EC upgrades Think Small First principle

Last week the European Commission presented a number of initiatives to boost the contribution of Small and Medium Enterprises (SMEs) to the creation of growth and jobs, relying principally on exempting the smaller companies (micro-enterprises) from some EU laws. A press release summarizes the news, but it is worth reading through the Report to Council and Parliament on "minimizing regulatory burden for SMEs." The new steps are taken within the Europe 2020 strategy with smart regulation playing a rôle in making European business more competitive by providing a lighter regulatory environment. They build on the Small Business Act (2008) which has eased access to finance. The report states that administrative burdens have already been reduced by 22%, with more proposals from the Commission (totalling 33% reduction) still in the legislative pipeline and lists existing full or partial exemptions granted to micro-enterprises. The package also contains an action plan to involve SMEs better in law-making. A landmark document which will contribute to the reflection on what will come after the end of the current Action Programme for reducing administrative burdens, which closes next year.