The European Commission (EC) has today approved measures to cut “unnecessary and disproportionate” administrative costs that will amount to a €600m saving for small and medium sized businesses.
In March the EC presented a list of 11 Fast Track Actions, regulatory requirements that it deemed an unnecessary burden on small businesses and today’s announcement is of the approval of the first four cuts.
The changes mean that companies will no longer need to publish business data in the national gazettes when they start up. Also, they can reuse translations certified in one EU member state when opening branches in other member states.
In the accounting area, there are now less disclosure requirements for medium-sized businesses – they can be exempted from providing detailed data in the annual accounts.
Also, parent companies with no material subsidies will no longer be required to prepare consolidated accounts, saving companies vast amounts of time and associated administrative costs.
Commissioner Charlie McCreevy, responsible for internal market and services said that more essential cuts to regulations will follow in the summer.
“I do not intend to slow down in our efforts to make the EU companies fit to meet the challenges of a more competitive global business environment,” McCreevy commented.
© Crimson Business Ltd. 2008
