SME scheme only

As a signatory of the European Community Treaty, the Government is subject to the European rules on State Aid. The EC has considerable powers to monitor, control and restrict the level of aid given by all Member States to their industries. But broadly speaking the Commission may intervene when they consider that a measure is provided through State Resources, favours certain undertakings or the production of certain goods, relates to an activity that is tradable between member states, and the measure distorts, or has the power to distort competition.

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