COVID-19 Adaptation Fund guidelines

COVID-19 Adaptation Fund guidelines

The €26m COVID-19 Adaptation Fund for tourism and hospitality businesses was announced as part of the July stimulus package.  
 
The Adaptation Fund closed to new applications from all businesses on 24 December 2020.

In recognition of the re-opening costs incurred by tourism businesses, the purpose of this Adaptation Fund (“the Fund”) was to contribute to the costs of implementing Fáilte Ireland’s Guidelines for Re-Opening. It was intended to help support tourism businesses through grant payments to make either the structural adaptations required for fixed, visitor-facing premises, or to cover the cost of COVID-19 related consumables (such as sanitiser or Personal Protective Equipment (PPE)) for those businesses which provide a visitor experience but do not have significant visitor-facing premises, most notably activity/experience providers and some accommodation providers.

Maximum grant amounts available were based on the type and size of the tourism business and the relative costs incurred.

Through these support measures, Fáilte Ireland sought to encourage and support tourism businesses to re-commence trading, re-engage their employees and relaunch Ireland’s tourism sector in 2020.

Clarifications regarding applications to the Adaptation Fund

• Licenses: Due to the recent developments and delays regarding new applications for Special Restaurant Licences, Wine Retailers On Licences and Publican’s Licences, Fáilte Ireland will now accept an image of proof of application (the completed Excise Licence Application) instead of an image of the licence itself in the Adaptation Fund application form, to facilitate applicants to apply for funding. As applicants are required to enter a licence number in the Adaptation Fund Form they should enter ‘SRL’ or ‘WROL’ as appropriate.
 

• Once an applicant has received the licence they will be required to submit an image of the licence via email (to adaptationfundteam@failteireland.iebefore payment is made, as this is a condition of the Guidelines of the Fund. All applications will continue to be processed and paid in 2020 and in to 2021 once we have received a copy of the licence.
 

• Evidence of work completed: As part of the application, applicants must provide Fáilte Ireland with evidence of work completed in respect of eligible costs under the Fund before funding can be granted. Typically, this is photographic evidence of the completed work. For clarification, Fáilte Ireland will also accept evidence that the costs have been incurred, even though the work may not yet have been completed. The evidence must be in the form of a binding commitment to undertake the work, e.g. sales order, proforma invoice, contractual commitment, proof of deposit payment etc. A quotation is not sufficient evidence.


• Medium-sized and large-sized businesses providing evidence that they were not undertakings in difficulty: Initially, businesses which were a medium-sized or large-sized business over 3 years in business were required to provide evidence that they were not an ‘undertaking in difficulty’ as defined by the EU. To facilitate this, such businesses were required to upload an independent accountant’s certificate stating that this was the case. This has now been changed so that either of the following is acceptable:

- An independent accountant’s certificate/letter/report stating that this is the case based on the 2019 financial accounts received from the business OR

- An audit report (dated 2019 or 2020), signed by the business’ accountant for the most recently prepared year-end financial statements. The report should state that these financial statements have been prepared on a going concern basis and they agree with this basis of preparation.

 

• Grantees will be required to complete the Safety Charter within 3 months of receiving a grant from the Adaptation Fund. Grantees who do not complete the Charter within this time frame will be required to pay back any funding received. 

  • Q1. What is the Fund?
  • Many tourism businesses have incurred different types and level of costs, depending on the type and size of the business and the nature of the offer, e.g. a hotel with significant premises is very different to a cycling operator. Some businesses have large premises and therefore have incurred considerable capital costs in adapting for re-opening. Others may have incurred costs for cleaning and PPE only, particularly where they do not have premises or where these premises are self-contained, e.g. self-catering accommodation. In addition, many businesses may have the opportunity to adapt and weather-proof outdoor spaces to cater for more visitors both as part of immediate re-opening but also into the autumn/winter season.

    In order to ensure funding is delivered to as many tourism and hospitality businesses as possible, the Fund has been designed to cater for a wide variety of business types and therefore there are two strands to the Fund:

    Strand A Funding for Capital Costs associated with Visitor Premises which contributes funding to businesses which have incurred capital costs in the adaptation of their premises for re-opening to visitors/customers in line with the Fáilte Ireland Guidelines for Re-Opening.

