This week the European Commission has unveiled new rules, dubbed “EU Inc.”, which aim to make Europe a more competitive business force that can go band for band with rivals like the United States and China.
The so-called “28th Regime” vows to make it so that an individual looking to start a company anywhere in the EU would be able to do so in under 48 hours for less than €100, and all online.
This is in contrast to the present situation where, as European Commission President Ursula von der Leyen noted, people often face “more than 60 national company forms,” when attempting to start a business.
The plan is to reduce the cost and delays associated with doing business within the bloc.
“With EU Inc., we are making it drastically easier to start and grow a business all across Europe”, von der Leyen said on Wednesday as she unveiled the policy.
She explained that the plan is to provide an incentive for companies to stay in Europe who might otherwise have moved outside of the EU due to its high levels of bureaucracy and hassle.
Many experts and critics have warned that Europe risks falling behind other global powers like the US and China in terms of business and technology innovation due to high levels of red tape, and the fact that law between member states is so fragmented.
In recent years many member states have tried to rectify this with a variety of measures, including with the establishment of a unified patent court, which allows patents to be recognised across all member states which are signed up to it. However, some member states have not signed up, including the Irish Government, though the Government has signalled its desire to sign up at some stage in the coming Government term.
According to one estimate by the International Monetary Fund (IMF), some of the market barriers within the EU’s single market itself represents the equivalent of a 110% tariff on services. As a result, many EU politicians have sought to harmonise and standardise business rules across the bloc.