie/77452/39d51b02-5633-4e2f-a070-4551a3521081.pdf#page=7
Phase 4 of Roadmap is due to commence on 20 July, subject to public health advice and Government approval. Gatherings of up to 100 people indoors and 500 people outdoors will be permissible in this phase provided social distancing and relevant public health advice is adhered to.
The National Return to Work Safely Protocol is a useful guide for businesses in making their assessments and adapting their workplace procedures and practices to comply fully with the COVID-19 related public health protection measures. It sets out in very clear terms for employers and employees the steps that they must take firstly before a workplace reopens, and then while it continues to operate. The Protocol is available at https://dbei.gov.ie/en/Publications/Return-to-Work-Safely-Protocol.html.
The Health and Safety Authority, which is an agency of my Department, is the lead agency in overseeing compliance with the National Return to Work Safely Protocol in the workplace. If employers or employees need further guidance on the Protocol, the HSA Helpline can be contacted at 1890 289 389 or wcu@hsa.ie.
In order to assist businesses to address the challenges posed by COVID-19, the Government has put in place a comprehensive suite of supports for firms of all sizes, which includes the wage subsidy scheme, grants, low-cost loans, write-off of commercial rates and deferred tax liabilities. These supports are designed to build confidence, to further assist businesses in terms of the management of their companies and to allow them to begin looking to the future and start charting a path forward for weeks and months ahead. For a full list of supports for business please see https://dbei.gov.ie/en/What-We-Do/Supports-for-SMEs/COVID-19-supports/.
I understand the impact that the pandemic is having on the social and cultural life of citizens right across the country. I know that employers, employees and the self-employed in the live music and entertainment sector want to get back to organising events for larger audiences than are currently permitted due to the public health risks associated with COVID-19. I wish to assure all in this sector that I will work with my Government colleagues to secure further details and clarity as we progress through the final phase of the Roadmap and beyond. It is important to note, however, that all decisions taken by Government on the timing of any lifting of restrictions will be informed by the public health advice at the time.
76. Deputy Neasa Hourigan asked the Tánaiste and Minister for Business, Enterprise and Innovation the sanctions for employers that do not follow the published return to work safely protocol, for example, failure to provide masks or to facilitate social distancing; and if he will make a statement on the matter. [15372/20]
View answerThe national Return to Work Safely Protocol should be used by all workplaces to adapt their procedures and practices to comply fully with the necessary COVID-19 public health measures identified by the HSE and the Department of Health. It operates in parallel with existing statutory workplace health and safety requirements. The Protocol clearly sets out for employers and employees the steps that they must take both before a workplace reopens and on an ongoing basis.
The Health and Safety Authority is the lead agency in monitoring compliance with the Protocol. In this regard, any employee who has concerns about compliance can contact the Health and Safety Authority Workplace Contact Unit (WCU) on a confidential basis at 1890 289 389 or by sending an email to wcu@hsa.ie. If following such a complaint, there are serious concerns about a particular workplace, the Health and Safety Authority, or another agency or tasked with inspecting workplace compliance with the Protocol, will follow-up as appropriate.
In order to achieve compliance with the Protocol the Health and Safety Authority can use its powers under the Safety, Health and Welfare at Work Act, 2005. Under this Act there is a suite of enforcement powers ranging from Improvement Directions, up to and including, Prohibition Notices, which an inspector can serve where there is evidence of breaches of legislation. However, any initial engagement with an employer is carried out with the aim of achieving required outcomes through consensus and collaboration e.g. advice, Reports of Inspections (ROI). However a failure to comply with a ROI is an offence.
As part of the whole of Government approach, 500 inspectors from across the public service system are now monitoring adherence to the Protocol as part of their own normal inspection duties and are supplementing the work of the Health and Safety Authority. These resources are drawn from the Workplace Relations Commission, the Department of Agriculture, Food and the Marine and the cohort of Environmental Health Officers.
In addition to inspections, the Health and Safety Authority continues to provide advice and support to employers and employees on how they are implementing the COVID-19 measures in the workplace through its helpline and website and it has developed checklists and templates for use by employers, workers and worker representatives, and further material is being developed.
Separately, I would add that, overall, the Health and Safety Authority has noted a high level of compliance with the Return to Work Safely Protocol, to date, across all sectors which is a positive indication that the majority of employers and employees are taking a responsible approach to compliance with the Protocol.
77. Deputy Brendan Howlin asked the Tánaiste and Minister for Business, Enterprise and Innovation if specific supports are available for travel management companies and travel agencies as a result of Covid-19; and if he will make a statement on the matter. [15429/20]
View answerThe Government has introduced a €12bn package of supports for firms of all sizes, which includes the wage subsidy scheme, the pandemic unemployment payment for the self-employed, grants, low-cost loans, write-off of commercial rates and deferred tax liabilities, all of which will help to improve cashflow amongst SMEs. Full details on all COVID19 supports for business are available at: https://dbei.gov.ie/en/What-We-Do/Supports-for-SMEs/COVID-19-supports/
Any eligible business, including the self-employed, can apply for the following supports. The most appropriate support will depend on the characteristics of the business.
