Written Answers Nos. 126-150
126. Deputy Rose Conway-Walsh asked the Tánaiste and Minister for Enterprise, Trade and Employment if he has engaged with workers and their trade union in relation to the appointment of provisional liquidators to a group (details supplied); the other steps he has taken to ensure that the company will honour the workers' collective agreement; and if he will make a statement on the matter. [43950/20]
Amharc ar fhreagraJoint provisional liquidators have been appointed by the High Court to four Irish operating companies that are part of the UK fashion group Arcadia.
I extend my sympathies to the workers who are in danger of losing their jobs. I fully appreciate how difficult the situation is for those involved.
I understand that it is hoped to procure the sale of the Irish operations as part of an overall sale of the group and that the Irish stores will continue to trade through Christmas to maximise the value of stock. The Government hopes a suitable and sustainable buyer can be found, and that any potential job losses can be avoided.
It is the responsibility of the employer in the first instance to pay statutory redundancy and other wage related entitlements to employees. Negotiations on enhanced redundancy are a matter for the liquidator and former employees, taking into account the statutory duty to realise and distribute the assets of an insolvent company in the order prescribed by law. Government has no statutory role in this.
The Social Insurance Fund provides a safety net for employees to ensure they receive statutory entitlements in situations where the employer cannot pay due to insolvency. Entitlements covered include statutory redundancy payments, arrears of wages, holiday pay and sick pay.
The Companies Act 2014 provides safeguards to ensure that a liquidation process complies with the relevant statutory requirements.
Workers also have rights as creditors under company law and they can execute their lawful rights through the courts. They, or their representatives, can go to court on any question arising in the winding up of a company.
Government will work in a coordinated way to support any person who loses their job. Supports include welfare entitlements, job-search assistance and upskilling opportunities
127. Deputy Brendan Griffin asked the Tánaiste and Minister for Enterprise, Trade and Employment the way in which he plans to grow indigenous enterprises in County Kerry in 2021; and if he will make a statement on the matter. [43928/20]
Amharc ar fhreagraEnterprise Ireland’s Powering the Regions plan provides an overarching national plan underpinned by nine regional specific plans, to grow and sustain jobs, and to expand the reach of the Enterprise Ireland client base in every county and region in Ireland. The plan proposes six new national initiatives which aims to futureproof the regions through enhanced productivity and resilience, drive new entrepreneurship, develop urban centres of growth, support the expansion of scaling companies into the regions and attract foreign direct investment in the food sector.
Working in partnership with regional stakeholders it will see Enterprise Ireland maximize its investment through the Regional Enterprise Development Fund to strengthen regional infrastructure and drive the growth of businesses across Ireland. Enterprise Ireland has approved funding totalling almost €100 million to 68 projects under three calls of the Regional Enterprise Development Fund. Projects approved in Kerry include; AgriTech Centre of Excellence CLG, RDI Hub, KerrySciTech, Sneem Digital Hub, MOL TEIC, Vista Agri 4.0, Firies Business Hub.
Enterprise Ireland has identified the following initiatives for Co. Kerry to scale and expand reach of our indigenous enterprise:
- Support KerrySciTech to assist a cluster of companies attract and retain talent in the science and technology disciplines to locate to the region and fill key knowledge intensive posts in local companies. It promotes the job opportunities and the option to live and work in Kerry, West Limerick and West Cork.
- Support Killorglin’s RDI HUB boosting Kerry’s financial services, digital innovation and ICT strengths.
- Support Kerry’s Agri-Tech Centre of Excellence driving new product development for the Agri sector and creating 300-500 jobs.
- Promote entrepreneurship space for West Kerry in partnership with Údarás na Gaeltachta to attract and retain entrepreneurs.
- Deliver Enterprise Ireland’s world-class market intelligence service locally via Enterprise Ireland’s offices in Shannon and Tralee.
In November, I announced €8.24m in grants for 95 Enterprise Centres around the country under Enterprise Ireland’s Enterprise Centres Fund, including 7 successful applications from Co. Kerry totalling €557,469. The funding will ensure that the Enterprise Centres can modernise their facilities, protecting the health and safety of the people who work there and help to secure much needed jobs in Co. Kerry.
The Local Enterprise Office in Kerry will continue to work closely with the microenterprise sector in the County and work in close partnership with sister agencies in ensuring there is strong cross referral of businesses and projects. The core financial offering of business support grants in Feasibility, Business Priming and Expansion grants will continue to be available to qualifying businesses where viability, added value and capacity to grow can be demonstrated creating local jobs. LEO Kerry will continue it’s one to one support from a mentoring perspective and will deliver over 100 assignments. The office continues to work with established business networks including Chambers and Craft and Food Networks. There will be a specific support for female entrepreneurship though the Kerry Business Women’s Network. LEO Kerry staff will also continue to support the project evaluation process in the Local Development groups and Fisheries Local Area Group as is presently the case. The Kerry Month of Enterprise will also be delivered across the agency structures.
128. Deputy Alan Dillon asked the Tánaiste and Minister for Enterprise, Trade and Employment if he has concerns regarding the communication of the impact that Brexit will have on Irish consumers in terms of online shopping from the UK; and if he will make a statement on the matter. [44121/20]
Amharc ar fhreagraFrom 1 January next, EU consumer rights will no longer automatically apply when EU consumers buy from UK based retailers including those operating online. After that date, EU consumers who purchase goods from UK based businesses will only have the protection of UK consumer legislation.
For these reasons, and especially in the run up to Brexit, the Competition and Consumer Protection Commission (CCPC) has published useful advice and information about the potential impacts of Brexit for Irish consumers. The CCPC has also engaged with other agencies to get the word out to consumers who may buy from UK websites after 1st January.
The CCPC has alerted Irish consumers to be cautious and advised them to:
- check the identity of the trader or UK website which they intend to deal with,
- familiarise themselves with the terms and conditions that apply to purchases they make from UK traders and,
- has also reminded consumers they may find it difficult to enforce consumer rights applying in the UK should issues arise with UK retailers in the future.
Last week, the CCPC published a consumer checklist and earlier this month published market research "Brexit and Covid-19: Consumer behavior and awareness when shopping online " which has informed communications with consumers through official channels. The market research highlighted uncertainty about consumer rights that apply when shopping online, and confirmed the high levels of online shopping from UK based sites.
The CCPC has a dedicated Brexit hub page on its website which provides consumer information about the impact of Brexit on shopping online, roaming charges, package holidays and consumer charges. The CCPC helpline also provides information to consumers on Brexit related queries and this will remain open over the New Year period to answer consumer queries that may arise. The handy and printable "Brexit checklist for online shopping " is also available on their website.
