EU Public Health and State Aid Policy: With Great (er) Power Comes Great Responsibility

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Abstract

This contribution evaluates whether EU State aid policy could play a role in achieving deeper and more solidary integration in the area of public health. According to Article 107 TFEU the powers of the Member States to grant aid to help their economy are seriously limited. Exceptions to the general prohibition to grant State aid are authorized by the European Commission which holds important discretion in weighing national objectives against European integration goals. The area of public health has been up to a certain extent shielded from the application of these rules, with healthcare activities generally considered as not of an economic nature. COVID-19 emergency State aid rules confirmed that in case of major crisis, national support measures to ensure healthcare either do not fall within EU law or are allowed in the name of the fight against the pandemic. Still, the eventual creation of a Health Union will prompt a re-evaluation of the application of the State aid rules to healthcare. This paper questions whether these rules should evolve as a reflective function of strengthened competences in healthcare. It is argued that by extending EU competence to health, State aid control rules, even in cases of an eventual direct EU support, would make State aid control rules even more crucial as to determine the right regulatory balance between national spending policies, a solidary European Health Union and fair competition.
Original languageEnglish
Number of pages11
JournalEuropean Journal of Risk Regulation
Publication statusAccepted/In press - 1 Oct 2020

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