Business groups welcome Government's new Covid-19 support measures

Business groups welcome Government's new Covid-19 support measures

Business groups have welcomed the Government's new suite of measures to help businesses get back on their feet following the Covid-19 crisis.

A €6bn support package for farmers, small, medium and larger businesses has also been agreed by Cabinet today.

The measures include a €10,000 "restart" grant and a three-month waiver on commercial rates.

A €4bn recovery fund and credit guarantee scheme is also included in the plan.

However large parts of the support package cannot be introduced before a new government is formed.

Fergal O'Brien Director of Policy at business advocacy group IBEC says the grant is particularly welcome.

He says: "We have been saying from the outlet for lots of companies more debt is not going to be the solution.

"Single grants rolled out in particular that are going to be helping companies in the reopen phase and to get that coordination around the roadmap for the reopening is really important."

The move comes as almost a quarter of businesses in Ireland shut down temporarily due to the outbreak of the coronavirus, new figures revealed.

With the country on lockdown, the construction and tourism industries have almost come to a standstill while many restaurants are only operating a takeaway service for customers.

Figures from the Central Statistics Office revealed that over a one-month period from mid-March to mid-April, 23% of businesses ceased trading while almost three-quarters reported that their turnover was negatively affected by the outbreak.

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