EU court dismisses Ryanair's appeals against Italy's COVID airline aid scheme

EU court dismisses Ryanair's appeals against Italy's COVID airline aid scheme
A Ryanair plane on a tarmac of Makedonia airport in Thessaloniki, Greece, 7 May 2026.
Reuters

The European Union's General Court has dismissed Ryanair's appeals against an Italian state aid scheme approved by the European Commission in 2020 to support airlines during the COVID-19 pandemic.

The court ruled that the subsidies paid by Italy to airlines affected by the coronavirus crisis complied with EU law, finding that the scheme did not breach the principle of non-discrimination nor the freedoms to provide services and establish businesses within the bloc.

Ryanair sought to cancel the Italian scheme, which initially provided €130 million ($149 million) in support for airlines licensed in Italy before being increased by a further €100 million ($114 million).

The budget airline argued that the aid was discriminatory and that the European Commission's approval breached procedural rules.

The General Court initially annulled the Commission's decision in 2023, but the Court of Justice of the European Union referred the case back to the lower court in 2025 for a fresh assessment.

In its latest ruling, the General Court upheld the Commission's approval of the Italian aid scheme by dismissing Ryanair's appeals.

The decision comes after Ryanair secured a separate victory in April, when the EU's top court ruled in its favour in a similar case involving German state aid granted to Lufthansa during the COVID-19 pandemic.

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