Government and Institutions

New state aid rules likely to distort competition and slow down innovation

Victoria Hewson quoted in City AM

The Business Secretary Kwasi Kwarteng MP has announced his plan for new state aid rules, which will allow taxpayers’ money to be spent on subsidising private companies in the UK.

Commenting in City AM, Victoria Hewson, Head of Regulatory Affairs at the IEA said: “Governments are notoriously bad at picking winners, whether that’s in the UK or at the EU level”.

Furthermore, Hewson argued that “using taxpayers’ money to prop up failing businesses is likely to distort competition, slow down innovation and favour incumbents”.

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