The temporary Support to mitigate Unemployment Risks in an Emergency (SURE) is available for Member States that need to mobilise significant financial means to fight the negative economic and social consequences of the coronavirus outbreak on their territory. It can provide financial assistance up to EUR 100 billion in the form of loans from the EU to affected Member States to address sudden increases in public expenditure for the preservation of employment.
Specifically, the SURE instrument acts as a second line of defence, supporting short-time work schemes and similar measures, to help Member States protect jobs and thus employees and self-employed against the risk of unemployment and loss of income.
Loans provided to Member States under the SURE instrument are underpinned by a system of voluntary guarantees from Member States. Each Member State’s contribution to the overall amount of the guarantee corresponds to its relative share in the total gross national income (GNI) of the European Union, based on the 2020 EU budget.
The establishment of SURE is a further tangible expression of Union solidarity, whereby the Member States agree to support each other through the Union by making additional financial resources available through loans.
The Commission has proposed to grant financial support of €87.8 billion to 17 Member States under SURE:
The Council has already decided to grant support to 16 Member States. The decision on the support to Hungary is expected in the following weeks.
The financial support will be provided in the form of loans granted on favourable terms from the EU to Member States. These loans will assist Member States in addressing sudden increases in public expenditure to preserve employment in the context of the pandemic crisis. Specifically, they will help Member States to cover the costs directly related to the financing of national short-time work schemes, and other similar measures they have put in place as a response to the coronavirus pandemic, in particular for the self-employed. As an ancillary, SURE could also finance some health-related measures, in particular at the work place, used to ensure a safe return to normal economic activity.
To finance the instrument, the Commission will issue social bonds. The Social Bond Framework is meant to provide investors in these bonds with confidence that the funds mobilised will serve a truly social objective.
- 2 April 2020
The Commission proposed the creation of SURE
- 19 May 2020
The Council approved the proposal and adopted the SURE regulation
- 24-25 August 2020
The Commission proposed a financial support of €87.3 billion for 16 Member States
- 22 September 2020
SURE is activated
- 25 September 2020
The Council decided to grant financial support to 16 Member States
- 7 October 2020
The Commission proposed financial support of €504 million to Hungary