Support for sports, aids and compensations for lost earnings throughout 2021

GOVERNMENT ASSISTANCE

The Federal Council is proposing a maximum limit of 115 million francs for non-repayable contributions to team sports clubs

Support for sports, aids and compensations for lost earnings throughout 2021
CONTRIBUTIONS

Support for sports, aids and compensations for lost earnings throughout 2021

CONTRIBUTIONS

The limit of 115 million Swiss francs for non-repayable contributions to professional and semi-professional team sports clubs should be abolished: that is what the Federal Council asks Parliament, who today issued a new message concerning an amendment to the Covid-19 Act. Furthermore, it is requested that the period of validity of the legal basis for the compensation for loss of earnings be extended until the end of 2021.

The budgetary repercussions of both these measures are closely dependent on the development of the pandemic and the associated restrictions imposed on the economy, a government statement indicated today. In spite of the announced gradual easing, possible restrictions are also to be expected again in the second half of 2021.

This law amendment is expected to be dealt with by the federal chambers during the summer session, and any additional funds will be requested from Parliament in the fall session as part of additional appropriations, explains the government.

Compensation for loss of earnings

The compensation for loss of earnings is currently paid to individuals who have to interrupt or significantly restrict their employment due to measures taken in response to the Covid-19 outbreak. The duration of the legal basis for this payment, however, is limited to the end of June 2021 and the Executive Board now proposes to extend it until December 31. There remains the risk of new restrictions - and therefore new work interruptions - also in the second half of this year, advises the Federal Council.

The increased expenses due to the extension of the payment of compensation for loss of earnings, in the view of the government, should be able to be covered by the budget credit already allocated for 2021 of 3.1 billion francs.

Non-repayable contributions for sport

The current non-refundable contribution of CHF 115 million to professional and semi-professional clubs in basketball, ice hockey, soccer, handball, unihockey and volleyball is limited to the duration of the 2020/2021 season.

In particular, the cap set in the law for these contributions was only calculated until June 30, 2021, which coincides with the end of the 2020/2021 season. Nevertheless, explains the Federal Council, «it cannot be excluded that even in the second half of 2021 a restriction on the number of spectators will be necessary». For this reason, the maximum amount mentioned in the law may no longer be sufficient.

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