Ireland unveils additional ‘lifeline’ to business

Ireland will allow firms impacted by the coronavirus crisis to warehouse tax liabilities for 12 months, offering a “lifeline” as part of an additional package of business supports that could reach 6.5 billion euros, the government announced on Saturday.

Speaking at a Government press briefing, Minister for Finance, Public Expenditure and Reform Paschal Donohoe said it was to help businesses in the “gradual recovery phase”. “Today the Government has now agreed further supports to rebuild jobs and rebuild businesses as our public health guidance changes,” he added.

The minister said these new measures would build on what has already been done to help businesses. ” They involve up to €2bn in guaranteed loans to help our small and medium businesses and enterprises.

Commercial rates will also be written off for three months, a 2 billion euro credit guarantee scheme will be introduced for small and medium sized businesses and Ireland’s sovereign wealth fund directed to make 2 billion euros of equity available for bigger companies, Finance Minister Paschal Donohoe said in a statement.

Ireland concentrated its initial 8 billion euro fiscal response on increased jobless payments and wage subsidies for affected employees, with 1 billion euros of liquidity supports offered directly to reeling firms

Reuters / RtE