EU: State Aid
The Commission has opened a formal investigation into the French plan to grant tax aid to insurers; and has amended transitional measures for changing the tax system applicable to Belgian coordination centres.
* France
France's plan is to grant tax aid to insurers for managing certain insurance policies. The Commission is concerned whether the measure is compatible with the rules on State Aid. France sees the aid as a social measure which is purely of benefit to the final consumer, involves no discrimination between insurance providers and hence is compatible with the common market.
* Belgium
The Commission had applied transitional measures to Belgian coordination centres in 2003. Those measures have had to be amended following a judgment of the ECJ which partially overturned the Commission decision.