Thorough and timely Letta Report opens the debate on the future of the Single Market

With the long-awaited Report on the Future of the Single Market by former Italian Prime-minister Enrico Letta, the debate on Europe’s competitiveness is now firmly on the top table.

Parts of it resemble Renew Europe’s earlier proposals, MEP and Vice-President of the European Parliament Dita Charanzová (Czechia)underlines:

"Renew Europe welcomes the call for a strong executive VP of the next Commission responsible for the Single Market & Enforcement. We agree with creation of a fifth freedom for Digital, to enhance research, data, innovation and education. But we also call on Member states to complete the internal market especially in key areas such as services and in free movement of capital. The way we approach the current challenges of the internal Market, from state aid to defence, will be key for the overall competitiveness of the European Union."

The Report calls for proportionate legislation to avoid additional costs on businesses — our Single Market should make doing business easier. We welcome the proposal for a European Code of Business Law providing businesses with a 28th regime to operate within the Single Market.

More broadly, the Letta Report convincingly argues for an upgrade to make the Single Market fit for purpose in today’s global economy. It needs extending into financial services, energy and electronic communication as key drivers of future economic growth. A "Common Market for Security and Defence" is also much needed.

Nor does the Report shy away from more sensitive issues, such as the creation of a Savings and Investment Union to mobilise private capital in support of the green and digital transition, and a proposal for a State aid contribution mechanism, requiring Member States to allocate a portion of their national funding to financing pan-European initiatives and investments.

MEP Morten Lokkegaard (Venstre, Denmark) concludes:

‘Renew Europe welcomes the debate on the competitiveness of our Union. It is timely and crucial that we strengthen the competitive power of the EU by securing better implementation. Emphasising this with a VP responsible for enforcement aligns with Renew Europe’s priorities and is an important next step. We look forward to the continued debate.’