Dáil Éireann Debate, Thursday - 15 October 2020
35. Deputy Niamh Smyth asked the Tánaiste and Minister for Enterprise, Trade and Employment the supports for sectors most affected by Covid-19 in particular the hospitality sector; and if he will make a statement on the matter. [30564/20]
Amharc ar fhreagraBudget 2021, together with the measures we announced as part of the July Stimulus, provide a substantial financial package to stimulate our economy and to help businesses to open.
In July, the Government introduced the €7bn July Stimulus 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 to assist with restructuring as a result of the COVID-19 pandemic.
The range of measures in place to assist businesses include direct grants to support viable businesses and jobs, including new hire and restructuring. The wage subsidy scheme has been extended into 2021 and will be open to firms that do not currently participate. It will also be open to workers like seasonal workers who were not previously included. From 1st September, the six-month reduction in the VAT came into effect, going down from 23% to 21%.
This week's Budget contains targeted actions to help business where they are hurting most. The 9% VAT rate will help hotels, pubs, restaurants and other businesses in the entertainment, tourism and hospitality sectors. The extension of the commercial rates holiday will help reduce the fixed cost of doing business. The new CRSS programme will provide closed or effectively closed business a payment based on their turnover up to €5,000 per week. This will make a really big difference and will be paid in addition to the Employment Wage Subsidy Scheme (EWSS).
SMEs may be eligible for the Government's new Restart Grant Plus Scheme. Those businesses that accessed funding through the previous round of the scheme are eligible to apply for a second payment or a top-up due to the Level 3 restrictions to a total combined value of the revised maximum grant level through their local authority.
We are providing more and cheaper loan finance through MicroFinance Ireland, SBCI and the new €2bn Credit Guarantee Scheme.
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 to finance, commence or ramp-up online trading activity, reconfigure business models, cut costs, innovate, diversify markets and supply chains and to improve competitiveness.
I continue to work with my colleagues across Government to assist businesses impacted by COVID-19 and to help businesses get Brexit ready.
