The Council of Ministers approved the so-called “refreshment decree” to offset the measures decided by the government with the latest DPCM to try to contain the new increase in coronavirus cases. The approval was announced by Prime Minister Giuseppe Conte and the content of the decree was explained during a press conference organized at Palazzo Chigi: in addition to Conte, the Minister of Economy and Finance Roberto Gualtieri and the Minister of Economic Development were present. Stefano Patuanelli.
The decree, said Conte, “provides for the allocation of over 5 billion euros to provide immediate resources for the benefit of the categories of economic operators and workers affected by the restrictive measures of the last Prime Minister’s Decree”. Minister Gualtieri specified that the decree “mobilizes a substantial mass of resources: 5.4 billion in terms of net debt, 6.2 billion in terms of net balance to be financed”. He then spoke of a decree “marked by speed, simplicity and effectiveness: we are aware that the restrictive measures have forced many merchants, many economic categories to change plans and perspectives, so we have chosen the simplest and fastest ways of dining and we have decided to strengthen them with respect to the past “.
One of the most conspicuous items of the decree, amounting to 2.4 billion euros, is the allocation of non-repayable aid for activities that are closed or with reduced hours after the last DPCM decided by the government. The procedure had already been foreseen in the “relaunch decree” of last May. This time, however, companies with a turnover of more than 5 million euros will also be included and the compensation will be higher than those previously paid, even reaching four times as much.
The indemnities will be diversified according to the type of activity identified according to the Ateco codes and will be calculated on the basis of the decrease in turnover and the amount collected in the past months after the first lockdown.
The non-repayable grant will be paid automatically “already in mid-November”, said Conte, to the more than 300,000 companies in the sectors impacted by the Prime Minister’s Decree and which had already had it in recent months. For those who had already received the contribution, the new one will be paid by the Revenue Agency by direct credit to the bank or post office current account to which the previous one was paid. Activities that have not already applied for the non-repayable grant may also submit the application: the expected time for disbursement is, in this case, mid-December.
“For completely closed sectors such as gyms, swimming pools, theaters, cinemas, the amount is doubled”, said Stefano Patuanelli: “Many restaurants are open only in the evening, they lose much more than half of their income, even for these after comparison with the categories we have decided to apply the coefficient of 200 percent. 150 percent will go to pastry shops, ice cream parlors ». Conte also gave some examples: “A small bar that had obtained 2 thousand euros of refreshment with the” relaunch decree “, will now be able to obtain 3 thousand euros, a large restaurant that had received 13 thousand euros can have up to 26 thousand euros , a small gym that had received 2,000 euros with the relaunch decree will be able to obtain 4,000 euros ». “Hotels, taxis and NCC are included in the grant,” said Gualtieri.
In addition to the non-repayable fund, the decree also contains other measures. The period in which it is possible to apply for the layoffs, the main social safety net used to continue to pay the salaries of workers left at home or working part-time due to the crisis, has been extended by another six weeks. The six weeks can be used until January 31, 2021. In support of the affected activities, the exemption of the second installment of the IMU, which expires on December 16, is envisaged. The rental tax credit will be extended to the months of October, November and December and extended to companies with revenues exceeding 5 million euros that have suffered a 50 percent drop in turnover. The related credit can be transferred to the owner of the property.
The decree, explained Conte, “also provides for the suspension of contribution payments relating to workers for the month of November”: in the government statement it is specified that the agricultural sector is excluded from the measure and that those who have suspended or reduced activity due to the emergency for a maximum period of 4 months. The exemption is determined on the basis of the loss of turnover and is equal to 50 per cent of the social security contributions for employers who have suffered a reduction in turnover of less than 20 per cent; 100 per cent of the social security contributions for employers who have suffered a reduction in turnover equal to or greater than 20 per cent.
The decree contains specific measures for entertainment and tourism workers. An allowance of € 1,000 is provided for all self-employed and intermittent entertainment workers; the extension of the redundancy fund and special allowances for the tourism sector. A total of 1 billion was also allocated to support certain sectors affected: 400 million for travel agencies and tour operators; 100 million for publishing, fairs and conferences; 100 million euros for support for the hotel and spa sector; 400 million euros for export support and international fairs.
The decree recognizes an indemnity for all workers in the sports sector who had already received the indemnities provided for by the “Cura Italia” and “Relaunch” decrees: the amount was increased from 600 to 800 euros. To cope with the difficulties of amateur sports associations and clubs, a special fund was set up for the Department for Sport. The fund is financed with 50 million euros for 2020. A 100 million euros fund was then created to support companies in the agricultural sector.
Summarizing the contents of the decree, Conte, Gualtieri and Patuanelli also referred to two new monthly payments of the emergency income, intended to help those families not covered by the current subsidies, such as citizenship income.
Finally, the Minister of Economy explained that “there are resources to allow the administration of 2 million tampons in November and December, to strengthen the contact tracing»And to support remote teaching of schools.
Patuanelli, in his speech, thanked “those who took to the streets to oppose the Prime Minister’s Decree, signaling the desire of the Italians to continue producing, to give work, to do their business”. Conte, answering a journalist’s question, said that “the drift in terms of violence we certainly cannot share it, but all decent Italians cannot share it. (…) Violence generates violence and does not lead to anything good ». Conte also said that the government’s choices “can be legitimately criticized, we are in a democracy. But I want to say that we have not made indiscriminate choices. To prevent the curve from escaping us, it is essential to reduce the main social opportunities. Only in this way can we decongest public transport, avoid gatherings, lighten the tracking system (…) We have not closed activities that we considered less important than others, there are no Serie A and Serie B activities ». Responding to a question about the possibility of introducing a capital, he finally explained: “Our effort is not to introduce new taxes, we are making an incredible effort not to introduce new taxes, this is already a great result”.
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