The new aid measures is part of the government’s “Neistart” programme, and encourages companies to launch projects by means of high levels of subsidy that can cover up to 50% of eligible costs. “The current crisis has deteriorated the business climate and may lead companies to postpone or even question certain investment projects,” said Minister of the Economy Franz Fayot when addressing the parliament. “To encourage businesses to make investments in these difficult times, which will contribute both in short and long term to their competitiveness, we are launching this financial aid package as part of a policy of sustainable economic recovery”.
Three types of aid
The aid scheme is aimed at companies that have suffered a fall in turnover during the crisis. The programme provides for three types of aid:
- investment aids for development projects, for up to 30% of the project cost (depending on the size of the company), with a 20% increase in aid for projects that are part of the circular economy;
- investment aids for process or organisational innovation projects, for up to 50% of the project cost;
- investment aid for energy efficiency or exceeding standards projects, for up to 50% of the cost of the project.
With an aid intensity of up to 50% of eligible costs for a maximum of €800,000 per single undertaking (i.e. group of businesses), the new programme is firmly based on higher amounts of investment aid than in normal times, in particular for projects relating to the development of the circular economy.
The aid programme will enter into force in the next few days. Details of the modalities and criteria for the aid will soon be available on guichet.lu. Applications to benefit from this aid programme can be submitted from Monday 27 July exclusively electronically via the MyGuichet.lu platform.
Webinars to provide further details on the business support programme
The Ministry of the Economy and Luxinnovation, in close collaboration with the Chamber of Commerce, the Chamber of Skilled Trades and FEDIL, invite companies to participate in webinars dedicated to this new state aid. Types of aid, eligibility criteria and how to submit applications will be discussed.
You can find HERE the presentation material (in French).