The July Jobs Stimulus is a €7.4 billion stimulus package announced by the Government of Ireland on 23 July 2020 in response to the economic impact of the COVID-19 pandemic in the Republic of Ireland.[1][2][3] The package includes 50 measures to boost economic recovery and get people back to work.[4] The spending primarily includes €115 million for active travel, public transport and renewal of transport infrastructure, €75 million for primary and secondary schools to carry out reconfiguration works necessary to support schools' reopening in late August and September 2020 and €112 million in employment services and supports to deliver 47,500 training and apprenticeship places and a €450 million package of business supports including a €250 million Restart Grant to provide direct grant aid to businesses with up to 250 employees to help them with the costs associated with reopening and reemploying workers.[5][6][7][8]
The COVID-19 Pandemic Unemployment Payment, due to close on 10 August, would be extended until April 2021 and will be gradually reduced to €203 per week over that period based on the pre-pandemic earnings of the claimant as part of the package.[9] From 17 September 2020, the scheme would close to new applications and the headline rate of payment would reduce from €350 to €300.[10] The Temporary COVID-19 Wage Subsidy Scheme would be replaced by the Employment Wage Subsidy Scheme in September 2020, which would run until April 2021.[11][12]
The package includes the following measures.[13]
On 14 August, Minister for Social Protection Heather Humphreys opened applications for the newly revamped Enterprise Support Grant, designed to assist people who transitioned from the COVID-19 Pandemic Unemployment Payment into self-employment since 18 May.[18] The Enterprise Support Grant is worth up to €1,000 per person and is aimed at sole traders such as plumbers, electricians, carpenters and taxi drivers, who do not pay commercial rates.[19]
On 3 September, as part of the July Jobs Stimulus, Taoiseach Micheál Martin, Minister for Finance Paschal Donohoe and Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media Catherine Martin launched the Stay and Spend Scheme to help drive sales in the hospitality sector during the off-season which has been negatively impacted as a result of COVID-19, which will run from 1 October 2020 to 30 April 2021.[20] The scheme provides a maximum of €125 in income tax credits to tax-payers who spend up to €625 in restaurants, pubs, hotels, B&Bs and other qualifying businesses.[21]
On 7 September, Tánaiste and Minister for Enterprise, Trade and Employment Leo Varadkar, Minister for Finance Paschal Donohoe, Minister for Public Expenditure and Reform Michael McGrath and Minister for Agriculture, Food and the Marine Charlie McConalogue opened the new €2 billion COVID-19 Credit Guarantee Scheme to provide Irish businesses, including those in the farming and fishing sectors, with access to low cost loans as they respond to the impacts of COVID-19.[22][23] The scheme allows small and medium-sized enterprises to borrow up to €1 million, with 80% of the loan guaranteed by the state.[24][25] The COVID-19 Credit Guarantee Scheme is the largest state-backed loan guarantee for businesses in the history of Ireland.[26]