Some retail chains 'will lose out under energy scheme'

The temporary business energy support scheme was part of the recent budget.

Retail Ireland director Arnold Dillon said that the scheme 'will not be enough to ease the pressure' on some businesses.

Some retail chains will lose out under a monthly cap set for firms to tap Government subsidies for their soaring business energy bills this winter, and the ceiling should be lifted, business group Retail Ireland has said. 

The call came after Finance Minister Paschal Donohoe launched the Finance Bill following last month's budget, which unveiled the temporary business energy support scheme. 

Finance Minister Paschal Donohoe.

“While the €30,000 monthly cap in energy supports is significant, for many businesses managing unprecedented energy costs across numerous sites, it will not be enough to ease the pressure," said Retail Ireland director Arnold Dillon. 

Each individual shop should have equitable access to Government support packages.”

Ibec chief economist Gerard Brady said that some changes to the business energy scheme may be needed "to ensure that anomalies, cliff-edge effects, and market distortions do not arise out of the package”. 

Separately, the extension to the business energy scheme to include professionals such as dentists, solicitors, and accountants has been welcomed by Chartered Accountants Ireland. 

“The professional services sector makes an enormous contribution to the economy in terms of employment, exports, and tax revenue," the group said.