Subsidy control / EU state aid

A new UK subsidy control regime has been introduced following Brexit – The Subsidy Control Act 2022.  This was a requirement of the UK-EU Trade and Cooperation Agreement (TCA) and is intended as a broadly equivalent set of UK-wide rules intended to ensure subsidies and other forms of market intervention by government do risk resulting in significant distortions of competition.  

Our team has extensive experience advising a wide range of clients on both UK subsidy control and EU State aid issues.  On EU State aid, this includes all aspects of grant funding, regional aid, energy and environmental aid, rescue and restructuring aid, fiscal measures and the application of the Market Economy Operator (MEO) principle. In this highly complex area, we advise on high-profile cases including State aid complaints and litigation as well as compliance and notifications. We were heavily involved supporting clients through the Covid-19 pandemic, including on all aspects of the EU Temporary Framework as it was applied in the UK.  Post-Brexit, we have been advising clients on the UK-EU Trade and Cooperation Agreement (TCA), the application of the NI Protocol and WTO rules.  With the UK Subsidy Control Act now fully in effect from 4 January 2023, we have been advising a wide range of public sector bodies, state-owned enterprises, universities and beneficiaries on the new UK regime, including on the use of subsidy schemes and on referrals to the Competition and Markets Authority (CMA)’s Subsidy Advice Unit (SAU).