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State Aid Junkies, Viruses and the Aviation Industry:

Ryanair’s Litigation against Approved Aid Measures for Airlines During the Pandemic

Christopher McMahon

DOI https://doi.org/10.21552/estal/2021/2/8

Keywords: COVID-19, Temporary Framework, aviation, non-discrimination


During the pandemic, many Member States have engaged in more interventionist policies to sustain their economies through tough public health restrictions. This has manifested itself in the provision of large quantities of State aid to elements of the aviation industry by Member States, facilitated by the relatively permissive policies of the European Commission. The Irish low-cost airline Ryanair has been a notable and outspoken critic of these measures, describing them as ‘state aid crack cocaine’ and their beneficiaries as ‘state aid junkies’ and has launched an aggressive programme of litigation to annul the decisions approving the aid. This article reviews the first nine of the judgments of the General Court that this litigation has produced to date, three of which have led to the annulment of the Commission’s approval of the aid. This article will go on to assess the impact of these decisions and examine the contribution they make towards understanding the State aid response of the EU and its Member States to the pandemic. It will be suggested that the General Court has generally taken a tolerant attitude towards pandemic-related aid for aviation, upholding the approval of individual aid and allowing Member States to confine the aid to recipients with a close connection to their own economies.
Keywords: COVID-19; Temporary Framework; aviation; non-discrimination.

Christopher McMahon is a PhD candidate and Adjunct Assistant Professor at Trinity College Dublin. He is a qualified barrister and holds degrees from Trinity College Dublin and the University of Oxford. For correspondence: <mailto:cmcmaho1@tcd.ie>.

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