CUTTING EU RED TAPE FOR GROWTH

A report received from some 90 UK businesses and business organisations, and over 20 business organisations across Europe sets out a range of proposals to ensure that the EU single market makes it easy for businesses in Europe to trade across borders, and to ensure that the EU regulatory framework is, and remains, competitive in the global market place.

Barriers to Overall Competitiveness. To address these, the EU should:

• Ensure the full implementation of the Services Directive across the EU
• Ensure data protection rules don’t place unreasonable costs on business
• Refrain from bringing forward legislative proposals on shale gas
• Drop proposals to extend reporting requirements to non-listed companies.

Barriers to Starting a Company and Employing People. To address these, EU Governments should be allowed flexibility to decide:

• When low-risk companies need to keep written health and safety risk assessments
• How traineeships and work placements should be provided.

For new employment law proposals the starting presumption should be that micro-enterprises are exempt. When inclusion is sensible (e.g. a beneficial proposal) micros should have a proportionate regime. In particular the:

• Pregnant Workers proposals should be withdrawn
• Posting of Workers Directive should not introduce mandatory new complex rules on subcontracting
• Existing legislation on Information and Consultation should not be extended to micros, and no new proposals or changes to existing legislation should be made
• Working Time Directive should keep the opt out; give more flexibility on on-call time/compensatory rest; clarify there is no right to keep leave affected by sickness
• Agency Workers Directive should give greater flexibility for individual employers and workers to reach their own arrangements that suit local circumstances and give clarity to companies that they only need to keep limited records
• Acquired Rights Directive should allow an employer and employee more flexibility to change contracts following a transfer.

Barriers to Expanding a Business. To address these, the EU should:

• Drop costly new proposals on environmental impact assessments
• Press for an urgent increase of the current public procurement thresholds
• Exempt more SMEs from current rules on the sale of shares
• Minimise new reporting requirements for emissions from fuels
• Drop plans for excessively strict rules on food labelling
• Remove proposals to make charging for official controls on food mandatory
• Remove unnecessary rules on SMEs transporting small amounts of waste
• Withdraw proposals on access to justice in environmental matters
• Withdraw proposals on soil protection.

Barriers to Trading Across Borders. To address these, the EU should:

• Take action to create a fully functioning digital single market
• Rapidly agree measures to cap card payment fees
• Remove international regulatory barriers which inhibit trade
• Reduce the burden of VAT returns, and stamp out refund delays
• Drop proposals on origin marking for consumer goods.

Barriers to Innovation. To address these, the EU should:

• Improve guidance on REACH to make it more SME-friendly
• Rapidly agree the new proposed Regulation on clinical trials
• Improve access to flexible EU licensing for new medicines
• Introduce a risk-based process for the evaluation of plant protection products.

Additional concerns raised by business

In addition to the specific recommendations made in the report, the measures and areas set out below have the potential to affect the competitiveness of business. These should be subject to further examination, in order to identify the scope for additional reductions of burdens on business.

Law, Proposal or Issue

• Animal Health Directives and proposal
• Aromatic Mineral Oils in Food Packaging – anticipated proposal
• Artificial Optical Radiation Directive
• Audiovisual Media Services Directive (AVMSD)
• Batteries Directive and proposal
• Biocidal Products Regulation
• Biotechnology Directive
• Boatmasters – anticipated proposal
• Capital Requirements Directive and Regulation (CRD IV)
• Chemical Agents Directive
• Common European Sales Law proposal
• Computer Screens Directive
• Cosmetic Products Regulations
• Driver Certificates of Professional Competence Directive
• Driver Licensing Directive (motorised tricycles)
• eCall proposal
• E-Commerce Directive
• Emissions Trading Scheme Regulation
• Energy Efficiency Directive
• Energy Performance of Buildings Directive (Energy Performance Certificates)
• E-Privacy Directive
• Equal Treatment Directive
• Ergonomics
• European Aviation Safety Agency Regulation
• European Tissue and Cells Directive
• Exclusions for Seafaring Workers proposal
• Feed Oils and Fats Regulation
• Food Information Regulation
• Food Safety
• Food Supplements Directive
• GM low level presence in food – anticipated proposal
• Habitats Directive
• Hygiene for Food of Animal Origin Regulation (minced meat controls)
• In Vitro Diagnostic Medical Devices proposal
• Institutions for Occupational Retirement Provisions (IORPs) – anticipated proposal
• Intrastat Reporting Directive
• Labelling of Additives in Feed Regulation
• Medical Devices Directive and proposal
• Minced Meat Labelling
• Mobile Workers on Inland Waterways Social Partner Agreement
• Network and Information Security proposal
• Nitrates Directive
• Nutrition and Health Claims Regulation
• Olive Oil Action Plan
• Packaged Retail Investment Products (PRIPS) proposal
• Passenger Ship Safety Directive and anticipated proposal
• Plant Health Directive and proposal
• Plant Reproductive Material Directive and proposal
• Ports Policy proposal
• Prior Informed Consent Notification Regulation
• REACH Regulation (nickel)
• Reporting Formalities for Ships Directive
• Restriction of Hazardous Substances in Electrical and Electronic Equipment (RoHS) Directive
• Road Charging – anticipated proposal
• Roadworthiness Package of three proposals
• Roll-on/Roll-off Passenger Ship Safety – anticipated proposal
• Sale of High Resolution Satellite Data – anticipated proposal
• Simplification of the Re-registration of Vehicles proposal
• Solvency II Directive
• Solvent Emissions Directive
• Telecoms Package proposal
• Temporary and Mobile Construction Sites Directive
• Train Driver Licensing Directive
• Transmissible Spongiform Encephalopathy (TSE) Control Regulation
• Type Approval for Motor Vehicles Directive
• Veterinary Medicines Directive and anticipated proposal