State grant aid must be rolled out for businesses as a matter of priority– Troy

-New EU rules mean Government can support businesses with up to €800,000 grant aid-

 

Fianna Fáil Spokesperson on Business, Enterprise and Innovation, Robert Troy, has urged the Government to hurry up and avail of new state aid rules to protect exposed businesses from Covid-19.

Deputy Troy said it was incumbent on them to apply for the new state aid celling which allows grant-aiding of companies up to €800,000.

He explained, “On March 19th, the European Commission announced new EU state aid flexibilities. Member States are now allowed to draw up schemes to directly grant-aid companies to address urgent liquidity needs up to €800,000 – this represents a massive and much needed increase.

“Yet here we are almost two weeks on, and we are still waiting to hear what plan the Department of Business, Enterprise and Innovation have.

“In every single briefing I have attended with the Minister and her senior officials I have impressed on her the need for liquidity so that businesses can keep themselves afloat.

“I have written to the Secretary General of the Department asking what liquidity schemes they intend to bring forward in light of these new relaxed EU rules, yet I am none the wiser.

“We’re not even a quarter of the way through 2020 and already we have seen colossal disturbance to the economy. The Government need to immediately seek approval at EU level for new grant-aided schemes to avail of the state aid changes and safeguard enterprises,” he concluded.

ENDS