The coronavirus pandemic has forced the Government to take a series of economic measures to try to tackle a health crisis that has left 109.348 dead in Spain, according to the official count. Several decrees try to alleviate the economic impact with aid for the unemployed and loans for the self-employed and SMEs.
Evictions and supply cuts
The government approved the suspend evictions rental of families without housing alternative and the supply cut (electricity, water and gas) to the vulnerable population and people at risk of exclusion until the end of the state of alarm (May 9, 2021). He extended it three more months until August 9, then until October 31 and March 31, 2022. The last extension goes until September 30 this year.
ICO loans
The Executive has launched ICO loans to mitigate the economic impact of the war in Ukraine and has made balance of the ICO-COVID line. His spokeswoman maintains that they have financed some 750,000 companies, mostly SMEs and the self-employed, and they reached mobilize 140,000 million to mitigate the effect of the pandemic in sectors, such as transport, consumption, commerce or textiles, with great demand in Madrid, Andalusia and Catalonia.
The Government extended until June 31, 2021 the possibility of requesting credits guaranteed by the State through the Official Credit Institute (ICO), with a two-year grace period (previously it was 12 months) and a maturity of eight years (initially it was five).
In July 2020 it was launched a new line of ICO loans worth 40,000 million euros for investment in companies, after exhausting the first line of 100,000 million. The sixth tranche has a value of 15,000 million euros, of which 10,000 million are made available to SMEs and the self-employed and 5,000 to other companies in all sectors.
On July 3, a rescue fund of 10,000 million for viable companies was also approved. The first tranche of 20,000 million It entered into force on April 6. Then another tranche of the same amount was launched and a third round of guarantees for 24,500 million. The fourth tranche had an amount of 20,000 million and the fifth was 15,500 million euros.
ERTE
The prohibition of dismissal for companies that have received aid is still in force and ERTEs are regulated in the labor reform. The companies could maintain the conditions of the ERTE, according to the agreement between the Government, employers and unions for the seventh extension, until March 31. Previous agreements were reached until January 31, 2020, May 31, September 30 and February 28.
It keeps the counter to zero, which allows unemployment to not be consumed while being charged from the ERTE. Thus, anyone who has lost their job before or during 2021 will have their benefit guaranteed. The protection is maintained until December 31, 2022.
The EU has formally approved the SURE fund of 100,000 million to protect employment, of which more than a fifth, specifically 21,325 million, will go to Spain to finance ERTEs and other aid to workers.
Rentals
The Government articulates rental aid and contracts are automatically renewed. After the state of alarm, the Executive extended these measures until September, then extended them until January 31 and then extended them until May 9, when the new period of the state of alarm ended. The Council of Ministers extended it three monthsuntil August 9 and then until October 31.
The Executive extension the term to request interest-free microcredits, guaranteed by the State, for the payment of housing rent, in addition regulates the verification procedure for these ICO loans. The deadline to request them ended on November 30, it was extended by six months and three more were added.
These ICO loans are for Monthly rent of up to 900 euros and must be returned in six years, extendable to another four. They are aimed at unemployed tenants, in an ERTE or who have seen their income reduced. Large tenants, such as investment funds, must choose between collecting half of the rent or restructuring the debt, within a minimum period of three years. This facility was terminated on February 28, 2022.
Entrepreneurs will be able renegotiate rent payments for business premises, particularly those owned by large holders or public companies. In the case of other owners, the bond will serve to pay and will have to be replaced in a year.
Bono social
Approved a new assumption so that electricity consumers who are still unemployed, ERTE, reduced working hours, or with a family member in those circumstances, or in the case of businessmen, have seen their income reduced by 75%, can get the social bonus, a 25% discount on the electricity bill. The measure that allowed the self-employed who had ceased their activity on a date after March 14, when the state of alarm came into force, to apply for the social bonus as a vulnerable consumer is extended.
Turismo
The Ministry of Tourism launches a web page to consult the aids available for the sector, called reactivatur.
