login
login
Image header Agence Europe
Europe Daily Bulletin No. 10186
Contents Publication in full By article 24 / 35
GENERAL NEWS / (eu) eu/state aid

Clearance of Swedish aid scheme in support of newspapers

Brussels, 22/07/2010 (Agence Europe) - On Tuesday 20 July, the European Commission concluded that, thanks to the changes brought to it, the Swedish aid scheme in support of the written press is now in line with EU state aid rules. The method for calculating state support to metropolitan newspapers has been fundamentally changed and the aid intensities significantly reduced.

Joáquin Almunia, European Trade Commissioner, has said: “Despite the recent development of online news, traditional newspapers are still important for media pluralism and for the cultural, democratic and public debate in Europe. However, running a newspaper is also a commercial activity and the Commission has a duty to prevent undue distortions of competition and trade resulting from public subsidies. (…) We have found a solution that strikes the right balance between these two, equally legitimate, objectives”.

In June 2009, the Commission put suggestions to Sweden on how the press aid scheme could be brought into line with EU state aid rules. Measures subsequently taken by Sweden have met with Almunia's satisfaction. Swedish measures include: - maximum aid level reduced from MSEK 63.9 (in 2009) to MSEK 45 (around €4.8 million) for metropolitan newspapers phased in during a period of five years starting from 2011; - support ceilings fixed at a maximum of 40% of total operating costs for high and medium frequency newspapers and at 75% for low-frequency newspapers; - and verification of the use of aid by a press subsidies council (Presstödsnämnden) (and annual reports submitted to the Commission). Such measures are to take effect on 1 January 2011 till 31 December 2016. The Swedish aid scheme for newspapers has been in place since 1971. (L.C./transl.jl)

Contents

A LOOK BEHIND THE NEWS
THE DAY IN POLITICS
GENERAL NEWS