State aid: Commission approves €26 million Irish scheme to support companies in the tourism and hospitality sectors affected by the coronavirus outbreak
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The European Commission approved a €26 million Irish scheme to support companies in the tourism and hospitality sectors affected by the coronavirus outbreak. The measure was approved under the State aid Temporary Framework. The public support will take the form of direct grants to cover the costs of adapting businesses to the requirements for re-opening set out in the guidelines adopted by Ireland. The aim of the measure is to help those companies address the sudden liquidity shortages they are facing and to support them in the implementation of the necessary measures to limit the spread of the coronavirus. The Commission found that the Irish measure is in line with the conditions set out in the Temporary Framework. In particular, (i) the support will not exceed €800,000 per company as provided by the Temporary Framework and (ii) aid under the measure will be granted no later than 31 December 2020. The Commission concluded that the measure is necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a Member State, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Framework. On this basis, the Commission approved the measure under EU State aid rules. More information on the Temporary Framework and other actions taken by the Commission to address the economic impact of the coronavirus pandemic can be found here. The non-confidential version of the decision will be made available under the case number SA.58214 in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved.