COVID Rent Programme

The Czech government will help businesses affected by the COVID-19 measures cover their rent payments

The Czech Ministry of Industry and Trade (the "Ministry") has published a new (second) call for applications for the granting of funds from the COVID Rent Programme (all information and documents are available in Czech on the Ministry’s website). The aim of the programme is to provide businesses and entrepreneurs affected by COVID-19 lockdown measures with state aid that partially covers their rent liabilities vis-à-vis their landlords. Tenants may submit applications until 21 January 2021.

The COVID Rent Programme was prepared in response to the coronavirus pandemic that has recently swept through the Czech Republic, followed by several lockdown and emergency measures. It is intended to help businesses that, due to such measures, have had to temporarilyclose their establishments or stop or limit the provision of their services to customers.

Under the COVID Rent Programme, the state covers 50% of the total amount of rent for the 3^rd quarter of 2020 (i.e. July, August, and September 2020). Contrary to the first call under the programme in spring 2020, there will be no need for the landlord’s participation or any discount on the lease this time. The state aid will be provided to tenants ex post after the rent has been paid to the landlord. Support of up to CZK 10 million (approx. EUR 367k) is provided to each tenant (applicant) for all of its business premises and stores.

Who can apply?

- Catering establishments (restaurants, cafes, bars, pubs, etc.)
- Music clubs, dance clubs, game clubs and similar social clubs
- Cinemas
- Congresses and other educational events, exhibitions and fairs
- Commercially operated indoor sports areas (playgrounds, ice rinks, courts, rings, bowling alleys, billiard halls, training facilities, etc.), gyms and fitness centres
- and other businesses directly affected by the lockdown measures, which have led to the closure of their establishment/limits on the provision of their services.

Since the first call for applications under the COVID Rent Programme in the spring of this year, the Ministry has received more than 18,000 applications totalling CZK 2.6 billion in aid (approx. EUR 95 million). For the second call, the Ministry has set aside CZK 1.2 billion (approx. EUR 44 million), to be distributed to those whose applications are accepted.