Govt set to maintain reduced pandemic payments into next year

Liz Canavan, Assistant Secretary to the Department of An Taoiseach briefed the media on the Government's latest response to Covid-19 earlier this week. Picture: Gareth Chaney/Collins

The Government's pandemic payments are expected to continue until spring 2021.

It is reported that the temporary wage subsidy scheme and pandemic unemployment payment will be extended as part of next week's €3bn July Stimulus Package.

The payments were originally due to end in August.

The Sunday Times reports that the wage subsidy scheme is expected to be expanded to cover thousands of seasonal workers, but the 85% rate is likely to be reduced.

The scheme has cost the State more than €2bn since March.

It is understood the Government will also look to scale down pandemic unemployment payment rates.

The number of people claiming PUP dropped from 600,000 in May to 350,000 last week.

Those who had been working part-time were moved from €350 a week to the standard jobseekers benefit rate of €203.

It is understood the Government will also look to scale down the rate further by examining whether to incrementally cut the top PUP rate from €350 to €300 and then to €250.