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State Aid: European Commission approves several funding schemes for Belgian hospitality sector

Tuesday, 19 October 2021
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The European Commission has published 3 key updates regarding the approval of State Aid measures targeting hotels, bars, restaurants and nightlife establishments in Belgium:

  • On 18 October 2021, the European Commission approved a €110 million Belgian scheme to support the hotels, restaurants and cafés sector (HoReCa) in the context of the coronavirus outbreak. Belgium notified two different aid measures in favour of employers active in the HoReCa sector related to the payment of the annual social security contributions financing the annual holidays' scheme for manual workers. In particular, Belgium notified both: (i) its initial decision to grant a deferral of payment from April to October 2021; and (ii) its subsequent decision to exempt these employers from the payment of these contributions. Therefore, under the scheme, the aid will take the form of (i) a deferral of and (ii) an exemption from payment of the abovementioned contributions. The measure aims at mitigating the liquidity shortages that the beneficiaries are facing due to the coronavirus outbreak and the restrictive measures that the Belgian government had to implement to limit the spread of the virus.
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  • On 15 October 2021, the European Commission approved a €45 million Belgian scheme to support companies active in the Brussels-Capital region affected by the coronavirus outbreak and the restrictive measures that the Belgian government had to implement to limit the spread of the virus. Under the scheme, which goes under the name 'la prime Relance', the aid will take the form of direct grants. Eligible beneficiaries are companies of all sizes active in the following sectors: nightclubs, restaurants and cafés ('ReCa') and some of their suppliers, events, culture, tourism, sport and passenger transport.
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  • On 19 October 2021, the European Commission approved a €17.7 million Belgian scheme to further support operators active in the tourist accommodation sector in the Brussels-Capital Region affected by the coronavirus outbreak and the restrictive measures that the Belgian government had to implement to limit the spread of the virus. It follows another Belgian scheme to support the tourist accommodation sector in the Region that the Commission approved on  18 June 2021. The scheme consists of two measures: (i) direct grants and (ii) support for uncovered fixed costs. The amount of aid per beneficiary will be calculated based on the number of accommodation units it operates in the Brussels-Capital Region, up to a maximum amount of €200,000 per tourist accommodation establishment.
    LInk (scroll down to access full article)