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ARTICLE · 02 JUNE 2021

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Revised Guidelines On Regional State Aid: Some New Opportunities For Increased Grant Aid

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The European Commission has adopted revised Guidelines on Regional State Aid which will enter into force on 1 January 2022.

European UnionAntitrust/Competition Law
Kate McKenna
Kate McKenna
Mollie Barlow
Mollie Barlow
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The European Commission has adopted revised Guidelines on Regional State Aid which will enter into force on 1 January 2022.  The revised Guidelines bring about good and bad news for Irish granting authorities and prospective Regional Aid recipients.  In particular, while permissible aid intensities for investment aid will increase, the total number of geographic areas in which Ireland may grant regional aid will become more limited. 

By way of background, Regional Aid is a significant tool which is widely utilised by Member States, including Ireland, to improve regional development and to attract inward investment.  In particular, the State aid rules on Regional Aid allow each Member State to provide enhanced rates of State Aid in the least economically developed areas of each country.

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