    Strand B Funding for Consumables which contributes funding to businesses which do not have significant visitor facing premises and/or only have expenditure on COVID-related consumables, particularly the sanitisation of equipment and safety gear, in accordance with the Fáilte Ireland Guidelines for Re-Opening. This strand is open to activity and boat tour operators and any accommodation providers which have not incurred any capital costs.

    It is acknowledged that all businesses will have incurred costs in relation to consumables. However, Strand A is a capital grant and is therefore not intended to fund COVID-19 related consumables such as sanitiser or PPE, increased wage costs arising from changes in work practices and compliance, or for ongoing operational costs that would be incurred in the normal course of business.

    Capital is defined as expenditure on permanent/semi-permanent infrastructure with a lifespan of 1 year or greater. A business is eligible for funding under either Strand A or Strand B. Higher funding amounts are available under Strand A (refer to Q17 for more detail).

  • Q2. What businesses are eligible to apply?
  • Businesses eligible to apply are listed below, and it is important that all applicants check the definition and eligibility criteria specified for each category of business before applying. Please submit the Adaptation Fund Pre-Eligibility Checklist.

    Find out more on how to apply


    Eligibility does not mean an entitlement to funding, which is at the sole discretion of Fáilte Ireland; rather it means eligibility to proceed to application stage. 

    Businesses must be open at the time of application in order to be eligible for this Fund, in line with the Government’s Roadmap for Re-opening Society and Business. An exception will be made where a Government-mandated closure has been ordered for businesses that were already open. These businesses will be eligible to apply for re-opening costs incurred before the mandated closure. In order to facilitate this the closing date for applications is 31 October 2020.

    The following businesses are eligible to apply:

    Strand A: Businesses with Capital Costs for fixed premises used by visitors

    • Accommodation included on Fáilte Ireland’s Statutory Accommodation Register 2020 or Non-Statutory Accommodation Listing 2020

    • Pubs/bars with a Publican’s Licence (opening under the Government’s Roadmap for Re-opening Society and Business)

    • Restaurants or cafés with a Wine Retailer’s On-Licence or a Special Restaurant Licence
     
    • Visitor attractions
     
    • Adventure centres/Cruise hire companies/Tourism equestrian centres/Tourism golf clubhouses/Tourism wellness centres

    Strand B: Businesses without a (significant) visitor premises and/or no capital costs

    • Activity operators

    • Boat tour operators

    • Accommodation included on Fáilte Ireland’s Statutory Accommodation Register 2020 or Non- Statutory Accommodation Listing 2020 which did not incur capital adaptation costs under Strand A.*

    *B&Bs are eligible for Strand A as there is significant support for B&Bs under the Restart Grant Plus Scheme.

  • Q3. What accommodation providers are eligible?
  • All accommodation providers included on or who have applied to Fáilte Ireland’s National Quality Assurance Framework by 18 August 2020 are eligible to apply. This comprises Fáilte Ireland’s Statutory Accommodation Register 2020 (i.e. hotels, guesthouses, holiday hostels, youth hostels, caravan and camping parks, holiday cottages, holiday apartments, holiday camps) and approved accommodation included on Fáilte Ireland’s Non-Statutory Accommodation Listing 2020 (B&Bs, historic houses, self-catering, Welcome Standard).

    Check both Statutory and Non-Statutory accomodation listings

    Accommodation types vary significantly in scale and type of offer, and accordingly so do their eligible costs. To address this, accommodation may be eligible under either Strand A or Strand B.

    Businesses can only apply for one grant per premises. Therefore, a hotel and bar operating from the same premises (i.e. which has any shared or linked entrances or facilities) should make one application, for the higher value grant (in this instance the higher grant amount is for the hotel).

    Hotel groups are eligible to apply for funding for up to 10 properties/businesses under this Fund. An individual application must be made by each business.

    Golf clubhouses which have a separate visitor-facing premises to a parent or co-located hotel are eligible for a separate premises grant.

  • Q4. What pubs and restaurants are eligible?
  • Only standalone pubs with a Publican’s Licence (namely, 7-day ordinary, 6-day or 6-day & early closing) are eligible and these businesses will be asked to upload their valid publican’s licence for the premises as part of the application form. Pubs/bars which hold a liquor licence other that these three named licenses are not eligible under the Fund. Pubs/bars which form part of a larger entity (e.g. airport, train station, sporting venue, retail outlet, and which are not ‘standalone’) are also not eligible under the Fund.

