The FSB calls for ‘Action not Words’ on cutting the red tape in Europe

Today, in the European Parliament, the Federation of Small Businesses (FSB) and the European Small Business Alliance (ESBA) will launch a written declaration calling for a halt to excessive regulations affecting small firms.

The overall cost to business of EU regulation is a staggering ?123.8 billion a year – 3.5 per cent of the EU’s annual GDP. The declaration, which has been tabled by a cross party group of MEPs, calls on the EU institutions to halt the introduction of excessive and unnecessary rules and regulations which, far from increasing the EU’s economic competitiveness, serve as a barrier to growth and employment.

In 2007, the European Commission presented a far-reaching action plan to reduce unnecessary regulation in the EU by 25 per cent by 2012. Despite the support of the Commission, Parliament and Council very few of these proposals have been implemented and the EU has continued to legislate.

John Walker, National Chairman, Federation of Small Businesses, said:

“We want action, not words from MEPs and Commission officials. It is no good Europe talking a good game if it fails to deliver. In the EU, every year 1.7 million businesses fail and over 50 per cent of these businesses cite the regulatory burden as a significant factor.

“In having this written declaration tabled we want to draw to the attention of MEPs and others the promises that they have made and to simply ask them to stand by these promises.

“In the current economic climate we should be making it easier for people to start or grow a business not placing obstacles in their way. It is worth remembering that if just half of the EU’s small businesses employed one extra person that would create an additional 10 million jobs.”

In tabling this declaration the FSB and ESBA have the support of entrepreneur James Caan.

ENDS

Notes to Editors

1. The FSB is the UK’s leading business organisation with over 213,000 members. It exists to protect and promote the interests of the self-employed, and all those who run their own business. More information is available at www.fsb.org.uk

2. The written declaration has support from MEPs across the political spectrum. This is reflected in the MEPs tabling the declaration including:
Bendt Bendtsen MEP (EPP)
Edit Herczog MEP (S&D)
Olle Schmidt MEP (ALDE)
Malcolm Harbour MEP (ECR)
Denis de Jong MEP (United Left)
Earl of Dartmouth MEP (EFD)

If a majority of MEPs sign the declaration (400) it will be forwarded to the President of the European Parliament who will announce it in Plenary.

The reception will be hosted by UK MEP Giles Chichester with support from leading entrepreneur and investor in small businesses, James Caan. John Walker, FSB National Chairman and Tina Sommer, ESBA will both speak at the event.

ISDN facilities are available for broadcast media interviews

Media contacts

Stephen Alambritis: 020 7592 8112/ 07788 422155
Prue Watson: 020 7592 8121/07825 125695 prue.watson@fsb.org.uk
Sara Lee: 020 7592 8113/ 07595 067068 sara.lee@fsb.org.uk

For regional FSB contacts please go to www.fsb.org.uk