The cabinet is making more money available for entrepreneurs who have to cancel an event due to the corona measures. The existing Guarantee Scheme for Events is therefore being expanded in several areas. For example, the maximum subsidy amount is increasing from 80% to 100% of the costs incurred, the cabinet is extending the deadline for submitting applications, and costs incurred for artists from outside the EU will also fall under the scheme. Additionally, the government is looking for a targeted solution for entrepreneurs who are at risk of falling between the cracks. The expansions involve an amount of 135 million euros. The subsidy ceiling of the guarantee scheme will be increased to 450 million euros, up from 385 million euros. The costs for providing targeted solutions are estimated at 80 million euros.

The number of COVID-19 infections has increased significantly in just a few weeks. Therefore, the cabinet has decided to reverse various relaxations. This is a major blow to the events sector and nightlife, and extremely disappointing for all employees and visitors. With the expansion of the guarantee scheme, the cabinet responds to the demand for additional compensation for events. Cafés, nightclubs, and discotheques can also continue to make use of existing corona support packages in the third quarter.

The cabinet is expanding the guarantee scheme for events in several areas. These expansions are aimed at events that cannot take place due to the ban announced on July 9. The following expansions apply:

The subsidy percentage is increased to 100% of the costs incurred (was 80%). For events scheduled after August 13, uncertainty has also increased again. Due to the aim to provide clarity to organizers no later than 3 weeks prior to the event and to encourage them to continue preparations, this expansion applies until the first 3 weeks after August 13.

The period within which organizers can register with RVO is extended. Organizers can submit an application up to 3 weeks after the entry into force of the expansion of the guarantee scheme, or, if later, up to 3 weeks before the scheduled event date. Organizers who have not yet registered can still do so because of this. The minimum number of previous editions to qualify for the guarantee scheme is also reduced from 2 to 1.

The costs for artists from outside the EU also fall under the guarantee scheme for the entire period of the scheme (July 1 to December 31). Previously, these costs were excluded. Due to the increased uncertainty, artists must be booked and paid in advance. By allowing these costs to fall under the scheme, organizers of events after August 13 gain certainty that the deposits they now make for these artists are covered by the guarantee scheme.

Organizers of events that cannot take place in the coming period have often incurred costs in preparing the event. This includes deposits for artists, costs for setting up the event site, and security costs. These costs do not always qualify for reimbursement under the guarantee scheme. Therefore, the cabinet has decided to develop a targeted approach in the coming weeks for events that fall outside the target group. The cabinet is investigating what role municipalities can play in the assessment and implementation of this approach.

In addition to events, music venues are also severely affected by the recently announced measures. Scheduled performances in both larger and smaller venues are often unable to proceed. Given the importance of music venues, the cabinet is looking for appropriate compensation for the damage.

The European Commission still needs to approve the proposed measures.