    Only standalone restaurants and cafés with either a Wine Retailer’s On-Licence or a Special Restaurant Licence are eligible and will be asked to upload the licence for the premises as part of the application form. Restaurants and cafés which form part of a larger entity (e.g. airport, train station, sporting venue, retail outlet, and which are not ‘standalone’) are also not eligible under the Fund.

    If pubs, restaurants or cafés are part of another tourism premises already eligible under this Fund, please refer to question Q14.

  • Q5. What visitor attractions are eligible?
  • Eligible visitor attractions are permanently established destinations, capable of attracting day visitors or tourists, which are open to the public. The primary purpose of the attraction should be sightseeing, for which it may be feasible to charge admission. It should also allow access for entertainment, interest, or education rather than being primarily a retail outlet or a venue for sporting, theatrical, or film performances.

    For the purpose of the Fund, eligible attractions must typically be open for a minimum of 154 days per year, in a normal operating environment pre-COVID-19.

    In the case of local authority owned/managed attractions, only staffed and indoor attractions are eligible to apply.

    Visitor attractions will be asked to declare their average annual visitor numbers in the application form and this may be verified by any information held by Fáilte Ireland. Visitor attractions will be asked how they count their visitor numbers and spot-checks will be carried out to verify declarations made as part of the application form. 

  • Q6. What tourism golf clubhouses are eligible?
  • Golf courses with a minimum of 18 holes and which meet at least oneof the following criteria will be eligible to apply for this Fund:

    • Engaged with one of Fáilte Ireland’s sales platforms between the years 2016 to 2020, such as but not limited to, Belfast Golf Promotion, PGA Merchandise Show etc.

    • Or a member of one of the following Golf Marketing Groups:

           - North West Coast Links;
           - South West Ireland;
           - Club Choice; and,
           - Ireland’s Hidden Heartlands Golf Marketing Group 

    Golf clubhouses which have a separate visitor-facing premises to a parent or co-located hotel are eligible for a separate premises grant.

  • Q7. What adventure centres are eligible?
  • Eligible adventure centres are permanently established destinations which provide instructor-led sessions in water and land based outdoor activities for visitors. Activities provided can include but are not limited to kayaking, canoeing, coasteering and other water-sports, mountain biking, orienteering and other outdoor activities. These businesses must operate out of a premises open to the visitor in order to be eligible for Strand A of the Fund; otherwise Strand B (i.e. Activity Operators - see Q10) applies. 

  • Q8. What cruise hire companies are eligible?
  • Eligible cruise-hire companies are those which have a fleet of cruisers and offer an inland multi-day cruising experience primarily for visitors to their destination.

  • Q9. What tourism equestrian centres are eligible?
  • Eligible equestrian centres are permanently established destinations which provide instructor-led sessions for visitors. Applicants will be required to declare that a minimum of 30% of their revenue comes from domestic or international (including Northern Ireland) visitors. For the purpose of the Fund, domestic tourist refers to visitors from outside a radius of 40km. 

  • Q10. What activity operators are eligible?
  • Activity operators providing instructor-led sessions or equipment rental in a wide variety of outdoor activities for visitors are eligible. Activities provided can include but are not limited to surfing, kayaking, canoeing, coasteering, kitesurfing, stand up paddle boarding, scuba diving, climbing, archery, orienteering, cycling, angling and other outdoor activities.

    Activity operators operating from a fixed premises adventure centre for visitors are eligible for Strand A; otherwise all activity operators are eligible for Strand B.

  • Q11. What boat tour operators are eligible?
  • Boat tour operators which provide a trip onboard a boat for the purpose of sightseeing, wildlife and nature experiences for visitors to their destination are eligible for Strand B.

  • Q12. What tourism wellness centres are eligible?
  • Eligible wellness centres are permanently established destinations offering either seaweed baths or overnight wellness retreats for visitors. Applicants will be required to declare that a minimum of 30% of their revenue comes from domestic or international (including Northern Ireland) visitors. For the purpose of this Fund ‘domestic tourist’ refers to visitors from outside a radius of 40km.

