Commissie streeft naar gezamenlijke Europese markt voor diensten (en)

EUOBSERVER / BRUSSELS - The European Commission yesterday proposed new legislation to try and free up the internal market in the service sector.

The proposed directive would require EU member states to cut administrative burdens and excessive red tape which prevent businesses from offering their services across borders.

Internal Market Commissioner Frits Bolkestein said "This Directive is potentially the biggest boost to the Internal Market since its launch in 1993. We need to set our service businesses free, so that they can grow and create the sustainable jobs Europe needs".

"Some of the national restrictions are archaic, overly burdensome and break EU law. Those have simply got to go. A much longer list of differing national rules needs sweeping regulatory reform", he added.

The legislation is part of the Commission's drive to complete the internal market. While a free market in goods has seen huge progress, the services market is hindered by severe red tape.

Under the new legislation, requirements for company directors or staff to be of specific nationalities would be prohibited, along with requirements for companies to have their principal place of establishment in the member state where the service is provided.

Similarly lengthy and costly authorisation and licensing procedures would disappear to be replaced by objective criteria. The amount of documentation needed would also be cut.

The Irish EU Presidency welcomed the new proposals.

"This directive has the potential to be far reaching in terms of its impact on doing business in Europe and in stimulating competition and consumer choice", said Mary Harney, deputy Prime Minister and Minister for Enterprise, Trade and Employment.