Dáil Éireann Debate, Wednesday - 20 March 2024
328. Deputy John Lahart asked the Minister for Enterprise, Trade and Employment when the rates rebate for businesses that was announced as part of Budget 2024 will be rolled out; how qualifying businesses will receive these grants; and if he will make a statement on the matter. [12069/24]
View answer329. Deputy Fergus O'Dowd asked the Minister for Enterprise, Trade and Employment if a response will issue to queries raised by a person (details supplied) in respect of the Increased Cost of Business Grant; and if he will make a statement on the matter. [12258/24]
View answerI propose to take Questions Nos. 328 and 329 together.
I acknowledge the correspondence that has been shared by Fergus O’Dowd TD. In response to the details supplied, if a business owner operates multiple properties in separate local authorities, they must apply to each specific local authority to which they pay rates. Each property must separately meet the qualifying criteria to be eligible for the Increased Cost of Business (ICOB) grant. For further information, I would urge the businesses owner to contact the respective local authorities at the below links:
Increased Cost of Business Grant Scheme | Meath.ie
Increased Cost of Business (ICOB) Grant Scheme - Louth County Council (louthcoco.ie)
The Increased Cost of Business (ICOB) grant, announced as part of the Budget 2024 package has a total allocation of €257m and will be particularly targeted at Small and Medium sized businesses who operate from a rateable premises. The grant is intended to aid firms who have been most affected by increases in business costs but is not intended to directly compensate for all increases in wages, or other costs, for every business.
The administration of the grant will be carried out by Local Authorities with a view to providing relief from late April of this year. It is not intended that there be a formal application process. Businesses will be contacted directly by their Local Authority.
The grant has been set up in this way to ensure that the scheme is accessible to smaller businesses, who may have had difficulties availing of previous schemes. At present, Local Authorities are in the process of setting up a system in order to pay out this grant and have begun to write to businesses directly providing them with a customer ID and PIN to access the ICOB portal. I would encourage businesses to engage with the registration process as soon as they receive their letter. The portal opened on Thursday, the 14th of March and by Monday evening, over 1500 businesses had registered. Payments will begin in late April.
Once contacted by their Local Authority, it is up to each business to register to participate in the scheme, subject to the eligibility criteria. Businesses must verify through self-declaration their eligibility to the Local Authority on the basis of satisfying the following conditions:
• The business is a commercially trading business operating directly within a premises that is commercially rateable by a Local Authority and intends to trade for a period of 3 months following registration.
• The business has provided confirmation of its bank details to the respective Local Authority.
• The business is rates compliant, including those businesses with a phased payment arrangement in-place.
• The business is tax compliant, and in possession of a valid Tax Registration Number.
The rate of the Grant for qualifying premises will be as follows:
• For qualifying businesses with a 2023 Commercial Rate bill of less than €10,000, the ICOB grant will be paid at a rate of 50% of the business’s Commercial Rate bill for 2023.
• For qualifying businesses with a 2023 Commercial Rate bill of between €10,000 and €30,000, the ICOB grant will be €5,000.
• Businesses with a 2023 Commercial Rates bill greater than €30,000 are not eligible to receive an ICOB grant.
It is important that I continue to underline that the ICOB grant does not constitute a commercial rates waiver and firms should proceed to pay their rates as normal.
