European Union State Aid Law

European Union State Aid Law governs how governments can provide financial support to businesses without distorting competition in the market. It aims to ensure a level playing field within the EU by regulating subsidies and incentives that could give certain companies an unfair advantage. The European Commission oversees these regulations, assessing whether aid is necessary for economic development or if it could harm competition. Essentially, it helps maintain a fair marketplace while allowing governments to support local economies in a balanced manner.