Grants in Aid Scheme

The Social Welfare Services are running two State Aid Schemes of the Deputy Ministry of Social Welfare under which state grants are provided to institutions providing services of general economic interest in the field of Social Care.

Beneficiaries of the Schemes are (a) Associations, Foundations and Organisations, registered under the legislation in force, which are primarily and systematically engaged in operating social care programmes and are non-profit organisations, (b) Local Government Authorities operating programmes in the Social Care field or (c) partnerships of the above mentioned.

Such programmes include the Homes for the Elderly and People with Disabilities, Adult Care Centres, and Home Care Facilities for the Elderly, Nurseries and Childcare Centres, Child Protection and Employment Centres, 24-hour and day care programmes for people with disabilities (PWD), programmes for unaccompanied minors, victims of domestic violence, etc.State aid is granted for the establishment, operation or extension of programmes and may be in the form of grants to cover operating costs (salaries, meals, etc.), costs for purchasing equipment/furniture and costs for the construction/extension/repair/purchase of buildings.

Such Schemes must be approved by the Council of Ministers.

Interested agencies may submit applications on an annual basis, which are then assessed by a SWS committee at district level and then at central level by the SWS and the Director of Social Welfare Services. A final decision on the amount approved for each applicant agency is made by the Acting Permanent Secretary of the Deputy Ministry of Social Welfare.

Agencies receiving State Aid are systematically monitored by officers of the Social Welfare Services.

The schemes are the following:

1. De Minimis State Aid granted by the Deputy Ministry of Social Welfare under Regulation 360/2012 for the provision of Services of General Economic Interest (SGEI) (De Minimis Rule). Most agencies fall within the scope of this specific scheme.

2. The State Aid Scheme of the Deputy Ministry of Social Welfare under Decision 2012/21EU for the provision of Services of General Economic Interest (SGEI). Any aid exceeding 500,000 euros per rolling three-year period is examined under this framework, in accordance with Commission Decision 2012/21/EU on the basis of which an Assignment Agreement is signed with the agency receiving State Aid.


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