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Business Supports

Dáil Éireann Debate, Tuesday - 25 June 2024

Tuesday, 25 June 2024

Ceisteanna (153)

Seán Sherlock

Ceist:

153. Deputy Sean Sherlock asked the Minister for Enterprise, Trade and Employment if there is flexibility for businesses seeking to avail of the increased cost of business scheme grant if they pay rates to a landlord rather than to a local authority. [26819/24]

Amharc ar fhreagra

Freagraí scríofa

As the Deputy will be aware, I announced the reopening of the ICOB grant scheme from May 15th until May 29th.  This was to ensure those business owners who missed the original deadline had the opportunity to register. 

I also made a change to the scheme that allows for a second payment to be made to businesses in the hospitality and retail sectors, or for a double payment to businesses in those sectors.An important aspect of the ICOB grant scheme has been to directly involve the Local Authorities in the authorisation and payment processes, as they are closest to the commercial life within their cities and counties and work in the provision of supports to smaller enterprises via the Local Enterprise Offices.  This is one reason why eligibility is in part determined by the rates system which is a good proxy for determining the scale and size of businesses.Businesses who are tenants could register as long as they are the rate payer.  It has been brought to my attention that some businesses have entered into arrangements with their landlords whereby the rent payable includes an amount towards rates, and their rates bill is in turn satisfied by the landlord.  The legal position, (under section 4 of the Local Government Rates and Other Matters Act 2019, as well as the amendments introduced through the Historic and Archaeological Heritage and Miscellaneous Provisions Act 2023) is that tenants whose rent incorporates their rates obligation and is remitted by the landlord cannot be deemed to be the ratepayer.The Deputy will appreciate that it would be inappropriate for me to attempt to interfere with existing commercial arrangements between small businesses and their landlords, in the context of the Increased Cost of Business Scheme. The priority has been to ensure that as many businesses as possible receive the money as quickly as possible.

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