I thank Deputy McGrath for raising the important issue. I know how important SMEs and small businesses are in his constituency in County Tipperary. I fully recognise the cost pressures SMEs are facing and the impact this is having on their ability to keep their doors open. As the Deputy stated, the programme for Government contains several important commitments, including with regard to VAT reductions and adjustments to PRSI, in respect of improving the business environment to make matters easier for Ireland’s hardworking business owners. Last year, the Government introduced two business support schemes that were designed by the Department and administered by local authorities. The increased cost of business scheme was launched in March 2024 and was delivered in two phases. The first phase was a broad scheme that distributed €154 million to 75,000 SMEs in all sectors of the economy in recognition of the higher cost of doing businesses. The second phase was targeted specifically at businesses operating in the sectors most impacted by increasing costs such as energy, which were mainly retail, hospitality and beauty businesses. Almost 39,000 SMEs in those sectors received a second ICOB payment, and a total of €90 million was paid out through this second phase of ICOB in 2024. As part of budget 2025, which was introduced in October, and in recognition of high energy costs, the Department introduced the power up grant, which was again delivered by the local authorities. Under this scheme, almost 39,000 SMEs in the retail and hospitality sectors received a flat grant of €4,000 in the final months of the year. In total, more than €158 million has been paid out through the power up grant. Taken together, these grant schemes paid out more than €400 million in a very short space of time. I express my appreciation to all workers in local authorities for getting these important grant supports out to businesses so quickly. A business must have received the second phase of the ICOB to be eligible for the power up grant. This was to ensure businesses were able to get payments as quickly as possible. The Department is aware of the issue the Deputy raised in the power up registration process where businesses were ineligible for the grant due to incorrect classifications. The Department is actively working on this issue with businesses in relation to registration during the ICOB process. It is reviewing the issues. I will take the specific points raised around post offices into consideration in the next steps in the consultation. We are engaging with the Department of public expenditure and reform and local authorities on this in order to arrive at a swift resolution.

Sentiment score: 0.36

I thank Deputy McGrath for raising this important issue and for his contribution here today. I reiterate and fully appreciate the important role Irish SMEs play, and their contribution to towns and villages throughout the country. I recognise the increased pressure of doing business. I would point to the speed at which this power up grant was delivered, with more than €150 million distributed through the local authorities in a two-month period. It has been of enormous benefit, with the flat rate of €4,000 representing an enormous cash injection for many of these businesses that desperately need it. It does alleviate some of the pressure, although not all of it. We paid out more than €400 million in 2024 to the businesses most affected. I take on board the issues Deputy McGrath raised in respect of the registration period for the power up grant. As I said earlier, businesses were unable to amend a mischaracterisation of their sector, and this needs to be rectified. I will review this in consideration with Deputy McGrath.

Sentiment score: 0.19