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Dáil
‹ Ceisteanna ar Reachtaíocht a Gealladh - Questions on Promised Legislation

Hospitality cancellations and EWSS dead weight

Summary

Deputy Dillon pressed for restoration of the full EWSS rate because Mayo businesses had suffered heavy cancellations. The Tánaiste said people were following public health advice, the sector was badly hit again, and the Government was trying to avoid dead weight in the scheme.

On a similar matter, our hotels, restaurants and bars have been heavily impacted by recent changes to public health measures. I am aware of many businesses throughout Mayo that have had their Christmas trading significantly reduced, with high levels of cancellations, following those changes. It is one thing to see a change in public behaviour but the reduction in the EWSS is rubbing salt into the wound. Even extending the full rate of the scheme would be an incredible sign of support for this sector. I acknowledge the work of the Tánaiste and the Minister for Finance on the implementation of the hugely important supports for businesses. I understand any decision in this regarding is pending and will follow a review of the public health restrictions with the Chief Medical Officer, CMO, and NPHET. We seriously need to revisit the temporary extension of the EWSS and look at restoring the full rate or introducing sector-specific supports.

Comment on this
Leo Varadkar The Tánaiste Fine Gael

What has happened is that people have heeded the advice they received from the CMO and the Government. They are reducing their social contacts and, as a result, they are cancelling bookings in restaurants and pubs, attendance at events in bars and travel. In many ways, that sector, which has been the worst, hardest and longest hit, is now, once again, taking a hit for the team. That is why we need to support it and it is why we will do so. I point out to the House, however, that the EWSS costs €400 million a month. It is the biggest intervention in the Irish economy since the bank guarantee. It is a much better one, by the way, but a huge one nonetheless. Most companies in receipt of the EWSS are not in the hospitality, entertainment, arts, events or aviation sectors. If we are going to do something, it needs to be targeted.

Comment on this

Thank you, Tánaiste.

Comment on this
Leo Varadkar The Tánaiste Fine Gael

We need to make sure there is no dead weight and that is what we are working on at the moment.

Comment on this