19RescuingU.K.
(1)A subsidy for rescuing an ailing or insolvent enterprise is prohibited by this section unless the conditions in subsections (2) to (4) are met.
(2)The condition in this subsection is that the subsidy is given during the preparation by the enterprise of a restructuring plan for the purposes of section 20(2).
(3)The condition in this subsection is that the subsidy consists of temporary liquidity support in the form of a loan or loan guarantee.
(4)The condition in this subsection is that the public authority giving the subsidy is satisfied that—
(a)the subsidy contributes to an objective of public interest by avoiding social hardship or preventing a severe market failure, in particular with regard to job losses or disruption of an important service that is difficult to replicate, or
(b)there are exceptional circumstances that justify the subsidy being given despite its not contributing as mentioned in paragraph (a).
(5)This section does not apply to a subsidy for rescuing an ailing or insolvent enterprise that is a deposit taker or insurance company.
Commencement Information
I1S. 19 not in force at Royal Assent, see s. 91
I2S. 19 in force at 4.1.2023 by S.I. 2022/1359, reg. 2