The European Commission has announced a large-scale reduction in the EU’s bureaucratic burden, which should accelerate economic growth, stimulate innovation and reduce energy costs. This is stated in the draft economic programme to be presented on Wednesday, DPA reports.
According to the document, the EU should make “unprecedented efforts” to simplify regulation and reduce administrative pressure on business. This will improve the investment environment, reduce economic dependencies and strengthen the EU’s position in global competition.
“If we do not immediately change the approach and speed of decision-making, the EU’s future as an economic power, investment zone and manufacturing centre will be at risk,” the draft says.
The European Commission plans to rely on breakthrough technologies, including artificial intelligence (AI), biotechnology, robotics, advanced materials, and clean energy. At the same time, Brussels reaffirms its commitment to climate neutrality by 2050, stressing that the energy transition must be accompanied by economic competitiveness.
A call for reform after Davos
The issue of overregulation in the EU was one of the key topics at the World Economic Forum in Davos (20-24 January). European Central Bank (ECB) President Christine Lagarde called on EU leaders to reduce bureaucratic barriers to trade and investment.
“Europe needs an awakening, and it comes from the United States,” Lagarde said, alluding to Donald Trump’s return to power.
German Economy Minister Robert Habeck supported her position, noting that Europe cannot wait for the situation to “normalise by itself”.
“Deregulation, speeding up processes and reducing bureaucracy is the right way to go,” he stressed.
Business demands change: Europe lags behind the US
Large European companies also warn of the danger of regulatory stagnation. ING CEO Steven van Rijswijk said that the EU needs more harmonised regulation, while Banco Santander President Ana Botín warned that Europe risks “turning into a museum”.
“We have a lot of start-ups, but they develop here and then move to the US,” she said.
