Billions in European savings must no longer flow to the US

"When it comes to integrating financial markets in Europe, we have been treading water for the past decade. Now is the time to act. The green and digital transitions will require us to spend hundreds of billions of euros annually, and this money cannot come from public coffers alone. The lion's share must come from private investment, which requires robust European capital markets. A strong European economy needs strong financial markets," says Markus Ferber MEP, the EPP Group’s Spokesperson in the Economic and Monetary Affairs Committee, commenting on the plans to establish a Savings and Investment Union presented by the European Commission today.

"Every year, the Commission observes around €300 billion of European savings flowing to the US for investment. Even in light of the difficult relationship with the current US President Donald Trump, we should harness the potential and invest it in innovation and growth in Europe," Ferber emphasises.

He continues, "The problems standing in the way of European capital markets are well known. Many proposals have been repackaged from previous action plans but remain necessary. Overall, the Commission has put forward a realistic package of measures to address these problems. If we succeed in implementing these proposals, significant progress can be made. We cannot afford another five years of stagnation on capital market integration."

"But we will only make progress if Member States play their part. Over the last number of years, Member States have hindered the better integration of European financial markets. If we want to make real progress on the Savings and Investment Union, we need the Council to be much bolder. That means tackling the big issues such as insolvency law, taxation and a more harmonised approach to supervision," Ferber concludes.