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Better regulation and burden reduction are among key issues for the modern European political priorities and for the corporate community as well. Besides, the speed-up reducing disproportionate regulatory burdens on companies and better quality of regulations, are also vital for stronger investments and the EU-wide competitiveness.
Background
With the evolution of our societies and changing political goals, different regulatory means may be necessary to achieve desired political outcomes. At the same time, there is an objective risk of over-regulation and excessive burdening.
The challenge of simplifying the EU regulatory framework is acknowledged as one of the major issues in the recent reports on the future Single Market by Enrico Letta in April 2024 and on EU competitiveness by Mario Draghi in September 2024.
Therefore, regular scrutiny is necessary to identify disproportionate or unnecessary burdens and prevent or remove them. Thus, during last 5 years, the EU adopted 13,000 legislative acts, and more than 60% of EU companies view regulation as an obstacle to investment.
More on Letta’s report in: https://www.consilium.europa.eu/media/ny3j24sm/much-more-than-a-market-report-by-enrico-letta.pdf
More on Draghi’s report in: https://commission.europa.eu/topics/competitiveness/draghi-report_en
Note. We have written extensively on the Draghi’s suggestions, see e.g. https://www.integrin.dk/2024/09/09/eu-wide-competitiveness-challenges-and-perspectives-in-draghi-report/
However, as the BusinessEurope notes, “better regulation is not deregulation…, it is about how to achieve good governance… by both the legislative or non-legislative regulatory means, without creating unnecessary burdens such as excessive reporting or other administrative requirements for citizens, businesses and administrations, or undermining established rules and standards”.
BusinessEurope’s vital suggestions
As European largest business organisation, BusinessEurope is a leading advocate for growth and competitiveness at the EU level; founded in 1958, it represents 42 national business federations from 36 countries, including the EU member states, the European Economic Area and several European neighbor countries.
More in: https://www.businesseurope.eu/about-us/what-we-do/
BusinessEurope contributes to the better regulation agenda by proposing concrete measures: – reducing regulatory burdens in economic policy areas; – improving impact assessments and reinforcing decision-making independent scrutiny; – addressing deficiencies in stakeholder consultation process; and – improving the EU-wide decision-making processes.
Citation from: https://www.businesseurope.eu/policy-priorities/better-regulation-and-burden-reduction/
During and after a first year of the EU-wide “Omnibus” proposals for regulatory simplification (in 2025), the BusinessEurope has supported the Commission’s efforts and proposed 44 suggestions (!) for regulatory burden reduction in about ten economic policy areas as a contribution to the EU-wide agenda in reducing regulatory burdens.
The “batch of suggestions” supplemented BusinessEurope’s publications of 68 suggestions published in January 2025, as well as 29 suggestions dedicated to digital regulations (in July 2025). BusinessEurope has also put forward new proposals on additional legal drafts for reduction measures already included in the Commission’s previous omnibus packages “where new aspects have been identified… as very relevant for the burden reduction program”.
So-called “key pressing regulatory burdens” are concentrated in the EU-wide “administration” within the following socio-economic issues, e.g. international value chains and trade; consumer policy; energy and environmental policies; circular economy; employment and social policy; financial services and reporting; and finally, taxation…
The mentioned BusinessEurope’s 44 suggestions concerning the “disproportionate compliance costs”, were divided into three main sectors: a) administrative burdens (including reporting requirements), b) excessive compliance costs, and c) cross-border regulatory barriers (mainly, in the EU Single Market).
Source: https://www.businesseurope.eu/publications/reducing-regulatory-burden-to-restore-the-eus-competitive-edge-2/
As soon as BusinessEurope is also an active participant in the EU-wide “Fit-for-Future” Platform dealing with the EU legal simplification (the mandate of which is presently pending renewal), the following significant changes in the EU decision-making process have been proposed:
– application of the “one in-one out” principle to control possible cumulative burdens,
– introduction of the competitiveness check-in impact assessments and strengthened Regulatory Scrutiny Board,
– heightened political commitment to better scrutinise delegated acts,
– reduction regulatory burden on companies, starting with the Commission President’s commitment to cut reporting requirements for companies by 25% (and 35% for SMEs),
– introduction of “reality checks” to test how legislation affects companies on the ground; and finally, and
– planned revision of the Inter-Institutional Agreement on Better Law-Making of the European Commission, the European Parliament and the EU Council.
Quotation from the BusinessEurope’s website
= The idea of maximising the impact of EU socio-economic integration’s programs require greater simplification, better accessibility for companies, stronger mobilization of private investment, meaningful stakeholder involvement, and increased flexibility. At the same time, predictability for long-term investment and research must be preserved.
= Competitiveness-related programs should be excellence-driven, with possible exceptions in limited cases to ensure a minimum degree of geographical balance. The role of regions and territories in designing National Regional Partnership Plans should be safeguarded, and conditionality should be applied consistently with the plans’ objectives.
Thus, BusinessEurope also cautions against new own resources based on company levies and stresses that Emissions Trading System and CBAM revenues should remain dedicated to decarbonisation and innovation. Moreover, BusinessEurope supports closer integration between Horizon Europe and the European Competitiveness Fund and calls for a €177 billion Horizon Europe budget, as was recommended by the Draghi report, to strengthen industry-led innovation through a reinforced Pillar II and effective public-private partnerships.
= BusinessEurope believes that 2026 must be the year of delivery for the next MFF, so we urge the co-legislators to conclude negotiations by the end of this year.” Thus, BusinessEurope Director General Markus J. Beyrer (quoted by Agence Europe on 13 January, 2026), highlighted the idea of a stronger competitiveness framework in the upcoming EU-wide budget.
Reference to: https://www.businesseurope.eu/publications/businesseurope-calls-for-a-stronger-competitiveness-framework-in-the-upcoming-eu-budget/
BusinessEurope: recent critical assessment
The Commission’s consolidated steps during 2025 to reduce regulatory burden have been welcomed by the EU’s corporate community: e.g. BusinessEurope even called these steps “the EU’s Omnibusbook”.
However, BusinessEurope suggested some practical measures to be taken to provide the EU member states’ economies with the urgently necessary initiatives in implementing the EU-promised regulatory reduction of at least 25% for all companies and 35% for SMEs, as “a compass for the continued efforts”. In a recent comprehensive position paper (January 2026), the BusinessEurope has revealed the so-called “Omnibusbook” on reducing regulatory burden for businesses: it included almost 140 (!) “most pressing regulatory burdens” in about ten EU political economy’s areas, followed by concrete suggestions to address these burdens.
Source and citation from: https://www.businesseurope.eu/wp-content/uploads/2026/01/2026-01-22-BusinessEurope-Omnibook-to-reduce-regulatory-burden.pdf
Additionally, among key and pressing executive-administrative burdens, the BusinessEurope mentioned the following socio-economic and policy sectors: – green transition (with energy, climate, circular economy and environmental policy issues); – consumer policy, – sustainable finance and company law; – taxation, – financial services and reporting; – digital transition and economy; – international value chains and trade, – employment and social policy. Among first three priorities are: digital transition (23%), “green growth” (15%), and financial services and reporting (with 13%).
The BusinessEurope report specifies the following types of “regulatory burdens”: administrative, excessive compliance/adjustment costs and burdens, as well as EU’s cross-border regulatory barriers. The list of EU’s legislative acts (regulations directives, communications and drafts) subject to the “regulatory reduction” includes about 140 (!) positions with a detailed burden description and suggested improvements/simplifications.
thanks for this