The EU SME Strategy, published exactly one year ago by the European
Commission aimed at helping small businesses leading the twin transition,
reducing regulatory burdens and red tape, supporting market access and
entrepreneurship, and improving access to financing. However, the COVID-19
pandemic is threatening the viability of European SMEs due to serious
disruptions of global supply chains, transport and travel restrictions, and
the collapse in consumption and consumer confidence.
The EU SME Strategy one year on: Challenges and Opportunities” online event
that EUROCHAMBRES co-organised with the Committee of the Regions on 10
March 2021 took stock of the Strategy’s achievements in the preceding 12
months, amid the crisis and recovery process.
Following the introduction by Gilbert Stimplin, Co-Chair
of EUROCHAMBRES’ SMEs and Economic Policy Committee, a panel composed byHubert Gambs, Deputy Director-General of DG GROW, Josianne Cutajar, MEP and shadow rapporteur of the
European Parliament’s report on the SME Strategy, Eddy van Hijum, rapporteur for the Committee of the
Regions’ opinion on the SME Strategy, and Wolfgang Grenke,
EUROCHAMBRES Vice President and Co-Chair of the SMEs and Economic Policy
Committee, exchanged views about state of play of the Strategy and how to
ensure access to support measures. The discussion was followed by closing
remarks from the Chair of the Commission for Economic Policy of the
Committee of the Regions, Michael Murphy.
Mr. Stimpflin highlighted that European SMEs have been hit the hardest by
the crisis, facing logistical issues, productivity constraints and demand
decline due to lockdown measures, plus a drop in consumer confidence. He
reminded that businesses need room to recover and that EU policy
interventions need to be sensitive to SMEs, rather than adopting a
one-size-fits-all approach.
Building up on this, Mr Gambs underlined the role that the European
Commission has had in rapidly channelling financial support towards SMEs to
strengthen their short-term resistance to the crisis and reinforce their
long-term competitiveness, growth, and employment creation potential. The
Commission believes that employment-enhancing measures together with upward
convergence strengthened by the Recovery and Resilience Facility will give
the SME Strategy new impetus through investments in environment, and
digital initiatives.
MEP Cutajar focused on the Parliament’s actions towards monitoring and
raising visibility to the SME Strategy in the broader context of Europe’s
economic recovery. SMEs have faced hardship and still face uncertainty. The
strategy that was published a year ago became outdated overnight and should
be adapted to the new reality. She regretted that, 18 months into the von
der Leyen Commission, the EU SME Envoy had not yet been appointed, a role
that without doubt could enhance the focus on a systematic and consistent
implementation of the “think small first” principle and integrate the
Strategy’s coherence and future-oriented approach.
Mr van Hijum stressed that local and regional authorities are best
positioned to develop and coordinate placed-based policies for SMEs, in
close partnership with regional stakeholders and actors of the quadruple
helix in their territories. European and national strategies should embrace
‘think small, act regional’ as a guiding principle: build capacity at
regional level, link strategic priorities with available funding and match
them with SMEs' needs on the ground.
Vice President Grenke also reminded the participants of the importance of a
prompt appointment of a high-ranking SME Envoy to ensure the
think-small-first principle is applied throughout all EU legislation and
across all Directorates of the Commission. Furthermore, he pointed out that
the EU needs to guarantee the integrity of the Single Market by removing
remaining unjustified barriers, avoiding the creation of new ones, better
implementing, and enforcing existing legislation, and stimulating
investment in SMEs through the modernisation of state aid rules.
Mr. Murphy concluded saying that SMEs have always been the backbone of the
EU economy and are now in the eye of the storm. It is vital that all SMEs
get the financial support that they so badly need in order to be the motors
of the recovery. He called for a genuine partnership among the European,
national, regional, and local authorities and policy makers on a smooth
delivery of the EU recovery plan, to the benefit of SMEs and local
communities.
Discussions during the event, attended by more than 200 participants,
allowed participants to delve on the vital role that Chambers of
Commerce and Industry and EU regions will play in the recovery process.
Chambers believe that a co-ordinated policy response at the European,
national, and regional levels will need to shift from its initial focus
on the survival of small businesses in the short term, towards a medium
and longer-term approach driven by sustainability, enabled by
technology, and based on upward innovation, internationalisation, and
economic growth. Chambers are committed to working together with EU
institutions towards helping SMEs in achieving these goals.