MicroFinance Ireland can provide loans of up to €50,000 as an immediate measure to specifically deal with exceptional circumstances that micro-enterprises – (any business -Sole Trader, Partnership or Limited Company with less than 10 full time employees and annual turnover of up to €2m)- are facing.
Local Enterprise Offices have moved training programmes, workshops and networking meet-ups online, covering areas such as cash management in a crisis, leading your business through COVID-19 and advice for employers impacted by the crisis. Training programmes are free of charge and places can be booked online, through your Local Enterprise Office.
My former colleague, the then Minister for Employment Affairs and Social Protection, Regina Doherty announced on 25 June that the Department’s Enterprise Support Grant will be made available to assist self-employed recipients who are exiting the Pandemic Unemployment Payment (PUP) scheme with a once-off grant of up to €1,000 to re-start their business. The grant will be payable to self-employed micro enterprises which employ fewer than 10 people, have an annual turnover of less than €1 million and are not eligible for support from the COVID19 Business Restart Grant or other similar business reopening grants.
I am currently reviewing the full range of supports in place to help businesses, together with my Ministerial colleagues, as we prepare the forthcoming Jobs Recovery Plan and I expect an ambitious stimulus package will be announced soon.
I can assure the Deputy that the Government will not be found wanting. Not only must we address the current challenges, but we must also look ahead.
There are some welcome signs of improvement in business activity and the economy. However, sectors that provided significant employment, such as tourism and hospitality, arts and entertainment and other services that rely on social interaction, remain in serious difficulty and their recovery prospects are highly uncertain.
The July Stimulus will seek to help all firms meet the fixed, non-wage costs incurred during lockdown and in re-opening. The July package will also seek to ensure we are best placed to exploit emerging opportunities and attract high value projects with significant economic benefits and to position our economy and firms to meet future challenges. In the near-term, this includes helping companies further in overcoming the challenges of Brexit, but we also need to include measures that build enterprise resilience and help them transition to a low carbon future.
My colleague, Minister Eamon Ryan T.D., Minister for Transport may be able to provide more specific guidance on supports suitable for the travel sector, including the consumer related measure in the COVID-19 Refund Credit Note which was introduced under consumer related legislation, the package travel and travel trade licensing legislation, for which he has lead responsibility.
78. Deputy Colm Burke asked the Tánaiste and Minister for Business, Enterprise and Innovation if the application by Ireland to become a full member of CERN will be progressed; and if he will make a statement on the matter. [15526/20]
View answerInnovation 2020, the national strategy for research and innovation, recognises that for Ireland to become a Global Innovation Leader, our research and innovation system must be open with strong international collaboration links. Membership of leading international research organisations is an important mechanism for facilitating this engagement.
For this reason, the Government gave a specific commitment in Innovation 2020 to initiate discussions with several international research organisations. Four organisations were identified – CERN, the European Southern Observatory, ELIXIR and LOFAR - and membership of three of these organisations has been completed. Ireland continues its consideration of CERN membership.
Under the National Development Plan 2018-2027, as part of Project Ireland 2040, the Government outlined its intention to review Ireland's membership of CERN. This will generate opportunities not only for Irish enterprise but also for its research community. While the benefits of CERN membership are recognised as significant, the cost is also significant and must be assessed in the context of other Departmental and national investment priorities.
Following the recent government formation, CERN membership will now be considered in the context of the new programme for government and the establishment of a new Department of Further and Higher Education, Research and Innovation. Ireland continues its consideration of full and associate CERN membership and my Department remains in contact with CERN officials.
79. Deputy Catherine Murphy asked the Tánaiste and Minister for Business, Enterprise and Innovation if business support policies can be reviewed to provide greater help to microbusinesses that contribute to the national economy on a smaller scale but to the local community on a bigger scale than many other businesses; if he will give consideration to reviewing wage subsidies for casual staff in view of the fact that longer operating hours are now required and wage subsidies should be proportionate to new working hours as opposed to looking at pre-Covid-19 payments; if he will give consideration to offering more direct grants for businesses stay afloat until the end of the Covid-19 emergency as opposed to grants for hiring business consultants; if he will give consideration to offering restart grants to cover the additional costs for trading during the Covid-19 emergency, such as PPE, sanitiser and screens; and if he will make a statement on the matter. [15646/20]
View answerAs stated in the Programme for Government, we will bring forward a July Stimulus shortly to support our economy and help restore employment. Our focus is to support the viability of the business and to get people back to work as quickly as possible in all sectors including the hospitality sector.
