Temporary Framework for State aid, measures to support the economy

The European Commission have today published the temporary framework for state aid in response to the COVID-19 pandemic. These measures will allow Member States to take certain measures to support their economies without the aid breaching state aid rules. For example, the Commission will consider aid meeting the following criteria as compatible with the internal market:

  1. the aid does not exceed EUR 800 000 per undertaking in the form of direct grants, repayable advances, tax or payments advantages; all figures used must be gross, that is, before any deduction of tax or other charge;
  2. the aid is granted on the basis of a scheme with an estimated budget;
  3. the aid may be granted to undertakings that were not in difficulty (within the meaning of the General Block Exemption Regulation 15) on 31 December 2019; it may be granted to undertakings that are not in difficulty and/or to undertakings that were not in difficulty on 31 December 2019, but that faced difficulties or entered in difficulty thereafter as a result of the COVID-19 outbreak;
  4. the aid is granted no later than 31 December 2020.

Please click here to link to the published framework.

For further information please contact Deborah Ramshaw.