Factsheet for measure
MT-2021-18/1930
–
Updated
– measures in Malta
Restart Incentive Scheme 2021
Background information
A series of measures to aid businesses impacted by COVID-19 were announced by the Prime Minister Robert Abela on 27 April 2021. Many of these measures extended the measures already in place, such as those that provide subsidies for organisations' electricity and rental bills. Among these measures is a new measure termed the 'Restart Incentive Scheme 2021'. This is a two-pronged incentive system that provides organisations with support to hire a business advisor and provides entrepreneurs with psychological support.
Content of measure
While the measure was announced during a press conference by the Prime Minister, little information on its contents are yet to be released.
The measure appears to have two facets which will be managed by the Malta Enterprise. This first provides entrepreneurs who faced serious challenges to their organisation during COVID-19 with tangible support. This primarily appears to be financial support for professional business advisory costs. The scheme will finance advisory costs up to €5,000. This amount can be extended to €10,000 to support the implementation phase of the new business initiative.
Coupled with this financial support is the aim to provide psychological support to such entrepreneurs. It was announced that Malta Enterprise will fund a specialised programme intended to provide psychological support to these entrepreneurs by professional experts in the field.
Updates
The following updates to this measure have been made after it came into effect.
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01 November 2021
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It was clarified that the measure applies to self-employed individuals and enterprises (micro through medium-sized) that were required to stop business operations due to COVID-19 disruptions between 1 June 2020 and 30 September 2021. Applications are open until October 2022.
In terms of the advisory stage, a list of established advisors compiled by the Malta Chamber has been published, however applicants are not restricted to identifying an advisor from this list.
Furthermore, in terms of implementation costs, it was clarified that these could include any required costs to restart the business with the exception of those related to assets or stocks. Eligible costs are those linked to re-commencing business and can include rent, marketing, and recruitment services (and other related costs) which are identified in collaboration with the identified advisor.
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Use of measure
No information is available.
Target groups
Actors and funding
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Actors
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Funding
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National government
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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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Unknown
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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: Unknown
Involvement
The involvement of social partners in the development of this specific measure is unknown. However, the measure was announced along with a package of measures which aimed to stimulate economic activity. In relation to the announced package of measures, a number of employer associations highlighted how they had been in regular consultation with the government and that the package of measures reflected their input. These included the Chamber for SMEs, the Malta Hotels and Restaurants Association, the Malta Chamber of Commerce, Enterprise and Industry (known as the Malta Chamber) and the Gozo Business Chamber.
In terms of implementation of this measure, the Malta Chamber established a list of advisors that enterprises could choose from for the advisory stage of this measure. While recognised by the Malta Enterprise, enterprises are not obligated to make use of this list.
Views and reactions
Several Employer Associations commented on the package of measures of which the current measure formed part of. Comments on the package of measures were favourable and originated from: the Chamber for SMEs, the Malta Hotels and Restaurants Association, the Malta Chamber of Commerce, Enterprise and Industry (known as the Malta Chamber) and the Gozo Business Chamber.
The Malta Chamber specifically mentioned the Restart Incentive Scheme and commended both the support for advisory services as well as the concept of providing psychological support for entrepreneurs, highlighting that it; "shows commitment to safeguarding the mental well-being of entrepreneurs who are having a particularly tough time as a result of the unprecedented challenges brought about by the pandemic”.
Sources