Helping our SMEs is central to this, given their pivotal role in the economy and employment. The July Stimulus will extend, enhance and add to the existing measures totalling €12bn in supports for Covid-19 impacted businesses already announced.
These measures include direct grants and supports such as the Temporary Wage Subsidy Scheme (TWSS), the €250m Restart Grant Fund, liquidity supports such as 0% finance for 6 months from MicroFinance Ireland, rates waivers from local authorities and warehousing of tax liabilities of SMEs by Revenue.
These supports are predominately focused on our SMEs, who have been hardest hit by the COVID-19 Pandemic.
We are reviewing the future of the Temporary Wage Subsidy Scheme (TWSS). As the public health restrictions are eased, the challenge for the economy, SMEs and all businesses is evolving. Work is currently on-going around how best to continue to support employers into the more medium term, including consideration of support for temporary seasonal workers and new hires.
The launch of the €250m Restart Grant on the 22 May last is an example of how we are providing support for the costs of restarting a business, including to meet the costs of refitting of premises to meet health and safety requirements. The Restart Grant provide a direct payment to local businesses of between €2,000 to €10,000 to help them meet the costs of reopening.
The range of supports available from my Department and across Government are designed to build confidence, to further assist businesses in terms of the management of their companies and to allow them to begin looking to the future and start charting a path forward for weeks and months ahead. For a full list of supports for business please see https://dbei.gov.ie/en/What-We-Do/Supports-for-SMEs/COVID-19-supports/.
The full range of Enterprise Ireland, Local Enterprise Office (LEO) and Údarás na Gaeltachta grant and advisory supports continue to be available to eligible firms to help with strategies to access finance, commence or ramp-up online trading activity, reconfigure business models, cut costs, innovate, diversify markets and supply chains and to improve competitiveness.
In that regard, Government will continue to explore funding potential for all enterprises including micro-enterprises as they work through the challenges facing them, including through any mechanisms allowable through the EU’s state aid framework.
The Covid-19 Loan, available from Microfinance Ireland (MFI), was introduced as a support to microenterprises to help them access funding arising from the Covid-19 crisis and is working successfully. In under three months, MFI has approved Covid-19 loans of over €14.3 million, which is more than double the value of total loans approved for the entire year in 2019.
These loans are available for eligible microenterprises responding to Covid-19-related difficulties, the negative impact of which must be a minimum of 15% of actual or projected income or profit. Loans up to €50,000 are available with terms that include a six months interest free and repayment free moratorium, with the loan to then be repaid over the remaining 30 months of the 36-month loan period.
An interest rate to 4.5% applies on the Covid-19 loans provided by MFI. This reduced rate is available to all micro-enterprises where the application is made through the Local Enterprise Network or referred by a bank or Local Development Committees. The new rate for direct applications to MFI is reduced to 5.5%. As these loans are available interest free for the first six months, the net effect is to further reduce the net interest rate payable over the period of the loan.
The Covid-19 Working Capital Scheme is offered in cooperation with the Department of Agriculture, Food and the Marine, and is supported by the InnovFin SME Guarantee facility. The scheme is operated by the SBCI.
It currently makes available a fund of up to €200 million to eligible businesses that have been negatively affected by impacts arising from the outbreak of Covid-19 to enable those businesses to innovate, change or adapt in response to the current business environment. Following a further announcement, work is now under way on a significant expansion to this Scheme.
The scheme is open to eligible SMEs and small mid-caps (businesses of up to 499 employees) negatively impacted by Covid-19. Loans under the scheme range from €25,000 to €1.5m and are for periods of up to three years. The maximum interest rate under the scheme is 4% and loans of up to €500,000 are available unsecured.
The Trading Online Voucher Scheme is funded by the Department of Communications Climate Action and Environment and delivered nationwide in partnership with my Department, Enterprise Ireland and the 31 Local Enterprise Offices. There has been a tremendous demand for the scheme from enterprises across the country since its expansion and I am pleased that it provides a grant of up to €2,500 to cover up to 90% of the cost for a business going online.
My colleague and former Minister for Business, Enterprise and Innovation, Heather Humphreys T.D., announced on the 8th of June an additional funding of €14.2m for the Scheme bringing the total funding allocation in 2020 to €19.8m. This additional funding will allow LEOs to approve additional vouchers to successful applicants. The Scheme offers skills training, mentoring and financial support of up to €2,500 to help small and micro-businesses to develop their ecommerce capability. New flexibilities to the Scheme were introduced in April including reducing the requirement for co-funding from 50% to 10% and allowing businesses to apply for a second voucher of up to €2,500 where they have successfully utilised their first one. There has been a positive response to these changes and significant uptake of the Scheme.
