State of the SME Union - shape Europe for SMEs

14 September 2022
by smeunited -- last modified 14 September 2022

SMEunited welcomes President von der Leyen's measures for SMEs, announced at the State of the Union address today. SMEs support the efforts to reduce electricity demand, push down prices and avoid blackouts.

Our organisation applauds the measures proposed by the Commission President in favour of SMEs: a review of the Late Payment Directive, an SME relief package and investment in professional education and upskilling. These tackle important challenges SMEs face today. Furthermore, SMEunited calls on the EU institutions to create a facilitating legal framework and reduce regulatory burden for SMEs.

Gloomy outlook for autumn

Fears about the negative impact of new Covid variants did not materialise during the spring, giving the recovery a higher pace than expected. The negative impact of inflation and high energy prices increased significantly over summer. On average, SMEs do not expect a recession yet, but if the situation in the energy market does not change, it becomes increasingly likely by the end of this year.

EU framework for energy supply and lower energy prices

To tackle soaring energy costs, SMEs ask to:

• Increase energy supply to reduce price pressure and avoid blackouts,
• Put in place price caps on non-marginal / infra-marginal electricity producers, these revenues should be used to support households and SMEs,
• Provide energy at regulated prices to SMEs (retail market), i.e. supplying 80% of historical consumption at pre-war prices while maintaining a price incentive for energy saving and energy efficiency,
• Extend and prolong the State aid crisis framework, allowing price caps for SMEs, to be used by all member states when required,
• Incentivise energy efficiency and transition by appropriate guidance and advice from their SME organisation.

Facilitating regulatory framework

The Commission already launched many initiatives in this mandate which will impact SMEs.  To soften the regulatory burden, SMEs call to:

• Mitigate adjustment costs by providing concrete guidance from public authorities, specifically Commission services towards national/regional level and to SME organisations as part of a "train the trainer" approach, for example in the implementation of the eco-design, emissions reductions and access to data,  
• Reduce administrative burdens by removing or postponing reporting requirements and other administrative requests, e.g. in the Equal Pay and Pay Transparency Directive, sustainability reporting and due diligence.
• In conclusion, Petri Salminen, the SMEunited President, asks MEPs to consider before voting on a piece of legislation whether they would be able to implement it themselves. If they wouldn't, they should vote against the proposal.

SMEunited calls to Think Small First and act accordingly!

SMEunited is the association of Crafts and SMEs in Europe with around 70 member organisations from over 30 European countries. SMEunited represents national cross-sectoral Craft and SME federations, European SME branch organisations and associate members. Combined, they represent more than 12 million enterprises with around 55 million employees across Europe. SMEunited is also a recognised employers' organisation and European Social Partner. SMEunited was formally known as UEAPME.

SMEunited