Subsidy Control Act
The UK Government Department for Business, Energy and Industrial Strategy launched a consultation on a new permanent domestic subsidy control regime on 3 February 2021 which closed 31 March 2021. The UKG Response was published 30 June 2021.
Following announcement of the permanent regime commencement date, the UK Government has published UK Subsidy Control statutory guidance, a quick guide on key requirements for public authorities and a subsidy control principles assessment template, with the aim to provide public authorities an opportunity to familiarise themselves with requirements set out in the Act ahead of commencement.
To further complement the above publications, the Competition and Markets Authority has published guidance on the operation of the subsidy control functions of the Subsidy Advice Unit.
The UK Government asked for consent of devolved administrations for the UK Government Subsidy Control Bill to proceed. A Legislative Consent memorandum was lodged by Scottish Government with the Scottish Parliament’s Economy and Fair Work Committee, leading to a Legislative Consent Motion being debated in the chamber on 15 March 2022. The Scottish Parliament wrote to UK Government on 1 April 2022 to notify that consent was not given to the Subsidy Control Bill.
Scottish Government Ministers have stated that their position is to continue to align with EU State Aid Regulations where possible.
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