    Wellness centres and spas connected to, or on the grounds of, a hotel or resort are not eligible for a separate premises grant (see Q14).

  • Q13. What businesses are not eligible to apply for the grant?
  • The following categories of business are not eligible because

    1. their primary function is not tourism, or

    2. they do not have visitor-facing fixed premises likely to have incurred capital or consumable costs associated with re-opening to visitors, or

    3. they have not incurred costs related to implementing the Fáilte Ireland Guidelines for Re-Opening.

    • Bike sharing operators (e.g. Dublin Bikes etc);

    • Commercial art galleries, craft outlets or any business whose primary function is retail;

    • Community and leisure centres, play centres;

    • Conference centres*;

    • Education and Training Boards Ireland (ETBI) outdoor education centres;

    • Festivals and events*;

    • Food businesses that do not hold the relevant licences listed above (see Q4) including mobile cafés, coffee-shops, food trucks, delis, fast-food outlets etc.;

    • Marinas and sailing clubs;

    • Outdoor guided services, e.g. walking guides;

    • Coach tour operators;

    • Transport providers;

    • Sporting venues and facilities including bars/pubs associated with these;

    • Theatres and cinemas;

    • Tourism infrastructure and public realm i.e. trails etc.;

    • Tour operators not specified as eligible;

    • Wellness centres and spas connected to or on the grounds of a hotel or resort;

    • Pubs and bars associated with any of the ineligible business types listed here.
     
    * Given the current restrictions on mass gatherings, many conferences, festivals and events are not proceeding in the near future. Fáilte Ireland is developing separate supports for these sectors. 

    This list of exclusions above is not exhaustive: however any businesses not listed in Q2 to Q12 are not eligible under this Fund.

    It should be noted that many businesses excluded here may be eligible for other Government supports such as the Restart Grant Plus which is specifically for businesses which pay rates and now also includes B&Bs.

    Any entity in a formal Strategic Partnership with Fáilte Ireland is ineligible to apply.

  • Q14. I have more than one eligible business on the same premises – what do I do?
  • If you are applying for a grant for your premises you are applying under Strand A and you can only apply for one grant per premises. Therefore, a bar and hotel operating from the same premises (i.e. which has any shared or linked entrances or facilities) should make one application, for the higher value grant or total eligible expenditure whichever is less. Similarly, a visitor attraction or adventure centre with a licenced restaurant or café (including those operated as a concession or franchise) may only apply for one grant.
     
    However, when calculating adaptation costs incurred, applicants may include the food and beverage outlets in the calculation of costs for the overall premises so that the full grant amount obtainable can be claimed. Please refer to Q17 for eligible grant amounts.
     
    If a group operates multiple businesses at different premises, a separate grant application should be made for each premises. For the purposes of this Fund, a group is defined as one legal entity with a number of premises.

  • Q15. What are the criteria to qualify for the grant?
  • 1. A business must be tax compliant (this means the business is registered with the Revenue Commissioners and all relevant tax filings with the Revenue Commissioners are up to date) on the date of application. A Tax Reference Number (TRN) will be required as part of the grant application form.
     
    2. A Companies Registration Office Number (CRO) is required for any registered company or registered business name. The onus is on the applicant to ensure that the TRN, CRO and applicant details match: if verification is not possible the application may be delayed or rejected.

    3. A business must have been in existence and trading prior to 13 March 2020, and a declaration to that effect is required as part of the application form.

    4. A business must have suffered a 25%+ loss in turnover from 1 April 2020 to 30 June 2020, and a declaration to that effect is required as part of the application form.

    5. Applicants must commit to retaining employees on the Employment Wage Subsidy Scheme (EWSS) (formerly Temporary Wage Subsidy Scheme (TWSS)), if applicable.

    6. As these are grants to assist businesses to adapt to COVID-19, eligible businesses applying for a grant must implement the relevant sector-specific Guidelines for Re-opening.

    7. All eligible businesses making a grant application will be required to complete the Fáilte Ireland COVID-19 Safety Charter, which includes ensuring that all employees undertake requisite COVID-19 safety and hygiene control training.

