This paper examines the European Commission’s proposal for an optional “28th Regime”, a single, EU-wide corporate framework intended to reduce regulatory fragmentation and strengthen Europe’s competitiveness.
A year after the release of the Draghi Report, little progress has been made in implementing the reforms that were mapped as urgent. The current political rhetoric of the Commission calling for Europe to wake up and calling for urgency in implementing reforms, is inconsistent with the pace of action.
As the EU prepares to fully implement its Carbon Border Adjustment Mechanism (CBAM) in January 2026, concerns are mounting that this flagship climate policy could backfire, increasing costs for European businesses and consumers while sparking international trade disputes.
The European Commission’s SME Relief Package is a response to the growing challenges faced by small and medium-sized enterprises (SMEs) across the EU, including excessive red tape, regulatory fragmentation, and weak cross-border scalability.
EU policymakers have noted that growing the region’s economy while maintaining its bureaucratic red tape is like trying to run a marathon in iron shoes.
Reviving Europe’s Competitive Edge analyses the European Union’s declining influence in the global economy and recommends concrete steps for the Commission on how to regain our economic competitiveness.