Bill proposes more aid and loans for DANA flood-hit areas

Automatic summary, not yet reviewed

1. The bill would create new ICO loans with a non-repayable portion (up to 30% of the loan) and interest rate subsidies for companies, through the ICO CRECIMIENTO line, of up to €750 million.
2. It would create a State guarantee line, of up to €5,000 million and until December 31, 2040, to back financing for households, businesses and self-employed people affected by civil protection emergencies in areas officially declared severely hit.
3. PERTE NAVAL projects located in municipalities of the province of Valencia could certify that their facilities are up and running until June 30, 2026, due to delays caused by the shortage of machinery after the DANA floods.
4. For PERTE VEC aid (electric and connected vehicles), the requirement that at least 30% of the aid go to SMEs could be met by counting all groupings in the program together, instead of project by project.
5. It would extend the deferral of Social Security contributions: for companies and self-employed workers in the Special Regime for Sea Workers, contributions accrued between November 2025 and January 2026; for other self-employed workers in special regimes, between December 2025 and February 2026.
6. Self-employed people who were receiving the DANA cessation-of-activity benefit on January 31, 2025 could access a new extraordinary benefit for the period from February 1 to December 31, 2025, if their activity remains halted by the damage.
7. It would enable subsidies of up to €60 million for affected municipalities to adapt buildings to flood risk, and would grant direct aid to the cultural sector, including €200,000 for the Salvem les Fotos project and subsidies for five Valencian cultural organizations.
8. Vehicles wrecked by the DANA that are temporarily deregistered and were declared a total or partial loss would be permanently deregistered automatically, and missing vehicles could be permanently deregistered if their owner requests it with a sworn statement until December 15, 2025.

Who it affects

• Households, businesses and self-employed people in areas hit by civil protection emergencies: They could request State guarantees for financing granted by credit institutions.
• Self-employed people affected by the DANA: They could defer Social Security contributions and access a new cessation-of-activity benefit.
• Municipalities listed in the annex of Real Decreto-ley 6/2024: They could receive subsidies to adapt buildings to flood risk and extend deadlines for other aid.
• Companies in PERTE NAVAL and PERTE VEC: They would have more time and more flexible rules to justify their aid.
• Cultural organizations and families in l'Horta Sud: They would receive direct subsidies to restore cultural activity and damaged family photographs.

Words worth knowing

Tramo no reembolsable (TNR)

Non-repayable tranche: the part of the loan you do not have to pay back if you meet the conditions; it works like a grant.

Aval

Guarantee: the State's commitment to pay the debt if the person or business that borrowed the money cannot.

DANA

Spanish acronym for an isolated high-level low-pressure system, a weather event that brings very heavy rain.

ZAGEPC

Area severely affected by a civil protection emergency, a formal declaration that triggers aid.

Novación

Novation: changing the terms of an existing loan without losing the guarantee.

It summarizes the text as it was introduced. It is written by artificial intelligence and may contain mistakes: the official text is what counts. Read the official text · How we make summaries