Factsheet for measure
HU-2023-1/3103
–
Updated
– measures in Hungary
Subsidy for small village shops
A falusi kisboltok támogatása
Background information
Under government resolution 1539/2022 published in November 2022 under the Modern Villages Programme, as of 12 January 2023 village shops can apply for support for their operating costs.
According to the government, the measure was issued in response to the impact of price caps, in place since early 2022. Often small village shops sell the items under the price cap scheme in larger proportions which means they are more in need of compensation than city shops.
Content of measure
The 2023 budget allocated HUF 8 billion (€19.91 million) for the support scheme. The amount of aid available is between HUF 1 million and HUF 3 million (€2,632-7,895) per shop. This money is provided in a one-off, lump-sum that is 100% pre-financed, non-repayable and non-reimbursable. Operating costs, such as the wages of the shop's employees, employer's contributions, rent and overhead costs are eligible to be covered. The application must be submitted electronically. In his statement, Alpár Gyopáros said all shop owners who sell daily consumer goods and basic foodstuffs in settlements with less than 2,000 inhabitants can apply for operating subsidies.
Updates
The following updates to this measure have been made after it came into effect.
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12 January 2023
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12 Jan 2023 – The subsidy was reopened for 2023 as part of the Hungarian Village Programme. Applications for grants of HUF 1-3 million (€2,703-8,108) for utility bill costs are received from 12 to 31 January. The funding period is 1 August 2022 – 31 July 2023, the National Chamber of Agriculture (NAK) reported.
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Use of measure
According to a list of subsidy winners 2,806 shops were awarded by July 2023. A total of HUF 7,567,045,261 (€19.91 million) was awarded.
Target groups
Actors and funding
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Actors
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Funding
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National government
Company / Companies
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National funds
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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Role
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No involvement
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Consulted
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Form
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Not applicable
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Direct consultation outside a formal body
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Social partners' role in the
implementation, monitoring and assessment phase:
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Only employers' organisations
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Main level of involvement: Sectoral or branch level
Involvement
Zoltán Szőke, head of employers’ organisation ÁFEOSZ, initiated the subsidy and the proposal went through.
Views and reactions
Unknown.
Sectors and occupations
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This case is sector-specific (only private sector)
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Economic area
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Sector (NACE level 2)
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G - Wholesale And Retail Trade; Repair Of Motor Vehicles And Motorcycles
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G47 Retail trade, except of motor vehicles and motorcycles
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This case is not occupation-specific.
Sources
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14 November 2022: Govt resolution 1539/2022 on subsidies for village shops
(njt.hu)
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15 November 2022: Small village shop subsidies in pipeline
(bankmonitor.hu)
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13 January 2023: Village shop utilities subsidy reopens in Jan 2023
(www.nak.hu)
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05 August 2023: Winners of the small village shops subsidy programm
(magyarfaluprogram.hu)
