The government on Wednesday adopted a relief package worth 800 million euros aimed at small businesses struggling with high energy costs and weak consumer spending. Shops, cafés, bakeries and workshops with fewer than 20 employees will be able to apply from next month.
The package, presented by the finance ministry after a cabinet meeting in Riverton, has three parts: a subsidy covering up to 30 percent of a firm’s energy bills through the winter, the option to defer income and payroll taxes for six months, and state-backed loans at reduced interest for businesses that keep their staff on.
Who qualifies
Firms must show that their energy costs rose by at least a fifth compared with two years ago, or that turnover fell by 15 percent or more. Applications will be handled online, and the ministry promises payments within 30 days.
Small businesses are the heartbeat of our main streets. We want them to reach spring with their doors open and their staff employed.
Daniel Achterberg, finance minister
The governing Civic Union says the measures are fully funded by higher-than-expected revenue from corporate taxes. The opposition Progress Party called the package “a bandage applied too late,” arguing that help should have arrived before the summer.
The view from behind the counter
In Westmoor, Rosa Lindqvist opens her stationery and gift shop at eight every morning. Her electricity bill has nearly doubled, she says, while customers have become more careful with every purchase.
“The energy help will make a real difference in December and January, when the lights and the heating are on all day,” she said. “But my biggest cost is still the rent, and nothing in this package touches that.”
Business associations made a similar point. The national chamber of crafts welcomed the speed of the decision but said it would push for rent support in next year’s budget.
Economists expect the package to have a modest effect on overall growth. Ines Marchetti, an economist at the University of Elmbridge, said the main benefit would be preventing closures over the winter months. “This is about keeping viable businesses alive through a difficult season, not about stimulating the economy,” she said.
The package still needs the approval of the National Assembly, where a vote is expected later this month.
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