Lufthansa state aid: Ryanair pleased with the decision of the EU court

As expected, Ryanair welcomes the decision of the EU court that ruled illegal the state aid packages granted to Lufthansa and SAS. The approvals granted by the EU Commission have been overturned, although the Commission can still appeal to the ECJ or amend the reasoning.

A Ryanair spokesman said: "One of the greatest achievements of the EU is the creation of an internal market for air transport. The European Commission's approval of the German recapitalization aid to Lufthansa and the Swedish and Danish recapitalization aid to SAS breached the fundamental principles of EU law. Today's judgments confirm that the Commission must act as the guardian of a level playing field in aviation and not authorize discriminatory state aid following political pressure from national governments. The Court's intervention is a triumph for fair competition and consumers across the EU. Discriminatory government subsidies worth over €19 billion have been awarded to EU airlines during the Covid-40 pandemic. Unless the EU courts stop these subsidies in line with today's ruling, they will distort the market for decades to come. Whether Europe can overcome the Covid-19 crisis with a functioning internal market depends on airlines being able to compete with one another on equal terms. Undistorted competition eliminates inefficiencies and benefits consumers through low fares and plenty of choice. Unjustified subsidies, on the other hand, encourage inefficiency and hurt consumers for decades to come."