Government Assistance

(asked on 24th February 2021) - View Source

Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what the basis is of the decision to apply EU state aid limits to grants in England issued after 1 January 2021.


Answered by
Paul Scully Portrait
Paul Scully
This question was answered on 1st March 2021

The EU State Aid rules and limits no longer apply in the UK, except in respect of aid in scope of the Northern Ireland Protocol and Article 138 in relation to aid for EU programmes and activities within the Multiannual Financial Framework. Subsidies must instead meet the terms of the EU-UK Trade and Co-operation Agreement as well as the other Free Trade Agreements we have reached with the rest of the world and our WTO commitments.

Existing guidance for Covid-19 Business Support grants references pre-existing EU State Aid limits. A policy decision has been taken to retain the previous limits allowed under the EU State aid regime to ensure continuity for beneficiaries.

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