European Commission Publishes Guidance on State Aid Rules to Enable Social Support and Investments

European Commission Publishes Guidance on State Aid Rules to Enable Social Support and Investments

On 27 July 2026, the European Commission published a new guidance on how State aid rules allow EU Member States to provide social support and social investment.

This guidance assists Member States in designing State aid measures for social support and social investment, as set out in the Clean Industrial Deal*.

The guidance for the first time brings together available information on State aid for social support and social investments. It presents key State aid instruments and measures that allow national authorities to support social objectives, including:

• Aid for Services of general economic interest to finance public service obligations entrusted to one or more service providers. This concerns services of public interest that the market alone would not supply at all or not in the desired form in terms of quality, safety, affordability, equal treatment or universal access. Examples are social and affordable housing services and healthcare;
• Aid for employing workers with disadvantages or disabilities, training aid and knowledge measures benefitting employees;
• Support to households for energy efficiency measures to help with the transition towards a climate-neutral economy;
• Selected measures with social benefit, including aid to SMEs and startups, as their access to finance may be limited and hinder both companies and broader economic and social objectives.

The guidance provides general information on public support measures that do not constitute State aid and explains what types of State aid are allowed under EU rules.

The guidance is a ‘living tool’ and will be updated when State aid rules change. This will be done, for example, when the Commission adopts an updated  General Block Exemption Regulation**.

*The Clean Industrial Deal is a strategy launched by the European Commission on February 26, 2025, designed to match industrial decarbonization with economic growth, competitiveness, and energy security across the European Union. As part of the Clean Industrial Deal, the Commission announced dedicated guidance that Member States can use when designing State aid measures for social support and social investment. Effective social support and social investment are key for achieving the objectives of the Clean Industrial Deal, including a just transition that delivers quality jobs and empowers people.

** EPR article on the General Block Exemption Regulation (GBER) available here.  EPR contributed to a consultation from the European Commission on the first draft of the new GBER in April 2026, more information available here. GBER will be adopted directly by the European Commission rather than by the joint agreement of the European Parliament and the Council of the EU. When the Commission drafts or updates the GBER, it is required to consult stakeholders and Member States (for instance, through a public consultation process). However, the final adoption is a unilateral executive decision made by the Commission itself, avoiding the multi-reading legislative cycles of the ordinary legislative procedure.

Guidance on State aid measures for social support and social Investments available here.

More information on Guidance on State Aid measure for social support and social investments available here.