Aid for uncovered fixed costs under the Act on Support for Business Costs to be extended
On 7 April 2022, the Government proposed an extension to support for uncovered fixed costs under the Act on Support for Business Costs. The support is intended primarily for medium-sized and large companies. The support would be granted by the State Treasury.
A company would be eligible for business cost support if it was subject to a restriction under public law to stop the spread of a pandemic and the company had already received or was about to reach the maximum amount of aid (EUR 2.3 million), but the granting of business cost support were still be justified. The maximum amount of support available would be EUR 6 million. The uncovered fixed costs of a company could be compensated up to the maximum amount of EUR 12 million. The support period would be between December 2021 and February 2022. The reference periods would be January-February and December 2019.
This form of support was in use in 2021 when approximately EUR 20 million was granted. The proposed act would limit the number of companies eligible for support to target only those restrictions and obstacles imposed by law or an authority, similarly to the rules applied to the later rounds of business cost support.
The exemptions to the EU state aid rules will expire on 30 June 2022, when the Act on Support for Business Costs will expire too. The proposed act will enter into force on a date to be specified by a Government decree after the European Commission’s reply to Finland’s notification concerning the support has been received.
Mikko Huuskonen, Senior Ministerial Adviser, Ministry of Economic Affairs and Employment, tel. +358 29 506 3732