The Single Market was born in a simpler time, with a smaller EU and global landscape. Jacques Delors introduced the idea in 1985, when the world was different with divided Germany and a powerful USSR. The Single Market aimed to promote integration by removing trade barriers and enhancing cooperation between Member States. However, today the world has changed, and the EU is falling behind in terms of competitiveness, with savings flowing out of the continent and back to buy European companies.
The Letta Report, commissioned by European governments and presented by former Italian Prime Minister Enrico Letta, calls for a revitalization of the Single Market. It emphasizes the need for a strong political commitment to protect fundamental freedoms and support a dynamic European industrial policy. The report highlights the importance of addressing issues such as administrative burden, unnecessary bureaucracy, tax proportionality, and more integration to boost the EU’s competitiveness.
Letta’s report also calls for reforms in sectors previously left out of the integration process, such as finance, electronic communications, and energy. The report stresses the need to overcome barriers within the Single Market and create a more efficient framework for companies to operate in. By mobilizing private capital and creating a Savings and Investment Union, the EU aims to retain European savings within the market and attract additional resources from abroad.
The Letta Report underscores the urgent need for transformation in the EU to keep up with global competition and ensure