The government allocates more than 4,250 million of euros to boost the recovery of tourism, with a plan that plans to reach 1.2 million people with five lines of action: strengthen the country as a safe destination; support the business fabric and employment; improve competitiveness; improve the tourism intelligence model; and promote domestic tourism through marketing campaigns.
care
The Executive gives the green light to the Co-Responsible Planendowed with 200 million euros, 190 allocated to the Autonomous Communities. The plan allows families with low income and children under 14 Get professional help for your care. Social Security will allow workers to adapt or reduce their working hours up to 100%, when they have to care for another person who, due to age, illness or disability, needs personal and direct care. This is the ‘Me Cuida’ plan, which has been extended by the Government.
mortgages
A new moratorium on mortgages or consumer loans allows families most affected by the crisis to postpone for nine months the payment of the “principal and interest on your home equity and unsecured loans“, a measure whose term ended on March 30.
applied to the habitual residence, to a place to develop a business or to a house for rent in which the mortgaged owner does not receive the rent. The Government explained that it was going to tourism or transport companies with a reduction in turnover of 40% during the pandemic.
dividends in banking
The European Central Bank (ECB) lifts the ban on distributing dividends. The entity advised caution and recommended to the banks not to pay the shareholder until October 1, 2021, but he opened his hand with the “profitable” entities of the eurozone with “solid” capital trajectories. In this case, he advocated reducing the distribution to 15% of the profits generated.
Bankruptcy contests
The bankruptcy moratorium ends on June 30, 2022. The objective was that viable companies, affected by the pandemic, could continue their activity and not be forced into liquidation. The obligation of debtors to request insolvency proceedings (voluntary insolvency) was suspended, as well as the obligation of the judge to admit it for processing if requested by creditors (necessary insolvency).
stopped
The Government approved an extraordinary subsidy for the unemployed who finished their benefits during the first state of alarm, between March 14 and June 30, for not being able to access other aid, nor being able to look for work due to the restrictions against the pandemic , about 250,000 unemployed. The amount is 80% of the IPREM, about 430 euros with a duration of three months.
By car
From October 20, 2020 you could request the aid of the Renove plan with a computer application. Requests are valid for purchases made from June 15.
RNE’s mornings with Íñigo Alfonso – The period to apply for Plan Renove grants begins – Listen now
The Executive dedicated €250 million to promote the purchase of vehicles between individuals with a plan for the automobile sector. To access aid, delivered a car over 10 years old for your scrapping and the new one had to be among the most efficient on the market, among other conditions.
Pension plans
Los autonomous that have ceased their activity due to the coronavirus and people affected by an ERTE they will be able to redeem the contributions made to pension plans to relieve their liquidity needs. The redemption of pension funds is facilitated, the circumstances, the term and the maximum amount available are defined.
I+D+i
The government offers aid for 173.5 million euros aimed at the innovative industrial sector and SMEs, technology companies and young entrepreneurs to promote innovation, employment and entrepreneurship, in addition to financing projects with a 0% interest rate.
Public science, technology and innovation institutions may establish extraordinary working hours. Overtime will be compensated with the productivity supplement or with bonuses. The Carlos III Health Institute will receive more than 25 million euros in loans and the CSIC 4.4 million.
Los science and technology parks they may defer or split loan installments to avoid being paralyzed. The Consorcio Barcelona Supercomputing Center you can get into debt.
Shopping
Los deadlines for returning purchases were interrupted during the first state of alarm for both face-to-face and online acquisitions. Consumers were protected in contracts for the purchase of goods and provision of services whose execution was impossible for the pandemic. The deadline to cancel purchases on line was reactivated on June 4. Consumption offers an informative website to find out how to claim.
Culture
Congress approved aid to culture for €76 million. More of 38 million for performing arts and music and other 20 million to provide liquidity to companies. The cine will receive more than 13 million; las bookstores, four millions; and the visual artistsone.
The Council of Ministers has approved measures to support the world of culture. There are 76 million euros for a sector that employs 700,000 people, contributes about 3% to national wealth and is one of the most affected by the coronavirus.
Public work
In public works projects paralyzed due to the pandemic, the concessionaire “will be able to restore the economic balance by extension of its initial duration up to a maximum of 15% or through the modification of the clauses of economic content included in the contract”. The Government returns to tender public works projects from May 5.
Liquidity problems
Faced with the possibility that some companies have liquidity problems to make the income from certain self-assessments, the Tax Agency adapts its operations. So the companies that benefit from the liquidity mechanism What does the decree offer? They will not receive penalties for non-payment of taxes as long as the financing line does not reach them.
Neighborhood meetings
The executive maintains the suspension of the meetings of owners of the neighboring communities, consequently, the obligation to present the annual accounts and the renewal of the governing bodies is cancelled. They can be held for urgent matters, with anticovid security measures or electronically.
RNE’s mornings with Íñigo Alfonso – Owners’ communities: “We need to resolve basic issues without having to meet” – listen now