The European Commission approved on Tuesday 6 October Italian State Aid worth 1.5 billion euros to support companies affected by Covid-19 operating in the southern regions of Italy. The scheme was approved under the Temporary Framework for State Aid.
Executive Vice-President Margrethe Vestager, in charge of Competition Policy, said that the Italian measure “will support labour and help companies active in the regions of Southern Italy tackle the liquidity issues they are facing as a result of the outbreak, thereby maintaining the level of employment”.
Italy has notified the Commission of a scheme consisting of tax advantages (reduction of social security contributions) for the period 1 October to 31 December 2020 granted to private employers in Southern Italy. The measure provides for a 30% reduction in the social security contribution payable by the beneficiary for employment contracts in the southern regions (Abruzzo, Basilicata, Calabria, Campania, Molise, Puglia, Sardinia and Sicily).
The Commission welcomes the fact that the aid will not exceed 120,000 euros per company active in the fisheries and aquaculture sector and 800,000 euros per company in all other eligible sectors. (Original version in French by Lionel Changeur)