Economic Recovery Plan

As the successful vaccination programme allows us to progressively reopen the economy, the Economic Recovery Plan sets out how we will support the full resumption of economic activity and get people back to work.

Building on the extensive supports the government put in place since the start of the pandemic, this Plan sets out a new phase of supports, investment and policies for a new stage of economic recovery and renewal.

Our overarching ambition is to have 2.5 million people in work by 2024, exceeding pre-pandemic levels. Many of these jobs will be more productive, innovative, resilient and in new areas of opportunity, aligned with the government’s green and digital ambitions.

Four Pillars of the ERP

1 Ensuring our public finances are sustainable for a lasting recovery
2 Helping people back into work by extending labour market supports and through intense activation and reskilling and upskilling opportunities, driven by Pathways to Work 2021-2025
3 Rebuilding Sustainable Enterprises through targeted supports and polices to make enterprises more resilient and productive
4 A Balanced and Inclusive Recovery through strategic investment in infrastructure and reforms that enhance our long-term capacity for growth, balanced regional development and by improving living standards

You can find more information on each of them by clicking on the boxes below.

Key points of the Economic Recovery Plan include the following:

  • a substantial extension of the Employment Wage Subsidy Scheme (EWSS), the Pandemic Unemployment Payment (PUP), and the COVID Restrictions Support Scheme (CRSS), and considerable enhancement of both EWSS and CRSS
  • complimented by a range of initiatives including extension of Commercial Rates Waiver, new additional Business Resumption Support Scheme, and extension of Tax Debt Warehousing Scheme
  • continuing to provide supports for worst-affected sectors including aviation, tourism and events as they continue to reopen, including the extension of 9% VAT rate for tourism and hospitality sector, supports for live entertainment and events sector, and a roadmap for the aviation sector
  • strategic investment that will drive the digital and green transition, as well as supporting social and economic recovery and job creation
  • overarching ambition to exceed pre-crisis employment levels by reaching 2.5 million people in work by 2024
  • help people back into work, and into new sustainable job opportunities through increased activation, and reskilling and upskilling opportunities
  • a pathway to a strong, resilient economy, aligned with the government’s green and digital ambitions;
  • learn lessons from the pandemic by building a balanced and inclusive recovery, which leverages new ways of working, and by improving labour market supports and living standards
  • ensuring sustainable public finances for a lasting recovery

How the ambition of the Plan will be supported

This ambition of the plan will be supported through:

  • A comprehensive package of supports including the extension of unprecedented enterprise and labour market supports, complemented by targeted supports for the most impacted sectors.
  • significant investment of €915 million for areas of opportunity, through funding for Ireland’s National Recovery and Resilience Plan under the European Recovery and Resilience Facility, aligning with our approach by focusing on sustainable, innovative and digital progress. Projects are grouped across three distinct priorities in line with our approach to recovery:

Priority 1: Advancing the Green Transition – €503 million

Priority 2: Accelerating and Expanding Digital Reforms and Transformation - €295 million

Priority 3: Social and Economic Recovery and Job Creation - €181 million

  • This approach will be further reinforced through multi-billion capital investment in the upcoming revised National Development Plan, which has sustainability and regional development at its core, and ambitious housing targets under the forthcoming Housing for All Strategy.
  • Strategic policies linked to the four pillars of the Plan will ensure progress towards its overall aims.

The Plan is part of a suite of key economic outputs over a crucial 12-month period:

Image: Timeline_ERP