OpenLegislation

Subsidy Control Act 2022

2022 c. 23 · Enacted 28 April 2022 · Extends to United Kingdom

Not fully up to date. 3 changes made by later legislation have not yet been written into this text, which is revised to 1 January 2024.

See the changes not yet applied
ProvisionChangeMade by
s. 25(1)(b) and wordomitted by 2021 c. 22, Sch. 8 para. 20(2) (as inserted)Subsidy Control Act 2022 s. 83
s. 26(1)(b) and wordomitted by 2021 c. 22, Sch. 8 para. 20(3) (as inserted)Subsidy Control Act 2022 s. 83
s. 27(2)words omitted by 2021 c. 22, Sch. 8 para. 20(4) (as inserted)Subsidy Control Act 2022 s. 83

An Act to make provision regulating the giving of subsidies out of public resources; and for connected purposes.

[28th April 2022]

Be it enacted by the Queen’s most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—

Contents

  1. Part 1: Overview and key interpretation
  2. Overview etc
  3. 1Overview and application of Act
  4. “Subsidy”
  5. 2“Subsidy”
  6. 3Financial assistance which confers an economic advantage
  7. 4Financial assistance which is specific
  8. 5Section 2: modification for air carriers
  9. “Public authority”
  10. 6“Public authority”
  11. “Enterprise”
  12. 7“Enterprise”
  13. 8Persons under common control
  14. Other key terms
  15. 9The subsidy control principles and the energy and environment principles
  16. 10Subsidy schemes and streamlined subsidy schemes
  17. 11Subsidies and schemes of interest or particular interest
  18. Part 2: Subsidy control requirements
  19. Chapter 1: Principles
  20. 12Application of the subsidy control principles
  21. 13Application of the energy and environment principles
  22. Chapter 2: Prohibitions and other requirements
  23. Introductory
  24. 14Introductory
  25. General prohibitions
  26. 15Unlimited guarantees
  27. 16Export performance
  28. 17Use of domestic goods or services
  29. 18Relocation of activities
  30. Ailing or insolvent enterprises
  31. 19Rescuing
  32. 20Restructuring
  33. 21Restructuring deposit takers or insurance companies
  34. 22Liquidating deposit takers or insurance companies
  35. 23Liquidity provision for deposit takers or insurance companies
  36. 24Meaning of “ailing or insolvent”
  37. 25Meaning of “deposit taker”
  38. 26Meaning of “insurance company”
  39. Other specific prohibitions and requirements
  40. 27Subsidies for insurers that provide export credit insurance
  41. 28Subsidies for air carriers for the operation of routes
  42. 29Services of public economic interest
  43. Subsidy schemes
  44. 30Effect of prohibitions etc in relation to subsidy schemes
  45. Subsidies or schemes subject to mandatory referral
  46. 31Subsidies or schemes subject to mandatory referral
  47. Chapter 3: Transparency
  48. 32Subsidy database
  49. 33Duty to include information in the subsidy database
  50. 34Information to be included in the subsidy database
  51. Part 3: Exemptions
  52. Chapter 1: Introductory
  53. 35Introductory
  54. Chapter 2: Minimal or SPEI financial assistance
  55. Minimal financial assistance
  56. 36Minimal financial assistance
  57. 37Section 36: procedural requirements
  58. Services of public economic interest assistance
  59. 38Services of public economic interest assistance
  60. 39Section 38: procedural requirements
  61. General
  62. 40Mergers and acquisitions
  63. 41Exemption for certain subsidies given to SPEI enterprises
  64. 42Chapter 2: supplementary and interpretative provision
  65. Chapter 3: Emergencies etc.
  66. 43Natural disasters and other exceptional circumstances
  67. 44National or global economic emergencies
  68. Chapter 4: Other miscellaneous exemptions
  69. 45National security
  70. 46Bank of England monetary policy
  71. 47Financial stability
  72. 48Legacy and withdrawal agreement subsidies
  73. 49Tax measures