I would also welcome efforts by UK based retailers to forewarn their customers in Ireland about impending changes after the transition period expires and what these changes will mean for them.
Of course, it is timely to remember that we continue to enjoy our full consumer rights when we buy locally so I would encourage everyone to "Look for Local" when we buy and to support our local retailers.
129. Deputy Richard Bruton asked the Tánaiste and Minister for Enterprise, Trade and Employment his views on the trading prospects following Brexit; and if new policy tools are being considered to protect jobs in the post-Brexit environment. [43184/20]
Amharc ar fhreagraSince the UK decision to leave the EU in 2016 my Department has, through Enterprise Ireland, been actively working on a strategy of market diversification.
Ireland's overall export performance over the last 10 years has been marked by year-on-year growth with total exports of goods and services reaching further record levels of €374 billion in 2019.
The overall scale of the Ireland-UK trade relationship can be seen through the €51 billion of goods and services we exported in 2019, while importing €41 billion from the UK. While the UK is, and will remain, a major market for Irish companies, expanding the Irish export footprint in markets beyond the UK is a key priority. In that context, Enterprise Ireland’s strategy is to support Irish exporters to be more innovative, competitive and market diversified.
The Irish exporting landscape has been strong and companies in Ireland have been succeeding in winning business worldwide for their products and services. Enterprise Ireland client companies achieved record levels of worldwide exports in 2019 of €25.6bn, against the backdrop of Brexit uncertainty. In 2019, the Eurozone region, which is a key focus of Enterprise Ireland’s diversification strategy, saw growth of 15% to €5.65bn, with Germany, France and the Netherlands each exceeding €1bn in exports. Exports to North America increased from €4.08bn in 2018 to €4.72bn, an increase of 16%.
Enterprise Ireland client companies exports to the UK amounted to €7.9 billion in 2019, which represent an increase of 2% on the 2018 figure. While the UK continues to be the top export market for Enterprise Ireland client companies, such exports now account for 31% of total exports, having fallen from 36% in 2015 in accordance with the market diversification strategy.
As we continue to address the many challenges and complexities raised by Brexit, it is our intention to maintain our trading relationship with the UK in the years ahead. For that reason, as part of the Global Ireland 2025 Strategy, Enterprise Ireland opened a new office in Manchester in 2019. There has also been increased investment in our Embassy in London, by the Department of Foreign Affairs and from my Department and others, to ensure that our largest bilateral mission is fully equipped for these new challenges.
The Consulate General in Cardiff, was also re-opened in April of 2019; and the Government also plans to open a new Consulate General of Ireland for the North of England, in Manchester, next year. This new Consulate General, which will work with the new Enterprise Ireland office in Manchester, will advance our interests across the entire Northern Powerhouse region of 15 million people and send a strong signal of our commitment to the British-Irish relationship – and to Irish business interests there – following the UK’s departure from the European Union.
In response to the various challenges that businesses face as a result of Brexit we have, over the course of the last three budgets put in place through the enterprise agencies, an extensive range of enterprise supports to assist businesses to meet these challenges. They range from supports for companies in the field of market diversification, liquidity supports through short-term and long-term loans, to restructuring aid for businesses in severe operating difficulties. The majority of enterprise supports are open to all businesses, including SMEs, and not just those that are clients of the enterprise agencies.
Budget 2021 allocated unprecedented resources to confronting the twin challenges of COVID-19 and Brexit, with €340 million to be spent on Brexit-related measures. Government has also provided for a €3.4 billion recovery fund to assist businesses in the aftermath of COVID-19 and Brexit. A full list of supports is available on my Department’s website and on www.Gov.ie/Brexit.
130. Deputy Christopher O'Sullivan asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of businesses in County Cork that have availed of the Covid-19 credit guarantee scheme; and if he will make a statement on the matter. [43792/20]
Amharc ar fhreagraThe COVID-19 Credit Guarantee Scheme (CCGS) is the largest guarantee scheme in the history of the State. Its function is to add certainty to businesses that liquidity is available for working capital and investment purposes. Loans of up to €1 million are available for up to five and a half years. Loans under €250,000 do not require collateral or personal guarantees.
The Scheme was originally scheduled to run until 31 December 2020 in line with the requirements of the European Commission’s Temporary Framework on State Aid. Following the extension of the terms of this Framework Government approved, on 24 November, the extension of the COVID-19 Credit Guarantee Scheme to run until 30 June 2021. It is available to SMEs, small Mid-Caps and primary producers.
As part of the Commission’s State Aid Temporary Framework, each loan under the Scheme must have reduced interest rates. These are clearly articulated in the documentation businesses sign with their finance providers.
The Government will cover 80 percent of any claims under the scheme. As per State Aid rules set by the European Commission, a premium must be paid to the Irish state which will alleviate some of the costs.
The CCGS has a draw down rate of on average €8 million per week. This is close to guaranteeing in a week what was guaranteed in the full year of 2018 in the standard CGS. The sectors utilising the scheme most prominently are wholesale/retail at 20 percent, accommodation/food services at 14 percent, agriculture at 11 percent and construction at 9 percent. This demonstrates the strong need and utilisation of the CCGS by businesses most affected by COVID 19.
As at 3 December, 172 businesses in County Cork have availed of the CCGS and have drawn loans with a value of €7,929,314.
The CCGS which is currently available through AIB, Bank of Ireland and Ulster Bank will see a number of new lenders joining the Scheme early in the new year offering new product-lines. These new lenders will ensure increased regional availability of finance through the CCGS.
I want to assure the Deputy that I and my officials are constantly reviewing the Scheme and its effectiveness. I would also direct the Deputy to my Department’s website which has the details of this scheme as well as other relevant loan and grant supports available to Irish businesses.
131. Deputy Paul McAuliffe asked the Tánaiste and Minister for Enterprise, Trade and Employment his progress in relation to updating the national remote working policy; and if he will make a statement on the matter. [43929/20]
Amharc ar fhreagra148. Deputy Michael Moynihan asked the Tánaiste and Minister for Enterprise, Trade and Employment the way in which he is supporting home working; and if he will make a statement on the matter. [43807/20]
Amharc ar fhreagra180. Deputy Ciarán Cannon asked the Tánaiste and Minister for Enterprise, Trade and Employment the work his Department is engaging in with other Departments and agencies in terms of the development of remote working opportunities given the immense benefits for communities; and if he will make a statement on the matter. [43949/20]
Amharc ar fhreagraI propose to take Questions Nos. 131, 148 and 180 together.
