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European Commission approves aid scheme for UK farmers
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30/03/2010 00:00:00

A temporary UK scheme to grant limited amounts of aid of up to €15,000 (£13,214) to British farmers has been approved by the European Commission.

With a budget of approximately £20 million (€22.3 million), the UK scheme will support farmers who encounter difficulties as a result of the current economic crisis.

Aid can be granted until 31 December 2010 and will take the form of a direct grant, interest rate subsidy loan, with an aid element and guarantee.

The UK-wide scheme is open to farmers in all sub-sectors of primary agricultural production, provided they were not already in difficulty on 1 July 2008 (ie before the beginning of the crisis). Aid will be granted at a country, regional and local level and will be applied in a decentralised way by the relevant aid awarding authorities.

The measures meet all the conditions of the Temporary Crisis Framework. In particular, the UK authorities demonstrated that it is necessary, proportional and appropriate to remedy a serious disturbance in the economy. The Commission therefore considered that the scheme can be approved under Article 107(3)(b) of the Treaty on the Functioning of the European Union (former Article 87(3)(b) of the EC Treaty).


    The scheme complements other crisis measures already put in place by the UK authorities under the Temporary Crisis Framework (N 43/2009 - IP/09/215).

    The initiative is a further application of the Commission's Temporary framework for State aid measures to support access to finance in the current financial and economic crisis, as amended end of October 2009 in order to allow member states to grant limited amounts of aid to primary agricultural producers ( IP/09/1993 ).

    Further information

    The full text of the Commission decision will be published in the State Aid Register on DG Competition’s website under the reference number N 71/2010.


    For more information, please contact the London press office on 020 7973 1971.

    Please note: all amounts expressed in sterling are for information purposes only.

    Last update: 30/10/2010  |Top