Continued support for high-potential start-ups and the wider entrepreneurship base remains critically important to underpinning the growth and recovery of Irish enterprise. Through my agency’s support for High Potential Start-Ups, Seed and Venture Capital funding, the Competitive Start Fund and New Frontiers Programme, Enterprise Ireland continues to deliver strong support for entrepreneurs and early stage companies.
My former colleague, the then Minister for Employment Affairs and Social Protection, Regina Doherty announced on 25 June that the Department’s Enterprise Support Grant will be made available to assist self-employed recipients who are exiting the Pandemic Unemployment Payment (PUP) scheme with a once-off grant of up to €1,000 to re-start their business. The grant will be payable to self-employed micro enterprises which employ fewer than 10 people, have an annual turnover of less than €1 million and are not eligible for support from the COVID19 Business Restart Grant or other similar business reopening grants.
I can assure the Deputy that I will continue to work with my colleagues across Government and with all stakeholders, to examine all such appropriate business supports to assist microbusinesses impacted by Covid-19.
80. Deputy Éamon Ó Cuív asked the Tánaiste and Minister for Business, Enterprise and Innovation if a social insurance record will be provided to a person (details supplied) that worked in the Department of Industry and Commerce from June 1972 to September 1978 for which the Department of Employment Affairs and Social Protection has indicated it has no records; and if he will make a statement on the matter. [15656/20]
View answerMy Department informs me that they have been and will continue to engage with Ms Kelly on her request for information regarding her social insurance record. The most recent contact with Ms Bridget Alice Kelly was by email on Tuesday 7 July 2020.
The Department will continue to engage and provide information to Ms Kelly. In the event records cannot be located, we will work with the Department of Employment Affairs and Social Protection to examine alternative solutions to assist Ms Kelly.
81. Deputy Emer Higgins asked the Tánaiste and Minister for Business, Enterprise and Innovation the supports available to sole traders over 66 years of age that are impacted by Covid-19; and if he will make a statement on the matter. [15696/20]
View answerThe Government has introduced a €12bn package of supports for firms of all sizes, which includes the wage subsidy scheme, the pandemic unemployment payment for the self-employed, grants, low-cost loans, write-off of commercial rates and deferred tax liabilities, all of which will help to improve cashflow amongst SMEs. Full details on all COVID19 supports for business are available at: https://dbei.gov.ie/en/What-We-Do/Supports-for-SMEs/COVID-19-supports/
Any eligible business, including the self-employed, can apply for the following supports. The most appropriate support will depend on the characteristics of the business.
MicroFinance Ireland can provide loans of up to €50,000 as an immediate measure to specifically deal with exceptional circumstances that micro-enterprises – (any business -Sole Trader, Partnership or Limited Company with less than 10 full time employees and annual turnover of up to €2m)- are facing.
Local Enterprise Offices have moved training programmes, workshops and networking meet-ups online, covering areas such as cash management in a crisis, leading your business through COVID-19 and advice for employers impacted by the crisis. Training programmes are free of charge and places can be booked online, through your Local Enterprise Office.
For established traders and companies that meet eligibility criteria, Local Enterprise Offices can also offer financial supports to help manage current market challenges such as Business Priming Grants, Business Expansion Grants, Feasibility Study Grants and Technical Assistance for Micro-Exporters Grant.
The former Minister for Employment Affairs and Social Protection, Regina Doherty on 25 June announced that her Department’s Enterprise Support Grant will be made available to assist self-employed recipients who are exiting the Pandemic Unemployment Payment (PUP) scheme with a once-off grant of up to €1,000 to re-start their business. This will provide business owners with a once-off grant of up to €1,000 to re-start their business. A fund of €12m has been allocated for the extension of this grant. The grant will be payable to self-employed micro enterprises which employ fewer than 10 people, have an annual turnover of less than €1 million and are not eligible for support from the COVID 19 Business Restart Grant or other similar business reopening grants.
I can assure the Deputy that I will continue to work with my colleagues across Government and with all stakeholders, to examine all such appropriate business supports as we prepare the forthcoming Jobs recovery Plan to assist enterprises, including self-employed service providers, impacted by Covid-19.
82. Deputy Emer Higgins asked the Tánaiste and Minister for Business, Enterprise and Innovation the supports available to a self-employed taxi driver impacted by Covid-19; and if he will make a statement on the matter. [15827/20]
View answerThe Government has introduced a €12bn package of supports for firms of all sizes, which includes the wage subsidy scheme, the pandemic unemployment payment for the self-employed, grants, low-cost loans, write-off of commercial rates and deferred tax liabilities, all of which will help to improve cashflow amongst SMEs. Full details on all COVID19 supports for business are available at: https://dbei.gov.ie/en/What-We-Do/Supports-for-SMEs/COVID-19-supports/
Any eligible business, including the self-employed, can apply for the following supports.
MicroFinance Ireland can provide loans of up to €50,000 as an immediate measure to specifically deal with exceptional circumstances that micro-enterprises – (any business -Sole Trader, Partnership or Limited Company with less than 10 full time employees and annual turnover of up to €2m)- are facing.
