Small businesses at crisis point
Noel Thomas calls for an urgent small business support package as new fuel and energy surcharges begin to hit Galway firms as part of the cost of living crisis.
Independent Ireland councillor and Galway West by-election candidate Noel Thomas has called on Government to bring forward an immediate, targeted support package for small businesses as new fuel, transport and energy surcharges begin to land with firms across Galway. His call comes as the latest Exchequer figures show the State took in €22.6 billion in tax revenue in the first quarter of 2026, up 3.4 per cent on last year, with income tax at €8.7 billion, VAT at €8.0 billion, and €18 billion already transferred to the Future Ireland Fund and the Infrastructure, Climate and Nature Fund. The Department of Finance has itself said the State is in a strong position to respond to protect households and businesses. 
Councillor Thomas said small businesses do not need open-ended handouts, but they do need Government to step in with temporary, practical assistance so they can continue trading through a period of exceptional volatility. “What business owners are telling me is very simple. They are being hit again with fresh increases in transport, fuel and energy-related costs on top of everything else they have already absorbed. These are not people looking for a bailout. They are looking for breathing space and a fair chance to keep their doors open, keep people employed and keep serving their communities.”
He said one of the quickest interventions would be a temporary commercial rates waiver or reduction, with central Government compensating local authorities directly. “We have done this before in Ireland and we can do it again. During Covid, the State funded commercial rates waivers for affected businesses. If Government can step in during one crisis, it can step in during another when viable firms are under pressure from externally-driven cost shocks.” Official Government material states that a 100 per cent commercial rates waiver was applied during the Covid period for most businesses, with local authorities compensated by the State. 
Councillor Thomas also called for a new targeted business energy and fuel cost support scheme, modelled on measures already used here and elsewhere in Europe. “Ireland already had the Temporary Business Energy Support Scheme, which covered part of the increase in electricity and gas bills for qualifying firms. That shows the mechanism exists. Government should now reactivate a time-limited scheme for businesses facing sudden fuel and energy surcharges.” In Budget 2023, Government announced the €1.25 billion TBESS, with support for qualifying firms covering up to 40 per cent of the increase in electricity or gas bills, while a separate Irish Business Users Support Scheme for Kerosene compensated eligible firms for 50 per cent of the increased cost of kerosene used to heat business premises. 
He said there is also no reason Ireland cannot learn from other European responses. “In Germany, the Government introduced electricity and gas price brakes for businesses during the energy crisis and backed that response with very significant funding. In France, the State operated a dedicated support window to help businesses with electricity and gas bills, and also introduced targeted fuel support for smaller firms in specific sectors. The lesson is clear: when global shocks hit, serious governments step in with temporary cost relief to keep their enterprise base alive.” Germany’s federal government said its protective shield would provide up to €200 billion, including electricity and gas price brakes, and additional liquidity and support measures for companies facing difficulty because of the crisis. France’s economy ministry says its business support window for gas and electricity bills, first created in 2022, was extended into 2024, while a separate French scheme supported small construction firms with aid equal to 5.99 cent per litre of non-road diesel, up to €20,000 per company. 
Councillor Thomas said the Government should now examine a package built around four immediate measures: a temporary commercial rates pause funded by the Exchequer; a targeted rebate or credit for firms exposed to sudden fuel and energy surcharges; short-term transport and logistics relief for rural and regional businesses that cannot simply absorb distribution cost increases; and State-backed working capital finance so otherwise viable small firms can manage cashflow without being pushed towards closure. He said temporary VAT flexibility should also be examined for sectors under the greatest strain. “The point is not to subsidise inefficiency. The point is to prevent good local businesses being wiped out by a global shock they did not create and cannot control.”
He said the danger now is that Government waits until the damage is already done. “These letters and notices are the warning signs. If Government acts early, many businesses will get through this. If it stands back, we will see more firms cut hours, shelve investment, and in some cases shut altogether. Once a small business closes in a town or village, the loss goes far beyond that one premises. You lose jobs, local service, local spending and part of the life of the community.”
Councillor Thomas said the State has the fiscal room, the precedent and the policy tools to act. “The Government cannot keep talking about resilience and surpluses on one hand while ignoring the people actually trying to keep the economy moving on the other. Small businesses are not asking for special treatment. They are asking for practical support to get through an international fuel crisis. That is a reasonable ask, and the Government should respond.”
