Making the Services Directive Work Dublin 6 March 2014 Services Directive and why it matters

Outline of the presentation I. General introduction to the Services Directive - A framework Directive with exclusions -- Economic importance -- Contents of the Services Directive -- Implementation and future notifications. II. Points of Single Contact 6/04/20142

Services Directive Horizontal “framework” Directive: covers all service activities unless they are explicitly excluded: e.g commerce and retailing, 2. - construction and crafts, 3. - business- related services (consultancy, advertising etc.), 4. - most regulated professions, 5. - tourism, etc. Complements the existing EU “acquis”: specific provisions of EU law prevail in case of conflict 6/04/2014 3

Exclusions financial services, telecommunications, transport services healthcare services certain social services audiovisual services temporary work agencies private security services gambling services services provided by notaries and bailiffs 6/04/20144

Economic importance of services in general Services represent around 70% of EU GDP and total employment Over the last decade, rapid and sustained shift from industrial production to knowledge-based services Services have been the source of all net job creation in recent years / 9 out of 10 new jobs About 75% of services trade concerns the supply of services to other business, in particular industry 6/04/2014 5

Economic importance of the sectors Services covered under the Services Directive: 45% of EU GDP 6/04/2014

Economic importance of the implementation of the Directive + 0,8% of EU GDP within 5 to 10 years as implemented. + 2,6% of EU GDP within 5 to 10 years if Member States eliminated almost all remaining barriers Impact differs between Member States depending on: – Extent of barrier reduction – Barrier reduction by trading partners – Economic importance of the services sector 6/04/2014

8/28/20158

Contents of the Services Directive Administrative simplification and Points of Single Contact Freedom of establishment (internal and cross- border cases) – remove unnecessary barriers Freedom to provide/receive cross-border services – remove Quality of services (insurance) Administrative cooperation (Internal Market information System (IMI) 6/04/2014 9

Implementation until 2009 and in the future To implement the Services Directive correctly: need to know what is existing and what needs to be done/amended, i.e. need to SCREEN the existing legislation, covered by the Services Directive -Initially linked also to the obligation to report to COM (art 39) for specific requirements. -May need several iterations. 6/04/

Notifications via Internal Marekt Information System (IMI) For any new legislation: obligation to notify the COM and other MS requirements falling under: Art 15 (establishement requirements to be assessed) Art 16 (requirements imposed on cross-border service provision) Disproportionnate barriers to business and to trade? Recommended to notify draft regulations to ease changes if needed. 6/04/

Point of Single Contact (PSC) Administrative simplification (Art. 5): MS need to examine and simplify their existing procedures and formalities In principle, authorities should not ask for: Original documents Certified copies of documents Certified translations 6/04/

Points of Single Contact (PSC)  A most tangible benefit for businesses: one interlocutor to get information and complete procedures  Linked to the general obligation to simplify procedures  First “horizontal” legal obligation for Member States to provide for e-government services for businesses  Accessible for national & foreign users 6/04/2014

PSC: information provision  Obligation to provide information on all procedures and formalities necessary for given activities. No need to contact different authorities/bodies anymore  company registration, professional qualifications  Information to be covered:  requirements for procedures and documents to be submitted, contact details of the authorities, means of redress etc.  Use of plain and intelligible language  Assistance to questions from business 6/04/2014

PSC: completion of procedures online  Businesses should be able to complete the necessary procedures and formalities to start or exercise an activity by electronic means and at a distance  Both for national users but also for users from other MS (using their own means). Cross-border access is a MAJOR CHALLENGE 6/04/2014

PSC: what is not mandatory but would be best practice for business?  PSC to become a comprehensive e-government for business  Cover procedures and sectors outside the SD  Income tax, VAT, social security registrations etc.  Take business user's perspective  Provide also information & assistance on other issues relevant for the business users (e.g. access to finance)  Foreign language availability 6/04/2014

Support tools available  EUGO Network– cooperation with other MS and sharing of best practices  E-Procedures  Legal framework  Practical tools to support creation and validation of e- signatures (open source software) 6/04/2014

28/08/2015

PSCs in the MS – results so far (June 2012) 6/04/2014

PSC Charter: towards more ambitious PSCs Agreement at political level to go beyond the SD for business purposes; Regular benchmarking against common criteria, covering:  Quality and availability of information  E-procedures  Accessibility for foreign users  Usability 6/04/2014

Thank you for your attention!