November aid will probably only be paid in January
| Reading time: 3 minutes
Many entrepreneurs need the corona aid to survive, and innkeepers in particular have to continue to pay rents. But the federal government’s promised funds can probably only be paid out with some delay. Because something is missing.
BAccording to a media report, there will be a week-long delay in paying out November aid for companies affected by the Corona crisis. The bridging aid could only take place in January due to the outstanding completion of a software tool, reports the “Bild” newspaper, citing a response from the federal government to a small request from the FDP parliamentary group. The hotel and restaurant association Dehoga reacted with incomprehension and warned of bankruptcies.
The schedule currently agreed with the service provider envisages “that the processing of the application can start in December if possible and payments can be made in January”, according to “Bild” in the response of the federal government.
“Frustration and despair” in many companies
The parliamentary manager of the FDP parliamentary group, Marco Buschmann, criticized it as an “oath of disclosure that not a single application for November aid could yet be processed in a regular manner”. In addition, it remains “completely unclear” when the federal government can deliver the necessary software. “The uncertainty of the affected companies is perfect.”
FDP general secretary Volker Wissing also sharply criticized: “He has learned nothing from the serious mistakes in the spring,” quoted the “Neue Osnabrücker Zeitung”. The Rhineland-Palatinate Minister of Economic Affairs explained that the federal government would not see the computer program for processing November aid available to the federal states until December 20, so that processing could only begin afterwards. “In plain language this means: Beyond the advance payment, there can in fact hardly be any disbursements this year.” This goes on and on, because the December aid would also be further delayed.
Dehoga CEO Ingrid Hartges told the newspaper that frustration and despair prevail in many companies. “Now the advance payments have to be increased significantly, otherwise bankruptcies are inevitable,” she said.
What has already been paid out
According to the federal government, however, around 318 million euros have already been paid out in November aid for companies and the self-employed in the partial lockdown. So far, around 120,000 applications have been submitted, including around 33,000 self-employed people, said a spokeswoman for the Ministry of Economic Affairs in Berlin on Friday.
The November aid are grants for companies, for example in the catering trade, which had to close due to official orders. There are payments on account – this is an advance payment for later payments without a more detailed examination. Self-employed persons receive an advance payment of up to 5000 euros, companies up to 10,000 euros.
Federal Minister of Economics Peter Altmaier (CDU) had announced that he wanted to check whether advance payments could be increased in certain cases. The state economics ministers had previously demanded this and warned of liquidity bottlenecks.
For the November aid, the federal government expects a volume of up to 15 billion euros according to earlier information. Loss of sales will be reimbursed. Due to the extension of the partial lockdown, there is also December aid based on the same model.