Belgium's socialist-led
government has decided to release 20 million euros in support for the
country's troubled aviation sector. Belgian flag carrier Brussels
Airlines, a subsidiary of German's Lufthansa, has been in financial
straits for a while. Operators Jetairfly and Thomas Cook Airlines will
also be able to benefit from the government aid package.
Mobility Secretary Melchior Wathelet
(Francophone Christian democrat) had drawn up a plan that would envisage
30 million euros worth of support for the Belgian aviation sector. The
aid would partly be given in the form of tax cuts for airline companies.
Belgium's Inner Cabinet decided that only 20 million could be afforded. The aid package includes help with staff training.
The government says it's acknowledging that Belgian companies
experience unfair competition from carriers like Ryanair that are based
overseas in countries where airline operators enjoy a more beneficial
tax regime.
Economy Minister Johan Vande Lanotte (Flemish socialist): "We're
giving support ahead of European measures. The EU says that a level
playing field should be created in aviation within a decade. In
anticipation of this I think it's a good idea to provide Belgian
support."
Source: Flandersnews.be
Regards,
Daniel Brackx