As our country continues to navigate Covid-19, remote working has become more important than ever before.
To date, my Department has had a strong focus on the topic of remote work. In December 2019, my Department published the Remote Work in Ireland report which outlined the prevalence and types of remote working arrangements in Ireland as well as the factors influencing its adoption. This year, as a response to COVID-19, my Department launched a new webpage dedicated to providing guidance for remote working for both employers and employees.
In July, my Department launched a Public Consultation on Remote Work. We received 522 submissions from employers, employees, representative bodies and special interest groups. Based on the insights garnered from the consultation, we updated our guidance webpage to include new information. The guidance webpage now includes a checklist for employers considering adopting remote working arrangements in the longer term. The guidance webpage will continue to be updated regularly to act as a live resource for employers and employees.
Building on this work, my Department is currently developing a national Remote Work Strategy. An Interdepartmental Group (IDG) was formed to steer the delivery of the Strategy. This Group has broad representation across government departments and state agencies. The Strategy will consider what changes are needed to develop an environment that encourages remote working solutions. The Strategy will include a set of actions to be delivered and an Implementation Group will monitor the progress of these actions.
It is expected that the Strategy will be published very shortly.
132. Deputy Ruairí Ó Murchú asked the Tánaiste and Minister for Enterprise, Trade and Employment the details of the engagement his Department has had with a representative association (details supplied) regarding the Covid restriction support scheme; and if he will make a statement on the matter. [43686/20]
Amharc ar fhreagraThe pandemic has caused untold damage to people's lives and livelihoods. I know that too many businesses have been severely impacted by the restrictions needed to ensure public health safety during the pandemic. Our response to COVID-19 will continue to assist those businesses affected.
Budget 2021 provided a significant additional package of tax and expenditure measures to build the resilience of the economy and to help vulnerable but viable businesses across all sectors. As part of Budget 2021, the COVID Restrictions Support Scheme (CRSS) was introduced and is operational through the Revenue Commissioners offering a targeted, timely and temporary financial aid to businesses forced to close or trade at significantly reduced levels due to COVID-19. This can be up to €5,000 per week.
A regularly updated listing of enterprise measures for affected businesses is available on my Department’s website.
A meeting between my colleague Minister Damien English T.D., Minister of State for Business, Employment and Retail and representatives from IAAT (Irish Association of Adventure Tourism) is scheduled to take place today, Thursday 17th .
My colleague, Minister Catherine Martin T.D., Minister for Media, Tourism, Arts, Culture, Sport and the Gaeltacht, has lead responsibility for tourism and may be able to provide more specific details on supports for the tourism sector.
I recognise the issue raised by the Deputy regarding businesses that might not be eligible for the CRSS or other measures announced in the budget, such as the €50 million fund for live entertainment. I have asked my officials to conduct work with officials from other relevant Departments regarding how many businesses might be in this position and to report back to me with proposals.
133. Deputy Alan Farrell asked the Tánaiste and Minister for Enterprise, Trade and Employment when he expects Ireland to ratify CETA; the way in which Irish consumers, citizens and SMEs will benefit; and if he will make a statement on the matter. [43956/20]
Amharc ar fhreagraThe EU-Canada Comprehensive Economic and Trade Agreement, commonly known as CETA, is one of the EU’s new generation of progressive free trade agreements. CETA is designed to benefit EU and Canadian companies through improved trade flows in support of increased employment for our citizens. The elimination of tariffs, reduced trade barriers and simplified customs procedures that flow from CETA all make it easier and cheaper for Irish companies of all sizes to export to Canada and vice versa.
Diversifying trade is an important part of our Brexit response and it will be an important factor in our recovery post-pandemic. To this end, the best way to achieve export growth and market diversification is by improving market access and reducing costs of entering those markets which is what CETA delivers. Business links between Ireland and Canada are deep and extensive. Outside of Europe, the US and China, Canada is our largest indigenous export market. Indeed more than 400 Enterprise Ireland clients are doing business in the Canadian market employing over 6,000 people.
The main benefits for Ireland in this Agreement include the opening up of public procurement markets in the Canadian provinces giving Irish firms increased access to Canadian public sector purchasing. Ireland also gains unlimited tariff free-access for most of our important food exports. In addition, we have a low beef import quota from Canada. Irish firms will also benefit from the recognition of product standards and certification, saving on ‘double testing’ on both sides of the Atlantic. The benefits and opportunities to business in the Agreement will be especially valuable for SMEs, given that trade barriers tend to disproportionately burden smaller firms, which have fewer resources to overcome them than larger firms. Indeed, CETA contains an entire chapter exclusively dedicated to SMEs aimed at ensuring they can take full advantage of the improved market access.
In services and investment CETA is the most far-reaching agreement the EU has ever concluded. Almost half of the benefits anticipated from CETA are expected in the services sector. CETA makes it easier for EU individuals and companies to provide services to Canadian customers and vice versa. It covers services such as legal, accountancy, transport and telecoms. There is a huge opportunity for Ireland given its strengths in services where Ireland has been particularly successful in expanding its share of the world’s services market in recent years with services exports accounting for approximately 60% of all exports in 2019.
CETA will directly benefit Irish consumers. It will scrap or cut almost all the customs duties which EU importers have to pay on goods coming from Canada. As well as final products, the cost of parts, components and other inputs goods used to make final products also falls. This is the case already under provisional application of the Agreement. So, consumers can potentially enjoy lower prices and a wider choice of products and services, but only if the Canadian import satisfies all EU product rules including social and environmental standards, as well as people's health and safety and consumer rights.
CETA has provisionally applied across the EU since the 21st September 2017 meaning those areas where the EU has full competence are already in force. Since then, duties on 98% of products that the EU trades with Canada have been removed and the increased trade facilitation provisions which make the movement of Irish exports cheaper, faster, more predictable and efficient are in place. We can see the benefits of CETA already, exports of Irish goods and services to Canada totalled approximately €3.9 billion in 2019 a 35% increase compared to 2016, the last full year of trade, prior to the provisional application of CETA.
The combination of export-led growth and foreign direct investment has transformed Ireland’s economy over recent decades. As a small, open, economy, Ireland has benefitted immensely from our export orientated enterprises trading across the globe and therefore we fully support balanced international trade and the collection of EU Free Trade Agreements that seek to underpin this. This Agreement and the EU's other Trade Agreements are key instruments to assist the work of Enterprise Ireland in supporting Irish Enterprise in global markets. Government approval has been received for the moving of a motion in Dáil Éireann on the terms of CETA and it is my intention to bring forward this Motion as soon as possible.
