skip to main content

Govt set to 'improve' business energy support scheme

The Government is expected to improve supports for businesses struggling to pay energy bills.

Minister for Finance Michael McGrath confirmed to RTÉ News that the Temporary Business Energy Support Scheme is being reviewed.

Next week, the Government is set to finalise its approach to the financial aid in place for households and businesses that were aimed at curbing energy costs through the winter.

Most of these measures are set to end within the next couple of weeks, but there has already been a pledge from the Taoiseach that there will be no cliff edge.

While no final decisions have been reached, Minister McGrath gave a strong hint today that supports for businesses will be extended and improved.

He said it is under consideration because the Government wants to ensure that jobs are protected across the economy.

It is also likely that more businesses will be able to apply for funding in any revised scheme.

The current scheme allows companies to claim 40% of the increases in energy bills, up to a maximum of €100,000 per claim, but the take up from businesses has been low.

Minister of State at the Department of Finance Seán Fleming said uptake for the scheme "wasn't what was expected" despite "good money" being provided.

Speaking on RTÉ's Saturday with Colm Ó Mongáin, Minister Fleming said businesses have told him that the scheme is "complicated".

"The Government wants to support businesses but I think the scheme needs to be simplified so that people can actually get the benefit of this much more quickly than they're doing at the moment," he said.

"Some are getting it, but I think it's not as widespread take up as we'd like."

Speaking on the same programme, Sinn Féin TD Sorca Clarke said the public needs certainty from the Government and "hints aren't going to cut it".

She said her party would like to see a spring bonus payment introduced for those who are on social welfare and that targeted supports are needed.

"Where there is an additional need or an illness or a disability in the house - that ability to meet the bills is further restricted on families," she said.

"The most vulnerable need these supports."

Independent TD Richard O'Donoghue said the "squeezed middle" is struggling and there are households that cannot pay their bills despite both adults working.

He told the programme that families were having to choose between paying the mortgage or putting food on the table for their children.