Earlier today, the Prime Minister of Malta together with the Minister for Energy, Enterprise and Sustainable Development announced a new set of business support measures.
The aim of such measures are:
- to provide direct support measures with the scope of injecting liquidity; and
- to stimulate economic activity
The measures announced are the following:
- Rent Support Scheme
The rent scheme will be extended by a further 50% over and above the rent assistance provided for 2020. This scheme applies also to those undertakings which had to close earlier this year.
- Electricity Support Scheme
Such scheme will be re-issued to cover June, July and August 2021 and will cover 50% of the total electricity bill. It will also apply to those undertakings which had to close earlier this year.
- One-Time Cash Grant
A one-time cash grant of Eur1,000 will be given to those businesses that have been asked to remain closed beyond 10th May 2021.
- Business Re-engineering and Transformation Scheme
This scheme now applies also to self-employed and microenterprises. Furthermore, the aid intensity cap has been increased from Eur5,000 to Eur10,000.
- Restart Incentive Scheme
This scheme is aimed at supporting entrepreneurs who faced serious challenges to their growing concern. It will finance professional business advisory costs up to Eur5,000 which could be extended to Eur10,000 in order to support the implementation phase of the new business initiative.
- Smart and Sustainable Investment Scheme
This scheme will be provided in the form of a cash grant up to Eur50,000 to assist companies in kick-starting the investment cycle after the pandemic. The cash grant will be increased in the following cases: (i) investments made in Gozo, (ii) investments made by start-ups and (iii) investments which directly create new green jobs.
The smart and sustainable investment scheme also involves an additional 20% support in the form of tax credits. The scheme will also include a specialised programme to provide psychological support to these entrepreneurs.
- Extension of Microinvest Tax Credit Certificate
The period by which such tax credits can be utilised has been extended. Tax certificates due for expiry in 2021,2022 and 2023 will be extended by 3 years to 2024, 2025 and 2026 respectively.