My former colleague, the then Minister for Employment Affairs and Social Protection, Regina Doherty announced on 25 June that the Department’s Enterprise Support Grant will be made available to assist self-employed recipients who are exiting the Pandemic Unemployment Payment (PUP) scheme with a once-off grant of up to €1,000 to re-start their business. The grant will be payable to self-employed micro enterprises which employ fewer than 10 people, have an annual turnover of less than €1 million and are not eligible for support from the COVID19 Business Restart Grant or other similar business reopening grants.
I can assure the Deputy that I will continue to work with my colleagues across Government and all stakeholders to examine further assistance to businesses impacted by Covid-19.
As Tánaiste and Minister for Enterprise, Trade and Employment I am leading on the development of the July stimulus and together with Ministerial colleagues I will be ensuring we deepen and widen the impact of assistance to businesses to remain open and to sustain jobs.
My colleague, Minister Eamon Ryan T.D., Minister for Transport, may be able to provide more specific guidance on supports designed to suit the transport sector, including taxi providers.
83. Deputy Cian O'Callaghan asked the Tánaiste and Minister for Business, Enterprise and Innovation further to Parliamentary Question No. 872 of 30 June 2020, if he is satisfied that window restrictors on sale as separate items of hardware that can be fitted to a window after manufacture and are not covered by harmonised European standards are safe to use and adequately regulated and monitored; and if he will make a statement on the matter. [15843/20]
View answerAs the Minister for Housing, Planning and Local Government, stated in the answer to Parliamentary Question No. 872 of 30 June 2020, window restrictors are products that are required to be installed in dwellings where a window has an opening section through which a person may fall, (having particular regard to children under five years of age), and is more than 1400 mm above external ground level. Where such window restrictions are an integral part of the window operating gear they come under the remit of the Construction Products Regulation (Regulation (EU) No 305/2011) and fall under the responsibility of my colleague’s Department.
In relation to window restrictors that are sold as separate items, which are not covered by EU harmonised standards, these products fall under the remit of the General Product Safety Directive (Directive 2001/95/EC of the European Parliament and of the Council of 3 December 2001 on General Product Safety). This Directive was transposed into Irish law by S.I. No. 199 of 2004 and thus come within the responsibility of my Department.
Directive 2001/95/EC places the onus on all economic operators – manufacturers, distributors, importers – to ensure that only safe products are placed on the market. If economic operators become aware that products on the market present a potential hazard they must take appropriate measures, up to and including recall of the items, to ensure that the risk is removed.
Any action taken by an operator must be notified to the relevant Market Surveillance Authority: in Ireland this is the Competition and Consumer Protection Commission (CCPC), which is statutorily independent in the carrying out of its functions.
Where the CCPC finds unsafe products on the Irish market, it will act to ensure economic operators remove the product from the market until it is in compliance with the legislation. The CCPC is part of an EU wide network (known as Safety Gate) that allows for the rapid exchange of information between national market surveillance authorities on dangerous products found on the EU market.
Section 9 (5) of the Competition and Consumer Protection Act 2014 provides that the CCPC is independent in the performance of its functions, including carrying out investigations of unsafe products. As investigations and enforcement matters generally are part of the day-to-day operational work of the CCPC, I, as the Tánaiste and Minister for Business, Enterprise and Innovation have no direct function in the matter.
Should the Deputy have any information in relation to unsafe window restrictors on the Irish market, he should make contact with the CCPC directly to provide any relevant information on these matters.
84. Deputy Brendan Smith asked the Tánaiste and Minister for Business, Enterprise and Innovation the measures he will implement to ensure that small businesses have access to loan schemes that were established due to Covid-19; and if he will make a statement on the matter. [15845/20]
View answerMy Department has responded swiftly to the needs of businesses since the onset of Covid-19 earlier this year.
The COVID-19 Working Capital Scheme offered through the SBCI is broadly accessible to Covid-19-impacted SMEs and small-mid caps (businesses of fewer than 500 employees). Of the approximately 3,000 eligibility applications to date, only 15 have so far been deemed ineligible. This scheme is subject to the participating banks’ own credit policies and procedures.
Both myself and my predecessor, Heather Humphreys, have had regular meetings with representatives of the banks to ensure that issues raised by businesses as they apply for lending under these schemes are addressed. At these meetings, the banks have given assurance that they are working through large pipelines of applications for the Government Schemes, and I urged them to prioritise these essential supports for businesses.
The COVID-19 Loan, available from Microfinance Ireland (MFI), was introduced as a support to microenterprises to help them access funding arising from the COVID-19 crisis. These loans are available for eligible microenterprises responding to COVID-19-related difficulties, the negative impact of which must be a minimum of 15% of actual or projected income or profit. Loans up to €50,000 are available with terms that include a six months interest free and repayment free moratorium, with the loan to then be repaid over the remaining 30 months of the 36-month loan period. Interest rates of between 4.5% and 5.5% are available.
