Ukraine Enterprise Crisis Scheme extended to 2023 and 2024
Many Irish SMEs will welcome the changes announced on March 20th 2023
The Minister for Enterprise, Trade and Employment, Simon Coveney, has just announced some welcome changes to the €200 million Ukraine Enterprise Crisis Scheme.
This scheme, consisting of two streams of funding, supports viable but vulnerable firms of all sizes in the manufacturing and internationally traded services sectors The two streams of the scheme have been extended and amended to continue to assist Irish businesses with ongoing trading challenges and high energy costs that result from Russia’s war on Ukraine.
- The first stream – which assists firms suffering liquidity problems as a result of Russia’s war on Ukraine – has been extended to 31 December 2023.
- The second stream – which help those impacted by severe rises in energy costs – has been extended to 31 March 2024.
In his announcement, Simon Coveney said:
We are acutely aware of the impact the situation in Ukraine is having on Irish businesses in terms of trading difficulties as well as the impact on energy costs. The amended Ukraine Enterprise Crisis Scheme will continue to assist companies most exposed to and suffering the broader effects of the war in Ukraine.
Ukraine Enterprise Crisis Scheme – key facts
The scheme, which was first announced as part of the Budget in October 2022, is administered by Enterprise Ireland and includes the IDA and Údarás na Gaeltachta as granting authorities.
Under the initial scheme, companies could apply for a minimum of €20,000 and a maximum of €500,000 under stream 1 and up to €2 million in the case of energy intensive firms under stream 2. Under the revised scheme the aid levels are to be increased to €2 million and €4 million respectively.
Stream 1 supports viable Manufacturing and Internationally Traded Services companies experiencing trading difficulties to access funding up to €2 million. To qualify for funding, companies must show a 15% reduction in EBITDA between 2021 and 2022/2023, as a result of the crisis resulting from the war in Ukraine.
Stream 2 supports eligible in Manufacturing and Internationally Traded Services energy intensive companies who are experiencing severe increases in energy costs in 2022 and 2023. At least 3% of turnover in 2021 or 6% of turnover in 2022/2023 must have been expended on energy costs. Companies must submit an energy efficiency plan either planned or underway.
For more information on the scheme, or to find out more about alternative supports, visit Enterprise Ireland’s website or talk to your financial advisor.