The European Commission has introduced proposals to simplify EU rules and enhance competitiveness, unlocking extra investment potential. These changes aim to create a more supportive business environment, helping EU companies to grow, innovate, and create quality jobs.

By aligning competitiveness and climate goals, the EU seeks to foster business growth, attract investment, and support shared objectives like the European Green Deal. The goal is to achieve at least a 25% reduction in administrative burdens, particularly for SMEs, through Omnibus packages that simplify sustainable finance reporting, EU Taxonomy, and investment programs.

Adopting these measures could save approximately EUR 6.3 billion annually and mobilize EUR 50 billion in public and private investment to support policy priorities. The proposals include significant simplifications in sustainability reporting and due diligence, focusing on large companies to reduce burdens on smaller enterprises.

Changes in the carbon border adjustment mechanism will exempt small importers from obligations, simplifying rules for remaining companies and enhancing CBAM effectiveness. Investment programs like InvestEU will be optimized to increase the EUs investment capacity, aiming to mobilize around EUR 50 billion in additional investments.

Next steps involve submitting legislative proposals to the European Parliament and Council for consideration and adoption. The Commission urges prioritization of these proposals to address stakeholder concerns effectively.

For more details, see the Commissions Q&A and Omnibus 1 and Omnibus 2 proposals.