Sinn Féin spokesperson on Enterprise, Trade, and Employment Louise O’Reilly TD has said the government must maximise the state aid flexibility recently afforded to member states by the European Union.

Teachta O’Reilly said:

“The announcement by the EU Competition Commissioner Margrethe Vestager that the bloc will allow member states to offer limited subsidies and cheap loans to companies affected by the war in Ukraine and sanctions against Russia offers a welcome opportunity to the government to use state aid to help businesses navigate the current difficulties.

“Europe has moved as one with a swift and necessary response against Russia through the implementation of sanctions, but these sanctions are acknowledged as not being cost free for EU member states.

“The sanctions adopted have severely affected the Russian economy, but they have also taken their toll on the European economy and it is anticipated they will continue to do so in the coming months.

“Therefore, the move by the EU to offer flexibility in terms of state aid so as to mitigate the economic impact of not only the war, but the collectively agreed and necessary sanctions, is very welcome.

“It is important that the government look to maximise the flexibility in state aid rules on offer so severely affected businesses can be helped through this difficult and volatile time.”