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Subsidy Control Bill

Moved by

Lord Callanan

14: Clause 18, page 10, line 24, at end insert—

“(4) The prohibition in subsection (1) does not apply if the public authority giving the subsidy is satisfied that the conditions in subsections (5) to (7) are met.

(5) The condition in this subsection is that the effect of the subsidy is to reduce the social or economic disadvantages of the area that would benefit from the giving of the subsidy.

(6) The condition in this subsection is that the giving of the subsidy results in an overall reduction in the social or economic disadvantages within the United Kingdom generally.

(7) The condition in this subsection is that the subsidy is designed to bring about a change in the size, scope or nature of the existing economic activities referred to in subsection (1)(a).”

Member’s explanatory statement

This amendment provides an exemption to the prohibition on relocation of activities by allowing subsidies that meet conditions on reducing social or economic disadvantage.