Over CZK 1 billion approved for COVID rent-funding programme

Foto: Khalil Baalbaki, Archiv des Tschechischen Rundfunks

More than CZK 1 billion worth of state rent subsidies have been approved since the government’s COVID rent programme was launched three months ago. In total 17,290 applications for rent relief, worth a total of CZK 2.4 billion, have been sent to the Ministry of Industry and Trade, the Czech News Agency reported on Monday. The amount of funds allocated to the programme, which is set to close for applications next week, was CZK 5 billion.

Photo: Filip Jandourek, Czech Radio

More than CZK 1 billion worth of state rent subsidies have been approved since the government’s COVID rent programme was launched three months ago. In total 17,290 applications for rent relief, worth a total of CZK 2.4 billion, have been sent to the Ministry of Industry and Trade, the Czech News Agency reported on Monday. The amount of funds allocated to the programme, which is set to close for applications next week, was CZK 5 billion.

The Ministry has so far approved 8,459 applications worth a total of CZK 1.2 billion, with a further CZK 413 million worth of applications still pending for review, Ministry of Industry and Trade spokesperson Štěpánka Filipová told the Czech News Agency.

Ministry of Industry and Trade, photo: Filip Jandourek, Czech Radio

Applications worth a further CZK 87.8 million have been sent back to applicants for completion, with a further 5,574 applications worth a total of CZK 715.8 million currently under review at the Ministry.

The COVID rent programme (COVID nájemné) was set up to help businesses forced to close or limit their activity due to the government’s measures put in place to combat the coronavirus epidemic.

The idea is that the state will contribute 50 percent of the funds needed by these businesses to pay rent in the lockdown months of April, May and June. The funds are made available under the condition that the property landlord reduces the amount of rent for this period by 30 percent and that the lease contract was signed prior to March 12.

Karel Havlíček, photo: ČTK / Ondřej Deml

As a result, the tenant business only pays one-fifth of the normal amount of rent it would have to pay during a normal period.

When the programme was first announced in June, Trade and Industry Minister Karel Havlíček said that up to 150,000 businesses could potentially benefit from the funds. Unless, things change significantly in the next week, the real number will have been significantly smaller.

Potential applicants still have time to register on the ministry’s website and send off their application by September 30.