134. Deputy Barry Cowen asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of businesses in counties Laois and Offaly that have availed of the Covid-19 credit guarantee scheme; and if he will make a statement on the matter. [43800/20]
Amharc ar fhreagraThe COVID-19 Credit Guarantee Scheme (CCGS) is the largest guarantee scheme in the history of the State. Its function is to add certainty to businesses that liquidity is available for working capital and investment purposes. Loans of up to €1 million are available for up to five and a half years. Loans under €250,000 do not require collateral or personal guarantees.
The Scheme was originally scheduled to run until 31 December 2020 in line with the requirements of the European Commission’s Temporary Framework on State Aid. Following the extension of the terms of this Framework Government approved, on 24 November, the extension of the COVID-19 Credit Guarantee Scheme to run until 30 June 2021. It is available to SMEs, small Mid-Caps and primary producers.
As part of the Commission’s State Aid Temporary Framework, each loan under the Scheme must have reduced interest rates. These are clearly articulated in the documentation businesses sign with their finance providers.
The Government will cover 80 percent of any claims under the scheme. As per State Aid rules set by the European Commission, a premium must be paid to the Irish state which will alleviate some of the costs.
The CCGS has a draw down rate of on average €8 million per week. This is close to guaranteeing in a week what was guaranteed in the full year of 2018 in the standard CGS. The sectors utilising the scheme most prominently are wholesale/retail at 20 percent, accommodation/food services at 14 percent, agriculture at 11 percent and construction at 9 percent. This demonstrates the strong need and utilisation of the CCGS by businesses most affected by COVID 19.
As at 3 December 34 businesses in County Laois have availed of the CCGS and have drawn loans with a value of €1,405,396.
As at 3 December, 18 businesses in County Offaly have availed of the CCGS and have drawn loans with a value of €700,750.
The CCGS which is currently available through AIB, Bank of Ireland and Ulster Bank will see a number of new lenders joining the Scheme early in the new year offering new product-lines. These new lenders will ensure increased regional availability of finance through the CCGS.
I want to assure the Deputy that I and my officials are constantly reviewing the Scheme and its effectiveness. I would also direct the Deputy to my Department’s website which has the details of this scheme as well as other relevant loan and grant supports available to Irish businesses.
135. Deputy Neale Richmond asked the Tánaiste and Minister for Enterprise, Trade and Employment the industries his Department is of the view are most at risk from the ill-effects of Brexit, deal or no-deal; and if he will make a statement on the matter. [43169/20]
Amharc ar fhreagraIn 2018, my Department published a Report entitled "Strategic Implications for Ireland arising from changing EU-UK trading relations". The study undertaken by Copenhagen Economics examined the implications of Brexit for the Irish economy and trade, quantifying the impact of possible new barriers to trade which might emerge due to Brexit.
The study examined the likely impact of Brexit on key sectors of the Irish economy and identified five sectors that account for 90% of the Brexit impact. These are: Agri-Food, Pharma-Chemicals, Electrical Machinery, Wholesale & Retail, and Air Transport.
Of these five sectors, the Agri-Food sector was shown to be the most impacted in both a trade deal or no-deal scenario. In a no-deal, WTO scenario, over half of the economic impact relates to the Agri-Food and Pharma-Chemicals sectors.
This trade analysis was undertaken on the basis of no policy change by Government in terms of mitigation actions to cushion the impacts of Brexit. Of course in the last four budgets, Government has put in place significant measures to cushion the impact of Brexit across all sectors of the economy.
Over the last four budgets, through the enterprise agencies, I have put in place an extensive suite of enterprise supports to assist businesses to meet the challenges presented by Brexit. They range from liquidity supports through short-term and long-term loans, to restructuring aid for businesses in severe operating difficulties. The majority of enterprise supports are open to all businesses, including SMEs, and not just those that are clients of the enterprise agencies.
Budget 2021 allocated unprecedented resources to confronting the twin challenges of COVID-19 and Brexit, with €340 million to be spent on Brexit-related measures. Government has also provided for a €3.4 billion recovery fund to assist businesses in the aftermath of COVID-19 and Brexit. A full list of enterprise and financial supports is available on my Department’s website at www.dbei.gov.ie and on www.Gov.ie/Brexit.
Notwithstanding the overall negative impact on the economy, IDA Ireland has been working hard to capture any possible increase in investment in Ireland as a result of Brexit. This work has resulted in 94 Brexit-related investments to date with an associated employment potential of more than 6,000. Two-thirds of these investments are in the International Financial Services sector with the remaining third spread out over the Life Sciences, Technology, Business Services, and Engineering sectors. While this is good news, it by no means makes up for the negatives and the expected difficulties that businesses, particularly those that trade with Britain, will face as a result of Brexit.
136. Deputy Pa Daly asked the Tánaiste and Minister for Enterprise, Trade and Employment his views on the liquidation of a company (details supplied); and if he will take steps to ensure the collective bargaining agreement for workers is honoured. [44122/20]
Amharc ar fhreagraJoint provisional liquidators have been appointed by the High Court to four Irish operating companies, that are part of the UK fashion group Arcadia. As the matter is before the courts, it is sub judice.
I extend my sympathies to the workers who are in danger of losing their jobs. I fully appreciate how difficult the situation is for those involved.
It is important to note that a provisional liquidator does not take steps to wind up the company but rather preserves and secures the company’s assets pending appointment of an official liquidator. As such, the employees of Arcadia remain as employees and continue to have employment rights which they can exercise.
I understand that it is hoped to procure the sale of the Irish operations as part of an overall sale of the group and that the Irish stores will continue to trade through Christmas to maximise the value of stock. The Government hopes a suitable and sustainable buyer can be found, and that any potential job losses can be avoided.
Section 12 of the Protection of Employment Act 1977 makes it mandatory on employers to notify the Minister for Enterprise, Trade and Employment of a proposed collective redundancy. To date none has been received in relation to Arcadia.
Redundancy is a matter for the employer in the first instance. The State will guarantee statutory employment rights to the workers of Arcadia. If necessary, the Social Insurance Fund, provides a safety net for employees to ensure they receive their statutory entitlements.
The Companies Act 2014 provides safeguards to ensure that a liquidation process complies with the relevant statutory requirements. In the event of the appointment of an official liquidator, workers also have rights as creditors under company law and they can execute their lawful rights through the courts. They, or their representatives, can go to court on any question arising in the winding up of a company.
