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Rutte III
Friday, 23 October 2020 - 17:10

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Restaurants to get €2,500 to cover lockdown costs as gov't expands Covid support

Restaurants, bars and cafes closed because of the partial lockdown during the second wave of coronavirus infections could receive a one-time compensation of 2,500 euros from the government. The relief effort will be included as part of the Cabinet's third coronavirus support package, government sources told broadcaster NOS.

The Cabinet had said it was investigating how it could answer the call for more support to the catering industry and other sectors affected by the most recent set of measures. It said that its third support package is precisely designed to also absorb the consequences of a new lockdown.

Ultimately, the Dutch government also wants more companies to be able to qualify for coronavirus support measure TVL, which covers the fixed costs of businesses in trouble due to the pandemic. By expanding this regulation, the cabinet wants to close gaps it did not address with the first and second packages. This will be accomplished by allowing all businesses with at least a 30 percent loss of revenue to qualify for up to 90 thousand euros to compensate for fixed costs like rent and utilities, the broadcaster said.

The government does want to help the companies that fell through the cracks by expanding TVL. There have been complaints for some time that certain specific transport companies, suppliers to the events sector, and companies that carry out seasonal work, among others, do not qualify for this package even though they are hard hit by the measures in place to curb the pandemic.

The cabinet is also consulting with employers and employees' associations, and opposition parties about possible more support.

The third package, aimed at helping businesses in financial troubles due to the Covid-19 crisis, involves around 11 billion euros and has been in effect since October 1. In essence, the support measures from the first and second package all continue to exist, but will also be cut back and phased out. It will run until July 1 next year.

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