Finance minister to introduce measures to help struggling businesses
Finance minister Michael McGrath speaking at the opening of the new offices of State Street in Kilkenny. Picture date: Monday March 25, 2024.
Minister for Finance Michael McGrath has confirmed measures will be introduced before the next Budget to assist businesses facing difficulty.
Mr McGrath said a report that Enterprise Minister Simon Coveney brought forward, which examined the impact of the various policy measures that the government had introduced to improve working conditions, had identified the necessity “in particular improving rates of pay, minimum wage and, improving certain leave entitlements and so on".
“There is a cost to business, arising from the combined effect of all of those measures. And as a result of that, we have already indicated a number of moves that we are prepared to make," he told RTÉ radio’s .
"The energy efficiency grant for businesses is being increased. In relation to employer PRSI we have identified the consequence of the step effect that is there in respect of the low rate of employer PRSI, associated with low levels of income."
Mr McGrath said he is committed to examining what can be done in that space ahead of the budget, something which has already been discussed at a Cabinet committee level.
“Minister Coveney brought forward a proposal to develop an options paper to cabinet recently," he said.
"So that work is advancing through the Department of Social Protection. That is what I support.
"And then we want to see the rollout of the quarter of €1 billion, grant to businesses over the coming weeks that we announced in the Budget.”
When asked about the possibility of a transfer pact between himself, Tánaiste Micheál Martin, and Simon Coveney, Mr McGrath said there would be no transfer pact.
He said he “very much respected” Mr Coveney’s approach to work and that they worked well together at constituency level, national level and around the Cabinet table.
Mr McGrath also congratulated Simon Harris on his “impending elevation to the office of Taoiseach. It’s a very proud day for him and his family.”
“We've worked closely with Simon around the Cabinet table for the last four years, and, I've been impressed with his work as a minister.
"Clearly his colleagues in Fine Gael fully support him and he will be elected as Taoiseach of the country in two weeks' time.”
Mr McGrath said he knew that Mr Harris recognised the importance and value of a good relationship at leader level.
“We have three parties in this government. And while we will all seek to have our own individual identity as parties while continuing to serve in government, the most important thing here is the stability of the government, that we offer certainty for our economy, for people who are creating and sustaining jobs in Ireland, and that we use the resources that we are generating wisely to build homes, to invest in public services. And that's what the government will do.”
