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Government seeks business breaks extension
business breaks

Government seeks business breaks extension

by Emery P. DALESIO 03.06.2021
Restaurants and others could continue getting compensation for uncovered costs and late social insurance payments
Luxembourg's government wants to extend help to the hospitality sector.
Luxembourg's government wants to extend help to the hospitality sector.
Photo credit: Photo : Anouk Antony

Even as Luxembourg's government proposes further easing restrictions aimed at limiting Covid-19, ministers are taking steps to keep public support flowing for businesses harmed by the pandemic.

Prime Minister Xavier Bettel's government on Wednesday agreed to push parliament to extend two schemes that offer relief for companies hurt by pandemic restrictions.

One proposal would extend into the fall a program that pays the uncovered costs lost by restaurants, hotels, tourism, sports and events or entertainment that were unable to operate normally. Eligible businesses must have lost 40% or more of their pre-pandemic revenue and yet had unmet costs for payroll, consumed goods or financial charges.

The government council also agreed to further postpone penalising businesses and self-employed people unable pay their monthly social insurance payments. Social contributions remain due and are billed monthly. But the Centre  Commun de la Sécurité Sociale (CCSS) would not charge interest on late payments through the end of the year.

The government's plans to extend the business benefits are expected to be approved by Parliament, where the parties forming Bettel's government hold a narrow 31-seat majority in the 60-seat chamber.

The government council also extended until the end of the year the ability of local municipal councils to hold meetings remotely by videoconference.

Bettel announced on Wednesday that he would ask Parliament to ease many existing restrictions on gatherings, including ending an overnight curfew that has been in place for seven months and allowing restaurant and bar owners to decide their own closing times.


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