52004XC0207(02)

Information communicated by Member States regarding State aid granted under Commission Regulation (EC) No 70/2001 of 12 January 2001 on the application of Articles 87 and 88 of the EC Treaty to State aid to small and medium-sized enterprises

(2004/C 34/07)

(Text with EEA relevance)

Aid No: XS 1/03

Member State: United Kingdom

Region: Wales

Title of aid scheme or name of the company receiving an individual aid: SCT (United Kingdom) Limited

Legal basis: Welsh Development Agency Act 1975 and Structural Funds Regulations

Annual expenditure planned under the scheme or overall amount of individual aid granted to the company: Total expenditure of GBP 646255 comprising ERDF and Welsh Development Agency funding until October 2006

Maximum aid intensity: Capital investment: maximum of 50 % of total eligible costs

New jobs created as a result of initial investment: maximum of 17,56 % of eligible costs

In combination, the total aid linked to initial investments does not exceed maximum of 50 % of the higher level of eligible costs (i.e. new jobs - eligible costs)

Consultancy costs: maximum of 50 % of eligible costs

Date of implementation: 16 December 2002

Duration of scheme or individual aid award: 16 December 2002 to 31 October 2006

Objective of aid: The aid will allow the recipient, an SME based in an Article 87(3)(a) are of Wales, to provide the following services targeted exclusively at SMEs within Article 87(3)(a) assisted areas in Wales where a market failure exists in relation to affordable ICT solutions:

- consultancy service to establish the ICT needs of SMEs,

- specialist assistance with the implementation of systems for the provisions of hardware and software,

- ongoing hosting of maintenance of services, with 24/7 help desk facility and upgrades as appropriate.

The recipient will provide such services to end users in accordance with the State aid rules.

The assistance to SCT is to be provided in order to cover the initial investment costs which will be incurred by the recipient in respect of the project, together with assistance in relation to the costs associated with employment created as a result of the initial investment, and consultancy costs incurred by the recipient relating to the project.

It is anticipated that the project will allow for the provision of ICT-related services to at least 29 SMEs. The recipient will be required to demonstrate jobs created and safeguarded as a result of the project, together with significant turnover increases in respect of SMEs supported by the project

Economic sector(s) concerned: Information Communication, Technology

Name and address of the granting authority: Patrick Sullivan Welsh Development Agency Plas Glyndwr

Kingsway

Cardiff United Kingdom Helen Usher Welsh European Funding Office Cwm Cynon Business Park Mountain Ash CF45 4ER United Kingdom