Government will work in a coordinated way to support any person who loses their job. Supports include welfare entitlements, job-search assistance and upskilling opportunities.
138. Deputy Colm Burke asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of Brexit preparations from his Department and its agencies for 1 January 2021; and if he will make a statement on the matter. [43684/20]
Amharc ar fhreagra164. Deputy Pádraig O'Sullivan asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of the Brexit preparations of his Department; and if he will make a statement on the matter. [43668/20]
Amharc ar fhreagraI propose to take Questions Nos. 138 and 164 together.
Brexit, in whatever shape it finally takes, will have a significant impact on the Irish economy, fundamentally changing the trading environment for businesses trading with the UK, excluding Northern Ireland. With just two weeks until the UK leaves the Single Market and the Customs Union, work to ensure Government, business and citizens are getting Brexit ready is of paramount importance.
Since the outcome of the UK referendum on Brexit in 2016, Government has had in place a rolling work programme across all Departments to bring about the necessary changes for Brexit. The central objective has been to provide, as far as possible, for the continuity of the free flow of trade with the UK (excluding Northern Ireland) because change will happen from 1 January 2021.
As regards my own Department and agencies, over the course of the last four budgets we have taken extensive action to mitigate the worst effects of Brexit and delivered, through the enterprise agencies, a wide range of initiatives aimed at getting businesses ready for Brexit. These range from planning vouchers, consultancy and mentoring supports, tariff advisory services, research on new markets, and innovation supports. These are all provided through agencies such as Enterprise Ireland, the Local Enterprise Offices and InterTradeIreland.
Customs is an area that will most immediately impact businesses on 1 January next and we have been actively working to put in place grants and customs training programmes. As part of the July Jobs Stimulus, Government rolled out a €20 million Ready for Customs package to help businesses involved in exporting and importing with the UK to put in place the necessary internal arrangements, staffing, software, and IT systems to be ready for the new customs arrangements and regulatory requirements that will apply from 1 January 2021.
As part of this package, Enterprise Ireland launched a new “Ready for Customs” grant through which businesses can claim grants of up to €9,000 per eligible employee hired, or redeployed within the business, to a dedicated customs role. A second phase of Skillnet Ireland’s free customs training, Clear Customs Online 2020, is open for applications, to support the customs intermediary sector and businesses that trade frequently with, or through, the UK.
Enterprise Ireland also run an on-line Customs Insights course which is helping businesses to understand the key customs concepts, documentation and processes required to move goods from, to and through the UK. The Local Enterprise Offices are also carrying out the second phase of their “Prepare Your Business for Customs” workshops throughout the country.
In addition to customs supports, Enterprise Ireland and the Local Enterprise Offices offer a range of other initiatives to help businesses to develop. Some of the Enterprise Ireland supports include the Be Prepared Grant, the Act On Initiative, the Market Discovery Fund and the Brexit Readiness Checker, while the Local Enterprise Offices offer the Technical Assistance for Micro-Exporters (TAME) grant.
InterTradeIreland is helping businesses who deal with cross-border trade prepare for Brexit. The Brexit Planning Voucher worth €2,250/£2,000 allows a business to contract professional advice to assist with Brexit and can for instance be used for customs training.
Brexit financial supports have been developed and are available through the Strategic Banking Corporation of Ireland such as the Brexit Loan Scheme which offers businesses the means to deal with short term liquidity issues that could arise for instance in buying stock.
Businesses also need longer term funding for investment purposes, and the SBCI Future Growth Loan Scheme, which was expanded at the beginning of the Summer in response to very high demand, provides up to €800m in lending to eligible businesses to support strategic long-term investment, including for a post-Brexit/post-Covid-19 environment.
The new €2 billion Credit Guarantee Scheme, which was launched in mid-September, is the largest guarantee scheme that has ever been provided for Irish businesses to date to ensure there is financing available for Irish businesses as they reboot and rebuild both through Covid-19 and Brexit.
Regulatory agencies under my remit have ongoing engagement in important regulatory areas such as product certification and standardisation, market surveillance and on consumer and competition issues. The Health and Safety Authority (HSA) and the National Standards Authority of Ireland (NSAI) have hosted a number of webinars to inform businesses of the important steps they need to take to be Brexit ready from a regulatory perspective. These webinars, along with others by other Departments and agencies across Government, are available on www.gov.ie/getbrexitready.
The Competition and Consumer Protection Commission (CCPC), have been informing online consumers what they need to do to prepare for the changes Brexit will bring. This has been supported by a recent advertising campaign, outlining what consumers should consider when purchasing goods from UK websites.
My Department, through its agencies, continue to proactively engage with businesses, whether it has been hosting webinars, which are all available online, to one-to-one meetings informing them of the steps they need to take to be Brexit ready.
Budget 2021 has been developed on a worst case scenario based of a No Deal Brexit. In the Budget, Government announced a recovery fund of €3.4 billion for a combination of COVID-19 and Brexit purposes with a specific contingency fund of €100 million earmarked to assist businesses to deal with Brexit.
Preparing for the change that Brexit will bring from the start of next year is a key priority right across Government. This work has intensified and will continue in the period ahead. We remain committed to doing everything we can to ensure that businesses and citizens are as ready as they can be for the end of transition.
139. Deputy James Lawless asked the Tánaiste and Minister for Enterprise, Trade and Employment his plans to enhance the role of the Personal Injuries Assessment Board; and if he will make a statement on the matter. [43789/20]
Amharc ar fhreagraThe Programme for Government sets out a commitment to enhancing and reforming the role of the Personal Injuries Assessment Board (PIAB). The PIAB model delivers major benefits by providing a low-cost, quick and impartial assessment in injury compensation. However, there has been a decrease in the number of claim settlements reached through PIAB in recent years and an increase in the number of claims that are settled outside of the PIAB process resulting in higher legal costs and longer times to settle for injured parties.
As set out in the Action Plan for Insurance Reform, my Department is currently considering the role and remit of PIAB, and in particular, how to increase the number of cases which are settled by PIAB without recourse to litigation. The 2nd Motor Report of the National Claims Information Database, published in November, by the Central Bank clearly shows why this is necessary. It shows there is little benefit in rejecting a PIAB award, that it takes nearly twice as long to settle a case through litigation and for a similar sized settlement.
