Small business - Photo by Alena Darmel on Pexels

“If the EU is serious about sovereignty, security, and prosperity, ‘Think Small First’ must guide every political choice”, stressed Davide Galli, SMEunited President, ahead of the informal EU leaders’ retreat on competitiveness on 12 February.

The conclusion of interinstitutional negotiations on the first Omnibus package today, marks a major setback for the EU’s corporate sustainability framework, with a decision to weaken the Corporate Sustainability Reporting Directive (CSRD) and the Corporate Sustainability Due Diligence Directive (CSDDD).

In trilogue talks, EU institutions signed off on a package of irresponsible measures, including a one-year delay, a narrowing of the regulation’s scope, and a review scheduled for April 2026 that could open the door to further weakening. The political compromise to dilute the EU Deforestation Regulation (EUDR) marks another step in Brussels’ reckless drift towards environmental deregulation.