Post-Brexit: Britain wants to speed up state aid

Vauxhall-Fabrik in Ellesmere Port

Negotiations for government support are ongoing.

(Photo: AFP)

London Britain wants to speed up the distribution of state aid after Brexit. The Conservative government of Prime Minister Boris Johnson announced on Wednesday a new oversight of national subsidies. This should work on the premise that state aid is generally allowed.

You use the “newly won freedom” to be able to give financial support “without annoying bureaucracy,” said Economic Affairs Minister Kwasi Kwarteng. Before Brexit, the government always had to get approval from the EU Commission. In the future, one could be quicker and more agile to secure British jobs, the minister said.

The control of subsidies was a central point of controversy in the free trade talks with the EU. Britain had refused to continue to recognize EU rules and the European Court of Justice as the highest authority. Brussels, however, insisted on a “level playing field” and implemented a sanction mechanism for violations.

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Vince Fernandez

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