My colleague Minster Troy, Minister of State for Trade Promotion, Digital and Company Regulation, has prioritised the reform of PIAB and has instructed his officials to examine a number of potential measures to enhance PIAB’s remit and role within the overall scope of insurance reform in Ireland. These measures relate to both administrative changes within the current process as well as potential legislative changes to increase the number of cases kept within the PIAB system.
The cost and availability of insurance is a hugely significant issue for consumers and businesses in our country. PIAB reform and the full implementation of the Action Plan for Insurance Reform will help to ensure that we have an insurance system which is both affordable and reliable and one which underpins a vibrant economy.
140. Deputy Joe Flaherty asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of businesses in counties Longford and Westmeath that have availed of the Covid-19 credit guarantee scheme; and if he will make a statement on the matter. [43806/20]
Amharc ar fhreagraThe COVID-19 Credit Guarantee Scheme (CCGS) is the largest guarantee scheme in the history of the State. Its function is to add certainty to businesses that liquidity is available for working capital and investment purposes. Loans of up to €1 million are available for up to five and a half years. Loans under €250,000 do not require collateral or personal guarantees.
The Scheme was originally scheduled to run until 31 December 2020 in line with the requirements of the European Commission’s Temporary Framework on State Aid. Following the extension of the terms of this Framework Government approved, on 24 November, the extension of the COVID-19 Credit Guarantee Scheme to run until 30 June 2021. It is available to SMEs, small Mid-Caps and primary producers.
As part of the Commission’s State Aid Temporary Framework, each loan under the Scheme must have reduced interest rates. These are clearly articulated in the documentation businesses sign with their finance providers.
The Government will cover 80 percent of any claims under the scheme. As per State Aid rules set by the European Commission, a premium must be paid to the Irish state which will alleviate some of the costs.
The CCGS has a draw down rate of on average €8 million per week. This is close to guaranteeing in a week what was guaranteed in the full year of 2018 in the standard CGS. The sectors utilising the scheme most prominently are wholesale/retail at 20 percent, accommodation/food services at 14 percent, agriculture at 11 percent and construction at 9 percent. This demonstrates the strong need and utilisation of the CCGS by businesses most affected by COVID 19.
As at 3 December, 5 businesses in County Longford have availed of the CCGS and have drawn loans with a value of €131,000.
As at 3 December, 17 businesses in County Westmeath have availed of the CCGS and have drawn loans with a value of €664,500.
The CCGS which is currently available through AIB, Bank of Ireland and Ulster Bank will see a number of new lenders joining the Scheme early in the new year offering new product-lines. These new lenders will ensure increased regional availability of finance through the CCGS.
I want to assure the Deputy that I and my officials are constantly reviewing the Scheme and its effectiveness. I would also direct the Deputy to my Department’s website which has the details of this scheme as well as other relevant loan and grant supports available to Irish businesses.
141. Deputy Denis Naughten asked the Tánaiste and Minister for Enterprise, Trade and Employment the steps he is taking to implement the Government statement on the Role of Data Centres in Ireland’s Enterprise Policy; and if he will make a statement on the matter. [42229/20]
Amharc ar fhreagraIn June 2018, my Department published the ‘Government Statement on the Role of Data Centres in Ireland’s Enterprise Policy’. It sets out the strategic importance of data centres to Ireland’s enterprise policy and to attracting foreign investment in the ICT sector. The Statement followed an agreement of the Government, in October 2017, to create a strategic policy framework to support the continued development of data centres in Ireland, while conscious of the constraints of our electricity system and our national ambition to move to very high levels of renewable electricity generation.
Work has been undertaken by IDA Ireland to identify suitable sites in the regions for developing data centres, having regard to the suitability of grid capacity. The Government is seeking to ensure that the costs of growing energy demand are minimised. We do this by encouraging data centre investments in regions where we have infrastructure capacity to facilitate investments of this scale and also where they contribute to regional development. However, it is important to note that IDA Ireland cannot determine the eventual locations chosen by data centres.
Other Departments and agencies have also implemented aspects of the ‘Government Statement on the Role of Data Centres in Ireland’s Enterprise Policy’. The Minister for Housing, Planning and Local Government, under the previous Government, amended planning legislation to include data centres above a minimum threshold within the classes of ‘Strategic Infrastructure Development’ which streamlines the development consent process and I anticipate that this provision will be commenced in the near future.
In addition, the Minister for Environment, Climate and Communications recently announced the results of the first auction held under the Renewable Energy Support Scheme, a considerable step forward in supplying renewable electricity to all customers.
Eirgrid engages in detail with data centre operators on an ongoing basis with regard to their grid connection process. The Commission for Regulation of Utilities (CRU) is mandated to ensure that electricity grid costs are recovered fairly from all electricity customers – including large energy users such as data centres.
Further, under the Climate Action Plan 2019, my Department is engaging in detail with the Sustainable Energy Authority of Ireland (SEAI) on research to inform policy measures that would encourage investment by large energy users, including data centres, in renewable electricity generation using Corporate Power Purchase Agreements. I expect that SEAI will publish this research in the coming weeks. We have seen recently a number of Corporate Power Purchase Agreements, purchased by data centre operators, in the Irish market and I hope we will see more. When data centre operators purchase electricity directly from renewable generators it contributes towards the State's objective to decarbonise our electricity system without any subsidy from electricity customers.
142. Deputy Brendan Griffin asked the Tánaiste and Minister for Enterprise, Trade and Employment if a renewed focus will be placed on attracting FDI to County Kerry in 2021; and if he will make a statement on the matter. [43927/20]
Amharc ar fhreagraMy Department, along with the enterprise agencies under my remit, are doing everything possible to sustain businesses through the economic crisis caused by the COVID-19 pandemic and get people safely back to work.
The best way to attract further foreign direct investment into Kerry is to continue assisting IDA Ireland in their efforts to generate new investments and jobs in the County. Levels of FDI levels in Kerry have improved significantly in recent years. There are 18 IDA client companies in County Kerry employing approximately 2,200 people. Since 2012, Kerry has witnessed a 34% increase in employment in overseas companies. The County has maintained a strong reputation as a successful home to firms from the Pharmaceutical and Business Services sectors. Companies like Central Pharma, Sigmar Recruitment and Astellas are all located there and continue to perform well.
The IDA will continue to draw the attention of multinational firms looking to invest or expand in the South-West Region including Kerry. The Agency owns marketable lands in Tralee and Killarney and these sites are being actively marketed by the IDA through its network of offices in Ireland and overseas. The final decision on where to locate an investment is always decided by the client and not by IDA Ireland. Regular engagement and collaboration with stakeholders are important in positioning any regional location to attract FDI and in this respect IDA Ireland continues to engage with stakeholders as well as working with existing clients in all regional locations to generate additional jobs.
