Competitiveness is no longer a strategic vision – it is an economic necessity
To remain industrially relevant, technologically capable, and socially stable, Europe must urgently address the structural barriers that suppress productivity and delay investment. Finance and tax policy are central to this effort and must be reoriented toward enabling – not merely managing – growth. Without a competitive economy, Europe’s digital and green transitions will remain financially and politically out of reach.
Access to capital remains too slow, uneven, and bureaucratic – especially for start-ups and SMEs. Europe needs a financial environment that supports risk capital, rewards innovation, and facilitates investment throughout all business stages. This includes improving venture capital conditions, strengthening equity markets, and better aligning public and private investment tools. Equally important is improving access to EU grants and funding programmes for SMEs – by making them simpler, more targeted, and more transparent. Faster disbursement, simplified procedures, and targeted incentives are essential to reignite economic momentum.
Tax systems must also be recalibrated for competitiveness. Future tax policy should prioritise predictability, simplicity, and incentives for productive investment. Tax competition within the Single Market is justified when it delivers real outcomes – such as attracting investment and creating sustainable jobs. The objective is a flexible, transparent framework that reflects national strengths, not harmful fragmentation or legal uncertainty.
This working group is committed to reinforcing Europe’s competitiveness through finance and tax policy. Improving access to capital, fostering investment, and ensuring efficient tax systems are key pillars – alongside reducing bureaucracy and advancing smart, proportionate legislation to support growth, innovation, and global competitiveness.
