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The State Aid Temporary Framework (the “Framework”) was initially adopted by the Commission on the 19 March to ease the difficulties various undertakings were facing as a result of the COVID-19 pandemic. It was subsequently amended on a number of occasions to reflect the ever-changing effects of the pandemic and was set to expire on 30 June 2021, bar the recapitalisation measures that were to remain in effect until 30 September 2021.

As a result of the pandemic’s continued progression, the Commission deemed it fit to extend the Framework’s scope and measures – including the recapitalisation measures – further. The ceilings initially set out in the Framework regarding the aid each undertaking may be granted will now be doubled. Member States are also given the ability to convert repayable instruments granted under the Framework into other forms of aid until 31 December 2022.

The Framework is now set to expire on 31 December 2021.


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