Post-Brexit move to replace EU state aid rules clears first hurdle
A post-Brexit move to replace EU state aid rules has cleared its first hurdle in the House of Lords.
The Subsidy Control Bill received an unopposed second reading by peers.
The legislation sets out how central government, devolved administrations, local authorities and other public bodies should make decisions to award subsidies.
The new regime replaces EU state aid rules, which applied until the Brexit transition period ended on December 31 2020, and the interim measures that followed.
Subsidies, usually cash payments or tax reductions from public resources, can be used to help an industry or business keep prices low, but the expectation is that they will not distort trade.
The Bill, which has already been through the Commons, now goes forward for detailed line-by-line scrutiny by peers.