    8. Businesses will be asked to declare their 2020 re-opening date in the application form and spot-checks will be carried out to verify a declaration to this effect. Businesses must be open for a minimum of 70 days between 29 June and 31 December 2020, or alternatively, 40% of the time from opening to year end if re-opening later than 29 June. It is not a requirement that these days run consecutively. As a condition of the funding, if the business does not open as planned, the grant award must be returned to Fáilte Ireland. This criterion is dependent on public health advice and the Irish Government’s Roadmap for Re-opening Society and Business. In the event that businesses are mandated to close on foot of a Government order, the requirement to remain open for 70 days or 40% of the time from opening to year end if later than 29 June, will be waived.
     
    9. Businesses must further commit to re-opening in 2021, and a declaration to that effect is required as part of the application form. This criterion is dependent on public health advice and the Irish Government’s Roadmap for Re-opening Society and Business.

    Businesses should retain supporting documentation for 10 years as spot-checks will be carried out to verify declarations made as part of the grant application.

    Information supplied by applicants in the application form may be verified against information already held by Fáilte Ireland and other relevant listings e.g. the Revenue Commissioners’ register of renewed liquor licences. 

  • Q16. What are the grants for?
  • Strand A: this funding is designed to support capital expenditure adaptations which are required by businesses to re-open and continue in business in accordance with the Fáilte Ireland Guidelines for Re-opening. Eligible expenditure includes adaptation and reconfiguration costs of fixed visitor-facing premises to include outdoor areas, buildings and room layouts to allow for physical distancing. Examples of eligible items include internal and external signage, queuing system materials, screens and barriers, technology enhancements etc.
     
    Strand A is a capital grant and is therefore not intended to fund COVID-19 related consumables such as sanitiser or PPE, increased wage costs arising from changes in work practices and compliance, or for ongoing operational costs that would be incurred in the normal course of business. Capital is defined as expenditure on permanent/semi-permanent infrastructure with a lifespan of 1 year or greater.
     
    Businesses may have already incurred costs for the initial and immediate re-opening for the summer season. However, further adaptations to outdoor areas, including awnings/canopies, heaters, paving, furniture etc to both increase capacity and weatherproof outdoor areas for the summer and autumn/winter season are also eligible.
     
    Strand B: this funding is designed to support businesses that do not have large visitor premises and/or only have expenditure on COVID-19 related consumables, particularly the sanitisation of equipment and safety gear in accordance with the Fáilte Ireland Guidelines for Re-opening.
     
    As a condition of the funding for either of these strands, grantees are required to retain evidence of eligible expenditure in the form of invoices/receipts for 10 years to facilitate spot-checks and sample audits, and for State aid purposes.

  • Q17. How much will my business get if it is eligible and qualifies for a grant?
  • It is intended that the grant is a contribution towards expenditure incurred by a tourism business, and it is not expected to cover the entirety of the re-opening costs incurred. Businesses will be asked to declare the total amount of eligible expenditure incurred in the application form. As a condition of the funding, grantees are required to retain evidence of eligible expenditure in the form of invoices/receipts for 10 years to facilitate spot-checks and sample audits, and for State aid purposes.
     
    As tourism businesses will incur different costs, depending on their category and size, different maximum grant awards are available to eligible tourism businesses. If the eligible expenditure incurred and declared by the business is less than the maximum grant award, the lower amount will be awarded.
     
    For all businesses, the amount requested from this Fund, combined with funding already received from other publicly funded schemes or any tax relief or VAT reclaimable against the expenditure, cannot exceed the total costs of re-opening a business: applicants will be asked to make a declaration to that effect in the application form.
     
    The maximum eligible grant amounts are outlined in the table below.

    Strand A – Capital Expenditure
     

    Eligible Business Category

    Size/ Scale

    Maximum Eligible Grant Amount  

    Hotels

    100 bedrooms or more

    €15,000

    Hotels & Guesthouses

    Between 30 and 99 bedrooms

    €10,000

    Hotels & Guesthouses

    29 bedrooms or less

    €7,500

    Holiday & Youth Hostels

    100 bed spaces or more

    €7,500

    B&Bs

     

    €500

    Other Accommodation
    (types and sizes not covered  above)

    Holiday and youth hostels with 99 bed spaces or less; caravan and camping parks; holiday cottages, holiday apartments or holiday camps, historic houses; self-catering and Welcome Standard

     

