Hauliers face Ferry bail out 'illegal' • Eurotunnel is denouncing
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French government plans to bail out loss-making Brittany Ferries as illegal.
Eurotunnel is complaining to the French over reports that it will cut Brittany's national insurance payments down to levels comparable with the low levels paid by UK companies.
Social taxes like these cost French companies £41 in every £100 compared with £18 paid by UK companies.
"We deplore it," Eurotunnel's spokesman says. "We think its wrong and illegal under the concession."
That concession is the agreement between France and the UK that prevents either country subsidising competitors to the tunnel.
A Brittany spokesman says the line is simply trying to achieve parity of costs with British competitors. He says that as well as higher social costs the ports that Brittany uses have higher port charges than those on northeast France.