Pandemic payment is extended but reduced and tapered

The Government has announced that the Pandemic Unemployment Payment will be extended to April, but will be reduced and tapered from the middle of Septembr

As part of the July Stimulus package announced this afternoon, the Pandemic Unemployment Payment will now be further extended to April 2021 and the payment rate will be tapered over that time by introducing a new earnings-related payment rate of €250 and reducing the headline payment rate to €300.

From September 17 there will be three rates of payment:-

For people who previously earned less than €200 per week

€203

For people who previously earned between €200 and €300 per week

€250

For people who previously earned over €300 per week

€300

The payment rates will be further calibrated in February and April next year to taper back to the standard jobseeker payment of €203 from April 2021.

The scheme will also close to new claimants on September 17.

The Minister for Social Protection Heather Humphreys noted:

“The Pandemic Unemployment Payment was introduced as an emergency payment in response to the Covid-19 pandemic. It has proven to be highly effective and undoubtedly played a key role in securing and sustaining public support for the restrictive public health measures.

“However as the economy re-opens what was necessary and what worked in March needs to be refined now to take account of the present situation. The public health restrictions are being gradually lifted and as they are lifted more people have the opportunity to go back to work.

"In that context, while a flat rate payment set at the level normally paid to a two-person household was a necessary element of a scheme introduced as an emergency measure, it is not sustainable or necessary into the longer-term. We are changing it to make it fairer and more affordable so that we can extend the scheme itself into Spring of next year and continue to help people still out of work with a strong income support.”