More needed to ease EU red tape burden

07/11/07 16:31

The EU must do more to ease the red tape burden on small businesses, despite progress being made, the Forum of Private Business (FPB) has said.

In response to the European Commission’s programme of work for 2008 and proposed changes to labour law and the employment of migrant workers, the FPB called for changes to company law.

Campaigns manager for the FPB Matt Hardman said: “The number of simplifications versus new burdens is probably about balanced. This is significant progress from previous years. What is unfortunate is that we are destined to see, in 2008, only two pieces of legislation being repealed.”

It welcomed the EU’s consultation on company law. In which Hardman said some of it could have real impact. He added: “The Commission may, for example, exempt the smallest incorporated businesses from the requirement to file accounts together.”

Another concern is the employment of migrant workers in the EU. These involve making conditions more attractive to increase the amount of highly qualified workers entering the UK, which means issuing ‘blue cards’ to enable freer movement between EU countries, while restricting the amount of unskilled workers entering the EU.

“We have to be aware of unintended consequences. Many smaller businesses rely on migrant labour and it is uncertain whether policy-makers in Brussels would label these workers as ‘skilled' or ‘unskilled',” added Hardman.