Loans of €17.1 million have been approved since the commencement of the Scheme, compared to a total loan value approved in 2019 of €6 million, and a pipeline of applications is being worked through. Due to this unprecedented demand, lending to new applications through this scheme has currently been paused as legislation is required to increase the funding of MFI which is currently at capacity. This legislation recently passed through the Oireachtas. Microfinance Ireland and officials from my Department will work together to reopen this Loan Fund as quickly as possible.
I very much welcome the announcement by the European Commission on 29th June 2020 of its adoption of the 3rd amendment to the Temporary Framework. This amendment allows for support to be granted under the Temporary Framework to micro and small enterprises (up to 50 employees with less than EUR 10M annual turnover and/or annual balance sheet), even if they fall under the category of an undertaking in difficulty on 31 December 2019 provided that they are not subject to collective insolvency procedure under national law and have not received rescue or restructuring aid which has not yet been repaid). Such aid is also intended to increase support possibilities to innovative start-ups in the high growth phase which are micro or small in size.
This amendment will apply retrospectively to schemes already developed under the Temporary Framework, including the EI Sustaining Enterprise Fund.
85. Deputy Jennifer Whitmore asked the Tánaiste and Minister for Business, Enterprise and Innovation when pubs can organise and host live gigs; and if he will make a statement on the matter. [15914/20]
View answerOn 19th June, the Government, having considered the expert public health advice provided by the National Public Health Emergency Team (NPHET), approved the rephasing of the Roadmap for Reopening Society and Business. Apart from some exceptions, the reopening of most sectors was brought forward to Phase 3, which began on Monday 29th June.
Pubs and hotel bars operating as restaurants have been able to open since the 29th June, subject to the Phases 3 and 4 restrictions on numbers for public gatherings and other important public health advice. Full details are available at www.gov.ie/en/news/58bc8b-taoiseach-announces-roadmap-for-reopening-society-and-business-and-u/
Fáilte Ireland has worked in consultation with the industry to develop detailed and practical guidelines to assist pubs in reopening and they are available at https://covid19.failteireland.ie/business-supports/business-reopening/pubs/guidelines-for-re-opening/
These guidelines will be regularly updated in line with Government public health advice as and when this advice evolves.? This includes any further guidance that is given following work by the Health Protection Surveillance Centre and NPHET on the application of the existing social distancing requirements in specific, defined and controlled environments in the hospitality industry during periods of low incidence of the disease.
The National Return to Work Safely Protocol is a useful guide for businesses in making their assessments and adapting their workplace procedures and practices to comply fully with the COVID-19 related public health protection measures. It sets out in very clear terms for employers and employees the steps that they must take firstly before a workplace reopens, and then while it continues to operate. The Protocol is available at https://dbei.gov.ie/en/Publications/Return-to-Work-Safely-Protocol.html.
The Health and Safety Authority, which is an agency of my Department, is the lead agency in overseeing compliance with the National Return to Work Safely Protocol in the workplace. If employers or employees need further guidance on the Protocol, the HSA Helpline can be contacted at 1890 289 389 or wcu@hsa.ie.
In order to assist businesses to address the challenges posed by COVID-19, the Government has put in place a comprehensive suite of supports for firms of all sizes, which includes the wage subsidy scheme, grants, low-cost loans, write-off of commercial rates and deferred tax liabilities. These supports are designed to build confidence, to further assist businesses in terms of the management of their companies and to allow them to begin looking to the future and start charting a path forward for weeks and months ahead. For a full list of supports for business please see https://dbei.gov.ie/en/What-We-Do/Supports-for-SMEs/COVID-19-supports/.
I recognise the impact that this pandemic is having on businesses right across the country, particularly those in the hospitality and live entertainment sectors. I know that employers, employees and the self-employed want to get back to work and I support them in that ambition.
86. Deputy John Lahart asked the Tánaiste and Minister for Business, Enterprise and Innovation the measures in the July stimulus package for taxi drivers and the taxi industry; and if he will make a statement on the matter. [15953/20]
View answerAs the Deputy will know, the sector referred to in the question relates to the policy responsibility of another Minister but I am happy to outline my position on how best to assist enterprises in the current circumstances and into the future.
Some of the provisions already available include:
- the COVID-19 Pandemic Unemployment Payment for all employees and the self-employed who have lost their job due to the pandemic;
- the 'warehousing' of tax liabilities for a period of twelve months after recommencement of trading during which time there will be no debt enforcement action taken by Revenue;
- a €450m Working Capital scheme from the Strategic Banking Corporation of Ireland (SBCI); and
- the Enterprise Support Grant for to assist eligible self-employed recipients who are closing the COVID-19 Pandemic Unemployment Payment scheme after 25th June 2020.