    €1,000

    Pubs serving food

     

    €2,500

    Pubs not serving food

     

    €1,500

    Restaurants

     

    €2,500

    Visitor Attractions

    Average annual visitor attendance of 50,000 total visitors or more

    €15,000

     

    Average annual visitor attendance between 20,000 and 49,999 total visitors

    €7,500

     

    Average annual visitor attendance between 2,000 and 19,999 total visitors

    €3,500

     

    Average annual visitor attendance of 1,999 total visitors or less

    €1,500

    Adventure Centres

    As per Q7

    €7,500

    Tourism Equestrian Centres

    As per Q9

    €1,000

    Cruise Hire Companies

    As per Q8

    €7,500

    Tourism Golf Clubhouses

    As per Q6

    €500

    Tourism Wellness Centres

    As per Q12

    €1,000



    Strand B – Consumables 
     

    Activity operators

    As per Q10

    €1,000

    Boat Tour operators

    As per Q11

    €1,000

    Accommodation
    *(Excl. B&Bs)

    Holiday and youth hostels with 99 bed spaces or less; caravan and camping parks; holiday cottages, holiday apartments or holiday camps, historic houses; self-catering and Welcome Standard

    €500

     

    Note: Bedroom numbers will be checked against Fáilte Ireland’s relevant Register or Listing.

    Visitor attractions will be asked to declare their average annual visitor numbers in the last three years (2017, 2018 and 2019) in the application form and this may be verified by any information held by Fáilte Ireland. Visitor attractions will be asked how they count their visitor numbers and spot-checks will be carried out to verify declarations made as part of the application form.

  • Q18. How do I apply?
  • Application forms can only be submitted online via the Fáilte Ireland Trade Portal

    Eligible businesses as outlined above which already have a Trade Portal Account can log in and access the Adaptation Fund application form immediately via the ‘Available Funding’ tab.

    If you already have a Trade Portal account, and the application form is not visible to you in the ‘Available Funding’ screen, your business may not be in an eligible category as defined above, or we may not have your full details. Please submit the Adaptation Fund Pre-Eligibility Checklist.

    If your business is eligible, information on how to access the application form will be submitted to you via email.

    If you do not already have a Trade Portal Account, and your business is in an eligible category as defined above, please submit the Adaptation Fund Pre-Eligibility Checklist.

    Find out more on how to apply
     
    If your business is eligible, information on how to access the application form will be submitted to you via email.

    All applicants are required to complete the Fáilte Ireland COVID-19 Safety Charter before submitting the application form.

    Applicants should note that granting access to the application form does not confirm final eligibility on an applicant. Depending on the information provided in the application form, an applicant may still be deemed ineligible for funding later in the process.

    Please contact our Customer Service Team on 1800 242473 or +353-1-8847101 or email customersupport@failteireland.ie for further assistance.

  • Q19. How will the grant be paid?
  • The grant will be paid by electronic transfer to the business account detailed on the application form.

  • Q20. What is the closing date for applications to the Fund?
  • The Fund is open for applications for pubs ony until 12 noon 23 December 2020 and only businesses which have re-opened by this time are eligible to apply.

    The timelines will be kept under review and may be extended for certain business sectors under exceptional circumstances (e.g. public health advice and the Irish Government’s Roadmap for Reopening Society and Business). 

  • Q21. How long will it take to receive payment?
  • Due to the anticipated high volume of applications, Fáilte Ireland will endeavour to process applications as quickly as possible. However, applicants should be aware that during peaks in applications this may be a matter of weeks. We will keep all applicants informed throughout the application process of anticipated timeliness for completion.
     
    Only fully completed forms will be processed, and the onus is on the applicant to ensure that applications are completed correctly and fully, in order to expedite the procedure. Any payment to applicants by Fáilte Ireland is subject to the terms and conditions set out below.
     
    In order to be eligible to apply for funding applicants must first have completed the Fáilte Ireland COVID-19 Safety Charter and it is recommended that this is done in a timely manner to expedite the process.

  • Q22. Terms and Conditions of Grant Funding
  • Q23. Where can I find further information?
  • For all the latest information pertaining to this Fund, please visit: 


    For individual queries please contact our Customer Service Team on 1800 242473 or +353-1-8847101 or email for further assistance: