EU moves to ease subsidy rules for small media

EU countries will soon be able to provide financial support to small and local media outlets without seeking permission from Brussels, according to a draft of the bloc’s revised state aid rulebook. The European Commission released an initial draft in February, with the goal of finalizing it by the end of the year. This draft focuses on easing rules for small and medium-sized enterprises (SMEs) active in the press sector, emphasizing their importance in maintaining media diversity and ensuring public access to reliable information.

To be eligible for assistance, beneficiaries must meet at least one of the Commission’s criteria, which include preserving media pluralism and diversity of opinion, transitioning to digital content while preserving print editions. The exemption applies to aid that promotes cultural objectives such as linguistic diversity, digitalization of press publications, and the promotion of printed publications.

State aid rules have historically been strict, but there are exceptions outlined in frameworks such as the General Block Exemption Regulation (GBER). This particular draft, which is up for revision, gives more flexibility to governments to fund small and medium-sized outlets without formal vetting from Brussels. The updated draft highlights the challenges brought about by the digital transformation of media markets and the role that SMEs play in maintaining media diversity and accessibility.

While the revision aims to simplify the State aid framework, it may make it more detailed and prescriptive. The Commission's shift from broad aid categories to narrowly defined exemptions may lead EU countries to design measures that do not fully address the real needs of companies. Industry stakeholders are closely monitoring the state aid exemptions, with some associations raising concerns that the revised GBER may be too restrictive for smaller regional airports.