£300 million pounds Covid support package announced for businesses
Last updated 23rd Nov 2020
The Northern Ireland Executive has agreed a further £338.1 million pounds of funding for those hit by further lockdown restrictions.
Finance Minister, Conor Murphy, told the Assembly today (Monday) ahead of the two-weeks of stricter restrictions which start on Friday.
He said the funding comes from the £400 million pounds which Stormont received from the Treasury a fortnight ago.
Current support measures, including the Localised Restrictions Support Scheme and the Department for Economy's Covid Restrictions Business Support Schemes, will be extended.
Allocations agreed include:
- £150 million for rates relief for the sectors worst affected by the pandemic - retail, hospitality, tourism, leisure, childcare, and airports.
- £95 million High Street Voucher Scheme will give people a pre-paid card for use on the high street.
- £20 million for company directors, a group that has been excluded from previous support.
- £10.6 million for wet pubs.
- £5 million to top up the Tourism and Hospitality Scheme.
- £4.1 million for bed and breakfasts.
- £44.3 million to enable a one-off heating payment of £200 to disabled people on higher rate allowances and older people in receipt of pension credit.
- £10 million each for support for councils and sport.
- £20.6 million for Department of Education which includes food grants for families of young people entitled to free school meals.
- £1.2 million from the £10 million set aside for support for airports to provide further support to the City of Derry Airport.
Mr Murphy also addressed claims that the allocation of further funding should have happened when the announcement was made last week.
He said he and his officials worked over the weekend to put the new measures in place and understands the frustration of businesses across the country, but explained the process normally takes much longer.
He said: “The Covid crisis has provided a highly uncertain financial context and we’ve not known what course the virus would take.
“I requested urgent proposal from Executive colleges to use this funding to support businesses, public services and vulnerable people.
“Some members have questioned why this funding wasn’t dispersed immediately.
“Had we as an Executive allocated this funding immediately, we wouldn’t have been able to take into account the new restrictions agreed by the Executive last week.
“It was my view that it was right to have a plan in place to take us to the new year before making these allocations.
“It’s been argued that the financial package today should have been made at the same time as the new restrictions were agreed last Thursday.
“The First Indication I had of the restrictions being proposed was that Thursday morning.
“The proposed restrictions were discussed by the Executive throughout the day and agreed on Thursday night.
“It was only at that point that a financial package could be finalised and my officials and officials in other departments have worked over the weekend to put this in place.”
The Minister said an additional £55 million pounds is being allocated to extend the Localised Restriction Support Scheme operated by the Finance Department.
It will be expanded to include non-essential retail and leisure and entertainment businesses required to close for a fortnight.
He also confirmed the Department for the Economy’s Covid Restriction Business Support Schemes will also be extended.
He added: “I understand the frustrations of businesses with the speed at which payments are being made.
“It’s important to understand that scheme that would usually be designed and implemented over many months are being turned around in days and many Government departments have repurposed themselves to provide grant support.
“For example, Land and Property Services, within my own department, is a rates collection agency, it has transformed itself into a grant making agency and has taken on new powers to do so.”