The full list of the business supports is available on my Department’s website.
My Department has developed a range of proposals which I have brought to the Cabinet Committee on Economic Recovery and Investment for consideration. These proposals, along with others from Ministerial colleagues, will be developed further for the Government’s consideration of an ambitious stimulus package which will be announced soon.
I look forward to the details being announced shortly.
87. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Business, Enterprise and Innovation the extent to which he expects to encourage foreign direct investment in the future in view of Brexit and the international political scene; and if he will make a statement on the matter. [16003/20]
View answerRecent global developments – both as a result of Brexit and of the COVID-19 pandemic – have undoubtedly had an impact on international foreign direct investment (FDI).
The challenges presented by Brexit are well-documented. The IDA has been working hard with its client base to help address and mitigate any risks faced by overseas companies already located here.
The Agency has also, ever since the EU-UK referendum in June 2016, been seeking to realise opportunities to attract further Brexit-related FDI to Ireland. The significant efforts that the IDA has invested into these efforts have yielded impressive results. The Agency has won 92 Brexit-related investments with an associated jobs potential of 5,900, numbers which could yet increase further.
The IDA has also taken steps to diversify its FDI source markets and to prepare for a potentially significantly changed post-Brexit economic and geopolitical landscape. This has included an international campaign in key markets and a restructuring of its European operations to treat the UK as a separate territory. The Agency has also deployed additional resources in the Middle East, Asia and Latin America, as well as opening a new office in Toronto.
More generally, I am confident that Ireland will remain attractive in the long-term to international investors. Our traditional strengths – including our talented workforce and pro-enterprise policy environment – remain very much intact and valued by overseas firms. I look forward to working, together with the IDA, to increase FDI here in the years ahead.
88. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Business, Enterprise and Innovation his plans to set specific targets for job creation with a view to a major positive impact on the creation of employment in the aftermath of the Covid-19 crisis; and if he will make a statement on the matter. [16004/20]
View answerIn a few short months, Ireland has gone from a position of record employment to record unemployment and faces an unprecedented challenge in terms of getting people back into employment. The Department of Finance’s Stability Programme Update (SPU) published in April indicated that employment is projected to fall substantially with approximately 220,000 jobs being lost this year. The Government's aim is to create 200,000 new jobs by 2025 as well as helping people currently unemployed due to COVID-19 back to work.
Since I took up the role of Minister for Enterprise, Trade and Employment, my focus has been on preparing the July Stimulus Package which will save jobs, create new ones and get our people back to work as quickly as possible. Not only must we overcome the current challenges, but we must also look ahead and set our economy on the right course for the future.
Already there are some welcome signs of improvement in business activity and the economy. However, sectors that employ a lot of people, such as tourism and hospitality, arts and entertainment and other services that rely on social interaction, continue to be in serious difficulty and their recovery prospects are highly uncertain.
My officials and I have been engaging with colleagues across Government to ensure that the needs of business are to the forefront in the preparation of the July Stimulus package. We know that many viable businesses will need additional support to help see them through the re-opening period and to help them adapt and refocus their business models.
While immediate focus is on preserving existing firms and jobs, the July package should also have an eye to exploiting emerging opportunities and attract high value projects with significant economic benefits. Importantly, the July Initiative must position our economy and firms to meet future challenges. In the near-term, this includes helping companies further in overcoming the challenges of Brexit but we also need to include measures that build enterprise resilience and help them transition to a low carbon future.
89. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Business, Enterprise and Innovation the extent to which he can liaise with his colleagues throughout the European Union with a view to maximisation of efforts in a co-ordinated fashion to support job creation in the aftermath of the Covid-19 crisis and Brexit; and if he will make a statement on the matter. [16005/20]
View answerOver the coming months I look forward to working with my EU counterparts both bilaterally and at meetings of the European Council of Ministers in its Employment and Social Affairs, Competitiveness, and Foreign Affairs -Trade configurations. Under the German Presidency we will debate a wide variety of topics at each Council aimed at supporting Member employment policies and enterprises, particularly SMEs, encouraging economic growth and improving the EU's competitiveness, all of which I believe will impact on job creation.
At the Employment and Social Affairs Council, I will engage with my fellow Ministers on key employment challenges facing us, guidelines on employment policies and strengthening minimum income protection. There may also be an opportunity to discuss a new youth employment guarantee. At the Competitiveness Council we will consider how best to strengthen the Single Market for a strong recovery and a competitive, sustainable Europe, and how to develop our enterprises for growth and employment. At the Trade Council I will seek to open new markets and opportunities for Irish companies to grow their exports and so provide new job opportunities.
Alongside the formal Council agendas, I plan to engage bilaterally with my counterparts. Fostering job creation will be part of those discussions.
The Multiannual Financial Framework for 2021-2027, a Budget for European Recovery and Resilience, and the Next Generation EU Recovery Fund is under negotiation. One of the three pillars in the Next Generation EU is focussed on kick-starting the economy by supporting key sectors and technologies, investing in key value chains and providing solvency support for viable companies. This package is on top of funding amounting to €540 billion already agreed, which includes a temporary support to mitigate unemployment risks and protect existing jobs.
I believe that by working together at EU level and rebooting the economy using the Recovery Fund we can generate and enable sustainable economic growth which will support job creation.
90. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Business, Enterprise and Innovation the details of the mission statement of his Department in the context of the recovery of Ireland and the European Union following the Covid-19 crisis and the added complication of Brexit; and if he will make a statement on the matter. [16006/20]
View answerMy Department will be developing its Statement of Strategy, in consultation with its many stakeholders, in the coming months and within the required time-frame of 6-months.
A core objective of the Department will be to contribute to the formation of an ambitious and effective National Economic Plan. The Department’s leadership across a number of Government strategies, including Future Jobs Ireland, will be to the fore in this regard. The focus will not only be on measures which address the current challenges facing the enterprise sector but also on ensuring the long-term viability of Ireland’s enterprise base. This will require the transformation of our enterprises to seize strategic opportunities in fast developing sectors and adapt to technological and climate changes under way.
My Department is actively participating in EU Commission considerations of the appropriate trade policy measures that best marry the needs of our response to the pandemic with our strong support for open, rules-based, multilateral trade that supports wealth creation and good jobs. Two key elements include short-term transparent, targeted, temporary and proportionate measures as well as revisions to the EU’s guiding trade policy, the review of which opened last month and on which Trade Ministers, including myself, will input to in the autumn.
The Programme for Government commits to the delivery of a National SME Growth Plan that will map out an ambitious long-term strategic blueprint beyond COVID-19. The National SME Growth Plan will be largely informed by the comprehensive OECD Report on “SME & Entrepreneurship Policy in Ireland”, which was published last year. It will include detailed proposals to help SMEs to start up, scale up and access foreign markets. It will look at ways to make SMEs more productive and ready for the transition to a digital, green economy. It will also make improvements to areas such as local entrepreneurship ecosystems and local industry clusters to drive regional development. This Plan will be brought to Government for approval as part of the National Economic Plan in October. The Growth Plan will align with and build on existing SME policy initiatives, such as those set out in Future Jobs Ireland.
The Programme for Government identifies a number of groups which will be led by Government in shaping the engagement of enterprise and SMEs in the formulation of the policy responses at the different stages of the recovery:
- Sectoral taskforces to focus on the specific needs of sectors, and to bring forward plans in the context of the National Economic Plan;
- An SME and State Bodies Group, to be chaired jointly by the Minister for Finance and the Minister for Business, to co-ordinate the ongoing response to COVID-19 for SMEs;
- An SME Growth Taskforce, to design a National SME Growth Plan that will map out an ambitious long-term strategic blueprint beyond COVID-19.
The first meeting of the SME and State Bodies Group took place on Friday last. Both myself and the Minister for Finance, along with Ministers of State Damien English and Robert Troy met with business representative groups and State Bodies to discuss SME financing challenges and how to solve these.
91. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Business, Enterprise and Innovation the steps to be taken to bring about economic recovery following the economic impact of Covid-19; and if he will make a statement on the matter. [16007/20]
View answerSince I took up the role of Minister for Enterprise, Trade and Employment, my focus has been on preparing the July Stimulus Package which will be radical, of scale and far-reaching. Not only must we overcome the current challenges, but we must also look ahead and set our economy on the right course for the future.
Already there are some welcome signs of improvement in business activity and the economy. However, sectors that employ a lot of people, such as tourism and hospitality, arts and entertainment and other services that rely on social interaction, continue to be in serious difficulty and their recovery prospects are highly uncertain. While we can’t keep every firm and job alive, I believe our emphasis should still be to preserve these insofar as we can.
The July package will be followed in October by the National Economic Plan to be published on the same day as the Budget. The National Economic Plan will chart out our longer-term, jobs-led recovery.
I expect the Economic Plan will include a major reskilling programme, policies to promote balanced regional development and it will emphasise the importance of attracting and sustaining Foreign Direct Investment.
Before this crisis the Irish economy was performing stronger than ever. Last year, the Government launched Future Jobs Ireland to help make our economy more resilient and innovative and to facilitate enterprises and workers transition in light of technological development and climate change imperatives. The need to ensure the economy is green, digital and resilient hasn’t gone way. Therefore, the Future Jobs Ireland framework will be updated in light of these, the crisis, and new priorities.
Additionally, a new SME Growth Taskforce shortly will be formed with representation from a wide range of business representative bodies and enterprise agencies.
