“SMEs remain cautious and concerned about the impact the introduction of a new company category “small midcaps” will have on SMEs and SME policy in Europe” SMEunited President Salminen stated as a first feedback to the publication of the Omnibus and the Single Market Package.
“The Single Market Strategy looks quite comprehensive and it will now be key for the Commission and Member States to each take responsibility for its effective implementation, so that SMEs across Europe can fully benefit from the opportunities the European market has to offer” he continued.
SMEunited President Salminen insists the creation of a small midcap category should not impact negatively in any way SMEs and in particular earmarked funding for SMEs. This must be ensured for the current and future funding periods. If funding programmes for SMEs would be diluted, this would create mistrust and impede growth for SMEs. Furthermore, the new category should be a building block within the “Think Small First” approach.
Concerning the Single Market Strategy, SMEunited welcomes the Commission’s focus on removing the ‘Terrible Ten’ barriers, especially those that disproportionately burden SMEs, such as fragmented product labelling rules, complex requirements for cross-border administrative aspects or overly complex legislation. Mr Salminen stated that “the proposals to remove barriers and simplify rules are a good step forward. However, the strategy needs to better recognise the central role of SMEs in innovation and growth in the Single Market”. While SMEunited acknowledges the relevance and ambition of these proposals, further development will be required. In this context, Mr Salminen underlined that “the ‘Think Small First’ principle must be applied to all legislation” and called for closer cooperation with SME organisations in developing and implementing the strategy.
SMEunited sees the dedicated chapter on SMEs in the strategy as a signal to work on a concrete SME policy. However, the measures are to be further developed. For example on the SME passport, President Salminen explained “as it stands, it is not a game changer. A more horizontal and integrated approach is needed to make a difference for SMEs across all sectors and borders. A useful SME Passport should be a digital tool to ensure the once-only principle and simplify reporting obligations, declarations, permitting, and so” explained Mr Salminen. The update of the recommendation on business transfer on the other hand matches SMEunited’s long-standing calls and aligns with the joint statement presenting 10 suggestions to support business transfers in the EU. Tasking the SME envoy network with promoting measures to support and facilitate SME activity is the right way forward, ensuring that these measures will be aligned between governance levels.
The implementation of the Single Market Strategy must now also guarantee a better application of the regulatory framework, a transformation of EU policy-making and a focus on enforcement and market surveillance.
