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Departmental Communications

Dáil Éireann Debate, Tuesday - 28 September 2021

Tuesday, 28 September 2021

Ceisteanna (538)

Catherine Connolly

Ceist:

538. Deputy Catherine Connolly asked the Minister for Children, Equality, Disability, Integration and Youth the engagement he has had with the Minister for Finance with regard to extending the EWSS exemption beyond Q3 2021; and if he will make a statement on the matter. [46719/21]

Amharc ar fhreagra

Freagraí scríofa

The exemption to the turnover rule for the Employment Wage Subsidy Scheme for Early Learning and Care and School Age Childcare employers has been in place since the scheme began in 2020 and has allowed access to important financial supports in a context of increased operating costs due to public health guidance and reduced demand due to Covid-19.

Within the sector, EWSS is estimated to cover, on average, 80% of wage costs or 50% of operating costs for providers and has been a very valuable measure. At the current enhanced EWSS rates, it amounts to approximately €34 million per month for the sector.

It has been confirmed that EWSS will be in place until 31 December 2021 and that the exemption from the 30% reduction in turnover requirement for ELC and SAC providers is in place until 30 September 2021. A decision on the continuation of the exemption after 30 September is anticipated imminently.

Officials in my Department are undertaking ongoing analysis of the impact of public health measures and levels of demand on the sector and the case for the exemption to the turnover rule for EWSS. Since the introduction of EWSS in August 2020 there has been regular and, where necessary, detailed engagement between my Department and the Department of Finance on this issue.

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