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Factsheet for measure CZ-2020-46/1643 Updated – measures in Czechia

COVID Tourism support

COVID Podpora cestovního ruchu

Country Czechia , applies nationwide
Time period Temporary, 11 November 2020 – 07 May 2021
Context COVID-19
Type Legislations or other statutory regulations
Category Supporting businesses to stay afloat
– Direct subsidies (full or partial) or damage compensation
Author Soňa Veverková (Research Institute for Labour and Social Affairs) and Eurofound
Measure added 03 January 2021 (updated 12 August 2021)

Background information

COVID-19 Tourism programme is focused on businesses and companies in tourism: travel bureaus (call No. 1/2020/COV-Cestovní kanceláře), travel agencies (call No. 2/2020/COV-Cestovní agentury) and tour guides (call No. 3/2020/COV-Průvodci v cestovním ruchu).

The programme is managed by the Ministry of Regional Development of the Czech Republic . The calls have been opened since 11 November 2020 till 11 January 2021.

The subsidy for travel bureaus is provided up to 2.5% of the planned revenues from the sales of tours and related travel services for 2020. The subsidy should be used for the services operation and/or for refunds of tours cancelled due to COVID-19 pandemic in the decisive period from 20 February 2020 and 10 October 2020. The total allocation for this call is CZK 345 million (€12,777,777).

Content of measure

The subsidy for travel agencies has two types (its combination is not allowed):

  • A subsidy of CZK 500 (€28.5) per cancelled trip is provided to cover travel agency losses for cancelled trips due to COVID-19 pandemic in the decisive period from 20 February 2020 and 10 October 2020.
  • A flat-rate subsidy is focuses on travel agencies which main activity is inbound tourism. The agency must provide relevant documentation that shows more than a 50% drop in revenues in 2020 in comparison with 2019. The subsidy paid is CZK 50,000 (€1,852), CZK 100,000 (€3,704), CZK 250,000 (€9,259) and CZK 500,000 (€18,519) - the final amount paid depends on revenue drop.

The total allocation of funds for this is CZK 55 million (€2,037,037).

The third measure is focused on tourist guides - individuals. The guide can apply for a subsidy of:

  • CZK 50,000 (€1,852), if they provide educational services to a school facility in the duration of at least ten teaching hours by 30 June 2021 at the latest or completes further education or a retraining course accredited by the Ministry of Education, Youth and Sports of the Czech Republic for additional employment on the labour market by 31 December 2021.
  • CZK 40,000 (€1,482), if the guide does not meet the conditions above.

The total allocation of funds this is CZK 25 million (€925,926).

Updates

The following updates to this measure have been made after it came into effect.

01 April 2021

New call No. 4/2021/COV of the programme has been opened. This call is focused on large travel bureaus, e.g. those, which sales supposed in 2020 should have reached more than CZK 500 million (€19,168,104 approx.). The relevant period is from 20 February until 4 January 2021, call is opened for applications from 8 April 2021 until 7 May 2021.

08 January 2021

The Ministry of Regional Development of the Czech Republic announced that the deadline for applications is prolonged till 29 January 2021.

Use of measure

In January 2021, according to the Ministry of Regional Development of the Czech Republic , the total amount of CZK 102,207,415 (€3,918,244) was paid to travel bureaus. Travel agencies were supported by the total amount of CZK 6,073,500 (€232,835) and tourist guides by CZK 50,000 (€1,852).

As of 31 May 2021, according to the Ministry of Regional Development of the Czech Republic , the total amount of CZK 294,682,741 (€11,333,952) was paid to travel bureaus with 505 applications out of 567 supported. Travel agencies (585 out of 681 applications) were supported by the total amount of CZK 61,822,265 (€2,377,780) and tourist guides by CZK 18,580,000 (€714,615) (404 out of 619 applications).

Target groups

Workers Businesses Citizens
Self-employed
Sector specific set of companies
Does not apply to citizens

Actors and funding

Actors Funding
National government
Company / Companies
National funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role Informed Informed
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • Social partners jointly
  • Main level of involvement: Sectoral or branch level

Involvement

Social partners were informed.

Views and reactions

Supportive.

Sectors and occupations

    • Economic area Sector (NACE level 2)
      N - Administrative And Support Service Activities N79 Travel agency, tour operator and other reservation service and related activities

This case is not occupation-specific.

Sources

  • 02 November 2020: MMR: COVID Tourism - call for travel bureaus/MMR: COVID Tourism - výzva pro cestovní kanceláře (www.mmr.cz)
  • 02 November 2020: MMR: COVID Tourism - call for travel agencies/MMR: COVID Tourism - výzva pro cestovní agentury (www.mmr.cz)
  • 02 November 2020: MMR: COVID Tourism - call for travel guides/MMR: COVID Tourism - výzva pro průvodce (www.mmr.cz)
  • 08 January 2021: MMR: COVID Tourism support prolonged/MMR: COVID Cestovní ruch prodloužen (www.mmr.cz)
  • 30 January 2021: MPO: Amounts paid out in some COVID programmes/MPO: Sumy vyplacené z některých COVID programů (www.mpo.cz)
  • 01 March 2021: MMR: New call Travel bureaus II/MMR: Nová výzva Cestovní kanceláře II (mmr.cz)
  • 31 May 2021: MMR: Covid programmes statistics/MMR: Statistiky podpořených z covidových programů

Citation

Eurofound (2021), COVID Tourism support, measure CZ-2020-46/1643 (measures in Czechia), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/CZ-2020-46_1643.html

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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.