Balancing Environment and Economy: Rethinking Europe’s Burden on SMEs Entrepreneurship, Innovation, Europe's Competitiveness Gap

“Europe must strike a balance between environmental ambition and economic reality.” – MEP Marion Walsmann

EPHI representative Adam Schlüssler met with MEP Marion Walsmann at the European Parliament to discuss the growing tension between environmental policy and economic sustainability. As European businesses face rising pressure from deindustrialization, energy costs, and regulatory demands, the need for a more balanced approach is becoming central to the Brussels agenda.

The discussion highlighted concerns about excessive reporting obligations, with Ms. Walsmann noting that “sustainability reporting with over 1900 reporting points overwhelmed small and medium sized companies which are not able to cope with all these bureaucracy.” Both agreed that simplifying these requirements is crucial to preserving the competitiveness of SMEs.

They highlight digital initiatives such as EU Inc. and EU Business Wallet, which aims to make it possible to start a business online within 48 hours and greatly reduce the administrative burden.

Finally, they discussed how shifting political majorities in the European Parliament could enable more pragmatic policymaking, with a stronger emphasis on cutting red tape, strengthening the single market, and fostering a more business-friendly environment. Such reforms, combined with digital transformation, could prove decisive for Europe’s economic future, with key measures potentially emerging as early as next year.

Adam Schlüssler,
EPHI's Brussels representative


Watch the full Interview here.

Contact us

Environment and Public Health Institute


Box 3039,
103 63 Stockholm

info@ephi.se

Org. number: 559342-4947

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