Minister for Finance Michael McGrath has said that businesses impacted by flooding during Storm Babet will receive financial support from next week.
The Red Cross was experienced in dispersing such funds, he told RTÉ radio’s Morning Ireland.
Funds varying from €5,000 and up to €20,000 will be available, and if there is a need to go further because of a lack of flood insurance then there will be an increased level of support, he said.
Mr McGrath visited Midleton on Thursday, and what he had seen there “would really break your heart,” he said.
“To see it in person and to see all of the destruction and stock that was destroyed out on the pavements and mounds of it in skips.
“To see just the anguish, the frustration and indeed the anger of many of the business owners who are now deeply worried about the future.”
While the focus had been, rightly, on Midleton, there were many other parts of Cork and indeed West Waterford that had been impacted, he added.
The assessment of the full scale of the damage to homes and to businesses will take some time, but the support will be there.
“The overarching message that we wanted to convey yesterday, is that we will be there to support households and to support businesses as they try to get back on their feet because it is going to be a difficult journey for many.
“But we do have to ensure that all of these businesses that were viable two days ago can continue to trade into the future. And I know that they get incredible support from the local community, that has been demonstrated already. I was so impressed by the community spirit.”
Mr McGrath said there was a long-established scheme to support businesses, volunteer groups, community organisations impacted by flood events. “It's administered by the Red Cross on behalf of the Irish Government.
“That scheme will be stood up following a Cabinet decision next week. It's a non-statutory scheme, so it does require a decision of Government formally to be made and Minister Coveney is developing the memo at the moment that would be brought to Cabinet on Tuesday and the scheme will be up and running immediately.”
The Minister said the Red Cross administered scheme will provide an initial €5,000 and then support of up to €20,000 following consideration of the scale of the damage, he explained.
Many businesses did not have flood insurance because of floods in the past so there could be a need to go further with financial aid, and that was being considered, he said. The Government would do everything it could and he acknowledged that €20,000 might not go far enough for some businesses, he added.
For those businesses that need extra support changes will have to be made to the existing scheme in a manner that can be sustained into the future, he said.
“So it is about amending the scheme and improving the scheme rather than designing a new one.
“There's no need to reinvent the wheel here, we have a system that has worked well generally in the past, but the scale and the depth of what has happened here is much greater and we, I think, need to take this opportunity to amend and improve that scheme and that will be done for next week.
“There is also an existing scheme up and running for households and that scheme is immediate through the local Community Welfare office.
“Minister Humphreys issued a statement yesterday setting out the details of that scheme for households that are not able to access flood cover insurance.
“So that's there immediately and people should reach out and all of the details are online. I also spoke yesterday to Insurance Ireland because there are some businesses and some households, particularly outside of the the centre of Midleton, who do have flood cover insurance.
“And it's important that the insurance industry responds quickly and fairly in supporting those policyholders who have insurance cover and who shouldn't be afraid to make a claim. Where people have cover they should be making a claim from their insurance.”
