Ian Lucas: new opportunities.

British service-sector companies, including SMEs (small and medium-sized enterprises), should take advantage of new opportunities to do business with Europe, Business Minister Ian Lucas has urged.

The minister highlighted opportunities for firms following implementation of the EU Services Directive which is due to come into force at the end of the year, as regulations to implement the directive in Britain were laid before Parliament today (12 October).

Red tape

The aim of the Services Directive is to reduce the barriers and red-tape that can make it more difficult for service providers to enter new markets and compete outside their home country. Sectors such as construction, business consultancy, leisure and hospitality, accountancy and legal services could potentially benefit.

Lucas said told ModernSelling.com:  ‘Services account for about 70% of GDP but only 20% of cross-border trade in the EU.

‘But the market for services in Europe is opening up. It’s important that UK firms, including SMEs, are ready to grasp the opportunities this presents for new jobs and growth.’

He added that opening up European markets for services would also be good news for consumers with greater choice and lower prices. The directive also requires EU member states to establish ‘web portals’ so that service providers have a single point of contact to find out what legal requirements they must fulfil to operate in the country in question. This one-stop-shop must then allow service providers to apply electronically for any licence or permit they need.

Small business 

Federation of Small Businesses European and international affairs chairman, Tina Sommer said: ‘The Federation of Small Businesses welcomes the European Services Directive which will not only make it easier for small businesses that provide services to trade across the EU, but will also simplify the red tape which small businesses face.

‘The Services Directive will also bring trade to the UK. As the economy begins to recover, it is important that all small firms can easily access information as they begin to explore new markets, and the point of single contact web portals will make it simpler for them to do that.’

UK companies will be able to access portals to do business in other countries through a central page on the European Commission website http://ec.europa.eu/index_en.htm and they will all be branded with an ‘EU-GO’ logo. The UK’s portal will be accessible to UK and European enterprises through the Business Link website: www.businesslink.gov.uk. For more information on the EU Services Directive, including guidance for businesses, go to: www.bis.gov.uk/servicesdirective.

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