Harmonise European bankruptcy laws for investment and competitiveness

The EPP Group is leading the charge to harmonise business bankruptcy laws across EU Member States, as the Parliament’s Legal Affairs Committee votes today on unifying European insolvency law. The EPP Group wants to boost the competitiveness of European companies and simplify cross-border investments. A well-functioning EU insolvency framework is essential to strengthen Europe’s competitiveness and unlock the full potential of a united capital market.

"Business resilience is key for the growth of the internal market. That is why it is essential to ensure fairer and faster procedures for companies in financial distress. With the new EU insolvency framework, we aim to go even further – to facilitate debt recovery, strengthen trust in cross-border investments, and preserve business value through the introduction of a pre-pack procedure before formal insolvency proceedings begin,” says the European Parliament negotiator Emil Radev MEP, ahead of today's vote.

"This vote marks a significant step toward more predictability and less legal fragmentation for European companies. Once adopted, the new law will foster cross-border investment, reinforce trust in the Single Market and complete the Capital Markets Union," Radev concludes.