Remote working continues to be an opportunity in the future and will be considered as part of IDA Ireland’s new strategy 2021-2024. There will also be an increase in remote working opportunities offered by FDI particularly as the Covid-19 environment has accelerated this trend and provides further opportunity for client and stakeholder engagement (between Investment Agencies, Local Authorities, Education Training Board’s etc.). My Department is also focused on regional development and how we ensure Foreign Direct Investment can grow in a sustainable and inclusive way while strengthening indigenous enterprises in the forthcoming National Economic Plan.
143. Deputy Jennifer Carroll MacNeill asked the Tánaiste and Minister for Enterprise, Trade and Employment the supports that have been provided to enable the Workplace Relations Commission to function at the optimum level during the Covid-19 pandemic given the importance of its work and the cases that it is dealing with; and if he will make a statement on the matter. [43817/20]
Amharc ar fhreagraThe Workplace Relations Commission (WRC) is an independent statutory office under the aegis of my Department. The WRC plays a vital role in Irish society in delivering fair and compliant workplaces and the non-discriminatory delivery of services. The services of the WRC are key in maintaining industrial relations stability, mediating and adjudicating in individual disputes, raising awareness of and improving industrial and employment relations generally, promoting, monitoring and enforcing compliance with employment standards and providing recourse for people who feel they have been discriminated against in the delivery of services or employment.
The support of my Department has been central in the development of the WRC since its establishment and in responding to the challenges posed by Covid-19 during 2020. The WRC, like so many other private and public sector organisations, has been required to prioritise its resources and to pivot its various service delivery models to deal with what are unprecedented circumstances. The WRC Information Service quickly and successfully transitioned to providing its telephone service remotely. To end of November, it has dealt with some 51,000 such calls, on a par with 2019, while WRC activity in the area of collective disputes has remained active throughout the pandemic. The WRC Inspectorate has carried out 6,875 site visits which combined Covid-19 and employments rights monitoring with €1,588,000 unpaid wages recovered.
Following a consultation process with its stakeholders, the WRC published a framework of service delivery for the resolution of individual complaints during the period of Covid-19 by way of Mediation, Written Procedure and virtual hearings. In this regard my Department has furnished the WRC with ICT licences to facilitate remote hearings and has also designated the WRC, through SI 359 of 2020, as a designated body to conduct remote hearings in accordance with section 31, Civil Law and Criminal Law (Miscellaneous Provisions) Act 2020.
The commitment and dedication demonstrated by the staff of the WRC in response to the challenges presented by the Covid-19 emergency are commendable. My Department will continue to work closely with the WRC in the areas of ICT support, staff resources, legislative requirements and funding to ensure that it is adequately supported to fulfil its important role.
144. Deputy Pearse Doherty asked the Tánaiste and Minister for Enterprise, Trade and Employment if his attention has been drawn to the Organisation of Working Time (Amendment) (Carryover of Annual Leave) (Covid-19) Bill 2020 which was introduced on 26 November 2020 which seeks to allow workers to carry over untaken annual leave which they could not take due to the impact of Covid-19; if his attention has been further drawn to the fact that similar legislation has been passed for workers in the UK and Northern Ireland; and his views on similar legislation here. [43937/20]
Amharc ar fhreagraThe Organisation of Working Time Act 1997 (OWTA) sets out an employee’s entitlement to annual leave and the terms around the taking of that leave. Under Section 20 of the Act, the times at which annual leave is taken is ultimately determined by the employer subject to the leave being granted within the leave year to which it relates, or, with the consent of the employee within the period of six months after the end of that leave year.
An employee’s entitlement to annual leave was introduced as a health and safety measure under the European Working Time Directive, which the OWTA transposed into Irish law. While there have been fewer opportunities for travel and recreation activities this year, it is still important that employees avail of annual leave to take a break, avoid burnout and maintain an appropriate work-life balance. This is even more true for those workers who have been engaged in front line or emergency work related to the pandemic and have been through an extremely stressful and challenging year.
My Department has not received any representations to date that would suggest that the carryover of annual leave is a particularly pressing issue for employees at this time. However, I have sought the views of the social partners on this matter via the Labour Employer Economic Forum (LEEF) sub-group on Employment and Enterprise. With regard to emergency workers I have received assurances from both the Department of Public Expenditure and Reform and the HSE that public sector and frontline workers have been encouraged to take annual leave throughout the pandemic.
If an employee believes they have been denied their right to take annual leave they may refer a complaint to the Workplace Relations Commission.
145. Deputy Bríd Smith asked the Tánaiste and Minister for Enterprise, Trade and Employment his plans for future legislation that will protect workers in situations of redundancy and insolvency in which they have agreements for enhanced redundancy arrangements with their employer; and if he will make a statement on the matter. [43820/20]
Amharc ar fhreagra178. Deputy Mick Barry asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will report on consultations he has had with the trade union movement on issues surrounding workers’ rights in company liquidation situations; and if he will make a statement on the matter. [43554/20]
Amharc ar fhreagraI propose to take Questions Nos. 145 and 178 together.
The Government has committed in the Programme for Government to review whether the current legal provisions surrounding collective redundancies and the liquidation of companies effectively protect the rights of workers.
I have asked the Company Law Review Group to undertake an expedited review of this commitment as it relates to company law, to be completed before the end of the year.
Recommendations of the Duffy-Cahill report and also the Company Law Review Group 2017 Report on Protection of Employees & Unsecured Creditors which have not been implemented will be revisited.
When this work concludes, the Government will be ready to act and propose legislation, where this can achieve improvements.
Ministers of State Damien English and Robert Troy jointly met with employer and union representative bodies on the 4th of November to begin a discussion on the various legislative provisions that deal with redundancy and insolvency from both a company law and employment law perspective.
I am informed it was a positive and constructive meeting with the stakeholders, where the discussion focused on identifying whether there are gaps or weaknesses in either body of legislation.
I understand that consultations and discussions are ongoing.
146. Deputy Bríd Smith asked the Tánaiste and Minister for Enterprise, Trade and Employment the details of discussions or contact he has had with the mediator in a dispute (details supplied); his plans to resolve same; and if he will make a statement on the matter. [43819/20]
Amharc ar fhreagraI extend my sympathies to the workers in Debenhams who have lost their jobs. I fully appreciate how difficult the situation is for those involved and their families.
