SME group concerned over lack of major grant scheme in Programme for Government

SME Recovery Ireland has expressed its disappointment over the lack of a major grant scheme in the newly published Programme for Government.

SME Recovery Ireland is a grouping of industry sector representative organisations and other experts, and is endorsed by Habic and the Hairdressing Council of Ireland.

The introduction of a scheme to recapitalise small businesses was one of three key asks put forward under the group’s National Small Business Recovery Plan.

“While we are encouraged to see the Programme for Government document acknowledge the vital role SMEs will play in reigniting and renewing Ireland’s economy, there appears to be a commitment to only back sectors and businesses which the Government deems viable,” said chair of SME Recovery Ireland John Moran. “It is disappointing to see little in the way of supports to recapitalise small businesses for the costs incurred in voluntarily closing their doors to protect staff and customers back in March.

“However, the major economic stimulus package, which is expected to be unveiled next month as part of the programme, will hopefully provide a much-needed boost to enable our small businesses to return to capacity where possible and more broadly to strengthen SMEs’ resilience, productivity and innovation. Attention must now turn to delivering this package as a matter of urgency if we are to prevent our small businesses from failing, many of whom face real liquidity and cashflow issues.”

SME Recovery Ireland was initially established due to the fear that the cries for help from small business owners were not being listened to, noted Moran. “The intention to convene an SME and State Bodies Group to coordinate the Government’s ongoing response to Covid-19 for small businesses, as well as an SME Growth Taskforce, shows some commitment to ensure these voices are listened to. However, this commitment can only be fully demonstrated through the delivery of the correct supports. It is vital that Government uses these new platforms to listen to what the SME sector needs to recover.”