Above from left: the Minister for Public Expenditure and Reform, Michael McGrath; The Minister for Finance, Paschal Donohoe, and the Minister for Social Protection, Community and Rural Development, Heather Humphreys outline changes to the Pandemic Unemployment Payment and the Employment Wage Subsidy Scheme this afternoon
Government Buildings, Dublin 2.
The budget deficit this year will now be €23 billion, up approximately €1.25 billion on the figure outlined in Budget 2021, Minister for Finance, Paschal Donohoe announced at a press conference.
The increase reflects the anticipated €2 billion spend over the next six weeks on several income and business support schemes as Level 5 restrictions come into play.
This will mean that GDP is expected to decline this year by 3.5%, a further 1% decline on the forecast released at Budget time.
Mr Donohoe said that the enhanced Employment Wage Subsidy Scheme (EWSS) is expected to cost €105m a week, the new Covid Restrictions Support Scheme (CRSS) €80m a week and the PUP €135m a week.
Social Protection Minister Heather Humphreys said the enhanced PUP will be given at its current rate until January when it will then be reviewed….