COVID-19 State aid compliance guidance

State aid law
Although the UK left the EU on 31 January 2020, EU State aid law continues to apply throughout the agreed Transition Period (expected to end on 31 December 2020).

Our approach to State aid compliance for our COVID-19 funding

We are working on the basis that any grant awarded under our COVID-19 funding will constitute a State aid under EU Law1. So to comply with the law, you need to meet the requirements of the UK's COVID-19 Temporary Framework Scheme (the "Scheme").

You will need to provide confirmation that you meet the Scheme requirements when you accept a grant offer.

Specifically, you will need to confirm that:

  • the total amount received by your organisation under the Scheme (from us or anyone else) does not exceed €800,000 (£699,000);
  • your organisation was not 'in difficulty' on 31 December 2019 (essentially that your organisation was not insolvent at that time (see the link here for the actual test for ‘an undertaking in difficulty’); and
  • your organisation is not involved in processing or marketing of agricultural products and that this grant shall not be transferred to primary producers of agricultural products.

If your grant is found to be unlawful State aid

It is important that you properly consider whether your organisation meets the Scheme requirements above. Failure to do so may result in recovery of the grant with interest.

We have the right to take action to recover the grant if information you provide to us is later discovered to be incorrect.

UK State aid guidance can be found at https://www.gov.uk/guidance/state-aid.