Official Review and Adjustment of COVID-19 Business Aid in the Canary Islands

Background

• The Spanish government has officially reviewed and adjusted previous COVID-19 business aid allocations in the Canary Islands, specifically targeting recipients in Tenerife.
• These funds were originally established through emergency laws in 2021 to support autonomous workers and small businesses impacted by the pandemic.

Recent Developments

• Recent financial audits revealed that some beneficiaries submitted only partial proof of their expenditures.
• Authorities revoked part of the funding granted in September 2024.
• Despite this, many beneficiaries still meet the criteria for partial justification, with aid amounts totaling over 450,000 euros confirmed for certain recipients.

Government Measures and Expectations

• This new official resolution underscores ongoing efforts to ensure transparency and proper use of pandemic relief funds.
• Highlights include strict control measures such as:
  • The requirement for beneficiaries to maintain activity.
  • The restriction from distributing dividends during certain periods.

Implications for Residents and Businesses

• Residents and businesses in Tenerife face continued scrutiny over how pandemic aid was utilized.
• There is a potential for financial adjustments based on the audits.

Official Statement

The resolution was issued by the General Directorate of Economic Promotion in late August 2025, reinforcing the importance of transparency and control in government aid programs.

Final Notes

• Mismanagement could lead to full repayment requests, including penalties or interest.
• This update reflects Spain’s careful oversight of pandemic support measures in autonomous communities.
• The aim is to safeguard public funds while supporting economic recovery.