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Wage Subsidy Scheme Extended

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Wage Subsidy Scheme Extended

Laura Donnelly
Laura Donnelly

01:51 9 Dec 2021


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The Government has announced the extension of the Employment Wage Subsidy Scheme until the end of January and a restoration of November's higher rates.

Minister Paschal Donohoe said they couldn't design a targeted scheme for the hospitality sector in time for Christmas.

Ministers and officials had been working since Friday to put together a targeted support scheme for the hospitality and live events sector.

But Finance Minister Paschal Donohoe said their efforts wouldn't have been ready to pay people before Christmas, so they've gone a different route. While it will mean no direct payment for those businesses struggling but not closed, Public Expenditure Minister Michael McGrath believes it will provide support.

The wage subsidy scheme is also returning to November's rates, which were cut only 8 days ago.

The CRSS scheme for businesses closed by restrictions, like nightclubs, has been extended until the end of January.

While the commercial rates waiver has been extended until the end of March 2022.

PUP

Elsewhere, The Department of Social Protection says it would have been untenable to apply a normal level of checks to the PUP.

An analysis has found nearly 10% of people claiming it may not have been eligible.

The pandemic unemployment payment was brought in at the start of the pandemic to quickly get supports to people who lost their jobs due to Covid restrictions.

The three support schemes introduced cost the state €9bn last year.

But analysis of a random sample of claims by the Comptroller and Auditor General has found 1 in 10 mightn't have been eligible.

Seamus McCarthy says it was always expected the risk of overpayments for the PUP would be higher than normal, while Secretary General of the Department of Social Protection, John McKeon, says he accepts they could have done better.

The department is also planning to recover any overpayments that might have been made, over the coming months.

The Minister for Public Expenditure has said officials will review the checks and controls in place for the PUP.

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