State aid: Commission approves €60 million Luxembourg aid scheme to support certain companies affected by the coronavirus outbreak
The European Commission has approved a €60 million Luxembourg aid scheme to support certain companies affected by the coronavirus outbreak. The scheme was approved under the State aid Temporary Framework. The public support will take the form of direct grants. It will be accessible to companies operating in certain sectors that continue experiencing a decrease in turnover of at least 25% because of the coronavirus outbreak. Sectors include hotel and camping, restaurant and catering services, travel and event organisation agency services, retail trade or vocational training. The aim of the measure is to address the liquidity needs of the beneficiaries and to help them continue their activities during and after the outbreak. The Commission found that the scheme is in line with the conditions set out in the Temporary Framework. In particular, the support (i) will not exceed €800,000 per company; and (ii) will be granted before 30 June 2021. 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. On this basis, the Commission approved the measure under EU State aid rules. More information on the Temporary Framework and other action the Commission has taken 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 case number SA.59428 in the State aid register on the Commission’s competition website.
