COVID-19 has affected communities across the country and the Government has addressed the question of supports for businesses on a national basis. A range of specific supports have been put in place to support the hospitality and tourism sectors. These include:
- A reduction in VAT from 13.5% to 9% until 31 December 2021
- The “Stay and Spend” tax credit initiative
- A €26 million Adaptation Grant for the tourism sector
- A €10 million grant for coach tourism
- A €55 million Tourism Business Continuity Scheme
The Government has also developed and delivered a series of schemes that may be availed of by island businesses and communities, including:
- Employment Wage Subsidy Scheme
- Covid Restrictions Support Scheme
- Covid-19 Credit Guarantee scheme
- Covid-19 Business Aid Scheme
- Covid-19 Business loans Scheme
- Covid-19 Working Capital Scheme
- Enterprise Support Grant
- Covid-19 Business Financial Planning Grant
I was also pleased, earlier this year, to be able to announce an increase in the Island Allowance paid to Social Welfare recipients on our islands, to assist with the additional costs of living on an island.
As the Deputy will also be aware, a new Islands Policy is currently being developed by my Department. The purpose of this policy, and its associated action plan, is to work to address specific issues affecting island communities. These issues fall under the remit of many Government Departments and agencies.
Having completed the initial consultation phase, my officials are now in the process of holding bilateral meeting with relevant Departments to identify additional policy measures which can be introduced to support our island communities.