The talks facilitated by the Chair of the Labour Court, Kevin Foley have now concluded and he has issued a report reflecting the outcome of that process. I want to thank Kevin Foley for his efforts and encourage all sides to consider his findings carefully.
Negotiations on enhanced redundancy are a voluntary matter between the liquidator and former employees. The Government has been supportive of the best outcome that is possible for the workers, within the legal framework available. There is no legal scope for the Social Insurance Fund to supplement or ‘top-up’ redundancy payments.
While the Government cannot interfere with the High Court-overseen liquidation process, it has always sought to ensure that the concerns of workers are heard, and that the State’s employment and training services are responding to the needs of the ex-Debenhams workers.
Therefore, in recognition of the exceptional circumstances of this case, as reflected in Kevin Foley’s report, the Government is willing to allocate a fund of €3 million to support career guidance, training, education and business start-ups for the former Debenham workers.
This special Fund will be administered by SOLAS on behalf of the Government. Detailed criteria for draw-down from the Fund will be developed over the coming days in consultation with their trade union representatives.
147. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment his plans to update the legislation governing European Works Councils. [43822/20]
Amharc ar fhreagraDue to the uncertainties caused by Brexit, many European Employee Fora and European Works Councils (EWCs) currently situated in the UK are reconsidering their location and many are now considering Ireland as a location post-Brexit.
Ireland has proven to be an attractive destination for EWCs for a variety of reasons including the fact that we operate a common law legal system, have a strong employment law framework, are English speaking and have a thriving business-friendly environment.
The European Communities (Transnational Information and Consultation of Employees Act 1996) (Amendment) Regulations 2011, is the governing legislation in this area. In light of the expected increase in applications to locate European Works Councils in Ireland after Brexit, Department officials are examining the current legislative framework to ensure that it is robust.
149. Deputy Cormac Devlin asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of legislation to transpose the ECN plus directive; and if he will make a statement on the matter. [44128/20]
Amharc ar fhreagra166. Deputy Darren O'Rourke asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of the new legislation he is preparing that will give regulators such as the Commission for Communications Regulation and the CCPC powers to levy administrative financial sanctions; and if he will make a statement on the matter. [43976/20]
Amharc ar fhreagra183. Deputy James Lawless asked the Tánaiste and Minister for Enterprise, Trade and Employment his plans for strengthening Competition and Consumer Protection Commission enforcement powers; and if he will make a statement on the matter. [43790/20]
Amharc ar fhreagraI propose to take Questions Nos. 149, 166 and 183 together.
Directive 2019/1/EU empowers the competition authorities of the Member States to be more effective enforcers and to ensure the proper functioning of the internal market. It is more commonly known as the “ECN+ Directive” and it is due for transposition by 4 February 2021. In Ireland, it is intended to transpose the ECN+ Directive by primary legislation.
The ECN+ Directive contains a framework of rules to ensure that National Competition Authorities (NCAs) have the necessary guarantees of independence, sufficient resources and appropriate powers of enforcement. This includes the ability to issue fines, for breaches of Articles 101 (prohibition of cartel behaviour) and 102 (prohibition of abuse of dominance behaviour) of the Treaty on the Functioning of the European Union (TFEU). The Competition and Consumer Protection Commission (CCPC), the Commission for Communications Regulation (ComReg), the Director of Public Prosecutions (DPP) and the Irish Courts are National Competition Authorities (NCAs) in Ireland for the purposes of EU competition law.
The provisions in this Bill in relation to giving the CCPC and ComReg the power to impose administrative sanctions are solely those powers required for transposition of the ECN+ Directive. The ECN+ Directive is partially intended to align the powers of the national competition authorities across the EU Member States in relation to the enforcement of competition law within the Union. As such, once the Directive is transposed, Ireland will have the same powers as other Member States. This will also help implement the Programme for Government commitment to enable the CCPC and ComReg to make greater use of administrative penalties to sanction rogue operators, as was referred to in the Action Plan for Insurance Reform which was launched last week (8th December).
My Department chairs an Interdepartmental and Interagency Group comprising of representatives from the Department of Justice, the Department of the Environment, Climate and Communications, the Courts Service, the Office of the Director of Public Prosecutions, ComReg and the CCPC to contribute to the drafting of the General Scheme of a Bill. This Group met most recently on Monday, 14th December last. The Department has also worked closely with the Office of the Attorney General, on preparing the General Scheme for this Bill.
I intend to take a Memo to Government very shortly seeking approval for the drafting of the Competition (Amendment) Bill 2021 as a priority. This Bill is the vehicle by which the ECN+ Directive is to be transposed. I hope to receive Government approval and its inclusion for priority progression through the Oireachtas in the Spring Legislative Programme. I and Minister Troy have already written to the Joint Oireachtas Committee on Enterprise, Trade and Employment seeking an early date for consideration of pre-legislative scrutiny for this Bill. When this is complete, and following Government approval, Minister Troy will publish the Bill and seek to progress it through the Oireachtas during the Spring programme.
150. Deputy Jennifer Murnane O'Connor asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of businesses in County Carlow that have received support under the restart grant and the restart grant plus; the number that have availed of the Covid-19 credit guarantee scheme; and if he will make a statement on the matter. [43795/20]
Amharc ar fhreagraThe Restart Grant and Restart Grant Plus schemes were designed to help small and medium sized businesses get back on their feet after what has been an exceptionally difficult time. The purpose of the schemes was to help with the cost of reopening or adapting business premises so that normal business could resume. Grant payments were administered by the Local Authorities via the commercial rates system as this was considered the most effective means to get urgent financial assistance to small businesses impacted by COVID-19.
The Restart Grant Plus scheme closed to new applications on 31 October and the COVID Restrictions Support Scheme (CRSS) operated by the Revenue Commissioners is now in place.
In response to the Deputy’s specific question and as at 11 December 2020, Carlow County Council has awarded Restart Grant payments to 605 businesses. 694 businesses have benefitted from grant payments under the Restart Grant Plus Scheme.
The COVID-19 Credit Guarantee Scheme (CCGS) is the largest guarantee scheme in the history of the State. Its function is to add certainty to businesses that liquidity is available for working capital and investment purposes. Loans of up to €1 million are available for up to five and a half years. Loans under €250,000 do not require collateral or personal guarantees.
As at 3 December, 15 businesses in County Carlow have availed of the CCGS and have drawn loans with a value of €506,000.
The sectors utilising the scheme most prominently are wholesale/retail (20%), accommodation/food services (14%), agriculture (11%) and construction (9%), demonstrating the strong need and utilisation of the CCGS by businesses most affected by COVID 19.
