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How do the State aid rules apply here? thetimes.co.uk/article/bailou…
For those who don’t pay the Murdoch shilling, here’s the key bit (from @michaelgove). 
First point: the State aid rules are to survive a no deal Brexit. They will be preserved in domestic law by these regulations. legislation.gov.uk/ukdsi/2019/978…
(I analysed the draft regulations here. uksala.org/the-state-aid-…).
Second point: under the regulations @CMAgovUK takes over the Commission’s role. So it would have to approve any such aid, balancing its effects on competition against the public benefit.
It would in particular apply the Commission’s guidelines on rescue aid (which under the regulations apply as a default post Brexit). Those guidelines do permit in principle aid to tide a medium/long term viable business over a shock.
But the CMA would be checking the analysis: is the aid no more than needed? Is the business really viable in the longer term and if so why can’t it raise the money privately?
NB: Leadsom (the relevant minister) can issue her own binding guidance to @CMAgovUK to replace the EU’s. She would need to consult the devolved governments.
NB2: the Government could decide to scrap the State aid rules. That though would mean a vote in Parliament as it involves getting rid of a provision of EU law (Article 108(3) TFEU) that has direct effect and is therefore preserved by the EU Withdrawal Act.
Anyone contemplating scrapping the State aid rules needs to appreciate that that would rule out *any* FTA with the EU. It is boat-burning.
NB3 even if you do scrap the State aid rules, the EU is entitled under WTO rules to protect its domestic industry by imposing protective tariffs (countervailing measures) on any U.K. exports that are subsidised. See for background uktradeforum.net/2017/10/10/tra…
It will be taking any opportunity to do that: particularly if the U.K. has scrapped or suspended State aid rules. /ends
