The Government has been warned that the financial costs of continued restrictions are very large and that the short-term economic outlook has worsened due to the current Level 5 restrictions.
Covid contingency funds could run out by the middle of the year if restrictions are only eased gradually after 5 March. The additional costs of various income support schemes could reach €4.7 billion by June which would exhaust the Contingency Reserve and Recovery funds.
Minister for Finance Paschal Donohoe and Minister for Public Expenditure and Reform Michael McGrath revealed the figures at a meeting last week of the Cabinet sub-committee on Economy and Recovery.