Juxtaposition wrote:Lacking credibility as you do it is impossible to trust your assertions, so please provide supporting information for your assertion that the EU prevent the UK from bailing out British Steel.
Dr Ruth Bender, Associate Professor of Corporate Financial Strategy, was interviewed on Radio 5 Live Breakfast show on 31st March,
She said when asked
Do EU rules prevent state aid to save British Steel?
"Unfortunately, yes. The fact that all the economic factors go against the UK steel industry is not relevant, nor is the potentially devastating impact on the wider local economy were it to close. The EU has already ruled on this: in January 2016 the competition commissioner ruled that the Belgian government had illegally provided €211m to steel companies in one of its depressed regions, and ordered that the money be repaid. She also announced an investigation into €2bn of similar aid given by the Italian government to support its steel industry."
"The EU takes the view that State aid cannot be used if it distorts competition, and that EU regional funding is available to help with the social consequences of closing down industries that are uncompetitive."
I wasn't aware that Ruth Bender was a "right-winger". Nevertheless, she as an Associate Professor of Corporate Financial Strategy, confirms that state aid rules set by the EU has prevented the UK government from saving British Steel.https://youtu.be/LKu43pLaItM
Greg Clark turned down the company's funding request on advice it would have broken state aid legislationhttps://news.sky.com/video/clark-no-the
Sky news confirming The EU does not allow state support of a business if it would distort competition in the single market.