The European Commission has launched a Call for Evidence and public consultation to gather input on the scope and content of its review of the General Block Exemption Regulation (‘GBER’). The review aims to reduce red tape for businesses and Member States, facilitating necessary support for industry. At the same time, EU State aid rules should continue to protect the level playing field within the EU.

Interested parties can respond to the questionnaire available here until October 6.

The GBER review

The GBER declares specific categories of State aid compatible with the internal market if they meet certain conditions, exempting them from the requirement of prior notification to and approval by the Commission. This allows Member States to quickly provide aid when conditions limiting competition distortion in the Single Market are met.

The GBER came into force in 2014 and has since become the most significant aspect of EU State aid rules. In 2023, Member States implemented 69% of all non-crisis aid measures under the GBER, such as support for research and innovation, broadband connectivity, energy efficiency, and for SMEs and start-ups.

Over time, the Commission has kept the GBER updated. The most recent amendment, in 2023, provided Member States with more flexibility to support sectors crucial for the transition to climate neutrality and a net-zero industry.

To stay current, the Commission is assessing the potential to further simplify and update the GBER, in line with the EUs Competitiveness Compass and the Clean Industrial Deal. The purpose of the Call for Evidence and the public consultation is to collect information and stakeholder views on the application and interpretation of the GBER. Feedback will help the Commission explore ways to reduce the administrative burden for businesses, harmonize State aid rules, and speed up the assessment of aid measures. The goal is to make it easier for all businesses, especially SMEs, to access support.

The deadline to respond to the questionnaire is October 6.

More information and next steps

The Commission will analyze the responses to the public consultation and publish a summary of the main points and conclusions on the Commissions ‘Have Your Say’ portal. The Commission will also publish the contributions in the language they were submitted.

Background

Article 108(3) of the Treaty on the Functioning of the EU (‘TFEU’) requires Member States to notify all State aid to the Commission and to implement it only after the Commissions approval. With the Enabling Regulation, the Council allows the Commission to declare that certain categories of State aid are compatible with the Single Market and exempted from the notification obligation set out in the TFEU.

Based on this, the GBER allows Member States to implement certain aid measures directly and exempts them from the requirement of prior notification to the Commission, provided the aid meets the general and applicable specific conditions of the GBER. This aligns with the Commissions approach to focus on delivering more and faster, while doing less where it does not add value.