  74. 50Large cross-border or international cooperation projects
  75. 51Nuclear energy
  76. Part 4: CMA: referrals and functions
  77. Chapter 1: Functions on referrals of subsidies and schemes
  78. Mandatory referrals
  79. 52Mandatory referral to CMA
  80. 53CMA reporting period for mandatory referral
  81. 54Cooling off period following mandatory referral
  82. 55Call-in direction
  83. Voluntary referrals
  84. 56Voluntary referral to CMA
  85. 57CMA reporting period for voluntary referral
  86. 58Call-in direction following voluntary referral
  87. Mandatory and voluntary referrals: contents of CMA report
  88. 59CMA report following mandatory or voluntary referral
  89. Post-award referrals
  90. 60Post-award referrals
  91. 61CMA reporting period for post-award referrals
  92. 62CMA report following post-award referral
  93. Exemptions
  94. 63Referrals in relation to subsidy schemes
  95. 64Other exemptions
  96. Chapter 2: General functions
  97. 65Monitoring and reporting on subsidy control
  98. 66CMA annual report
  99. 67Information-gathering powers
  100. Chapter 3: Subsidy Advice Unit
  101. 68Subsidy Advice Unit
  102. 69References to subsidy control groups
  103. Part 5: Enforcement
  104. Appeals to the Competition Appeal Tribunal
  105. 70Review of subsidy decisions
  106. 71Time limits for applications under section 70
  107. 72CAT powers on review: England and Wales and Northern Ireland
  108. 73CAT powers on review: Scotland
  109. 74Recovery orders
  110. 75Appeals against decisions of the CAT
  111. Pre-action information
  112. 76Duty to provide pre-action information
  113. Misuse
  114. 77Misuse of subsidies
  115. Part 6: Miscellaneous and general
  116. Chapter 1: Miscellaneous
  117. 78Subsidies and schemes in primary legislation
  118. 79Guidance
  119. 80Disclosure of information
  120. 81Modifications to subsidies and schemes
  121. 82Gross cash and gross cash equivalent amount of financial assistance
  122. 83Minor amendment to the Financial Services Act 2021
  123. Chapter 2: General
  124. 84Financial provision
  125. 85Crown application
  126. 86Power to make consequential provision
  127. 87Regulations
  128. 88Directions
  129. 89Interpretation
  130. 90Extent
  131. 91Commencement
  132. 92Short title
  133. Schedule 1: The subsidy control principles
  134. ACommon interest
  135. BProportionate and necessary
  136. CDesign to change economic behaviour of beneficiary
  137. DCosts that would be funded anyway
  138. ELeast distortive means of achieving policy objective
  139. FCompetition and investment within the United Kingdom
  140. GBeneficial effects to outweigh negative effects
  141. Schedule 2: The energy and environment principles
  142. AAim of subsidies in relation to energy and environment
  143. BSubsidies not to relieve beneficiary from liabilities as a polluter
  144. CSubsidies for electricity generation adequacy, renewable energy or cogeneration
  145. DSubsidies for electricity generation adequacy, renewable energy or cogeneration
  146. ESubsidies for electricity generation adequacy, renewable energy or cogeneration
  147. FSubsidies in the form of partial exemptions from energy-related taxes and levies
  148. GSubsidies in the form of compensation for increases in electricity costs
  149. HSubsidies for the decarbonisation of emissions linked to industrial activities
  150. ISubsidies for improvements of the energy efficiency of industrial activities
  151. Schedule 3: Subsidies provided by primary legislation
  152. 1Introductory
  153. 2Introductory
  154. 3Introductory
  155. 4Introductory
  156. 5Introductory
  157. 6Application of principles
  158. 7Prohibitions etc and exemptions
  159. 8Transparency
  160. 9CMA referrals
  161. 10Recovery orders
  162. 11Pre-action information
  163. 12Time limits