In a resolution adopted during the Wednesday plenary session on 4 July, MEPs called on the European Commission to examine the question of companies with average capitalisation capacity (better known in English as mid-caps) and to look at the possibility of introducing specific and different mechanisms to those applying to SMEs.
During the evening ahead of the debate on the resolution, Markus Pieper (EPP, Germany), the rapporteur on the resolution, stated that “If we want to deepen the definition of SMEs by including a category for the mid-caps, we will be able to deregulate more efficiently”.
MEPs are therefore calling for particular attention to be paid to mid-caps, which according to them, “do not receive appropriate attention in policy” and are therefore calling for a different definition in order to introduce targeted measures, “while avoiding any further addition to the definition of SMEs”.
They are therefore calling on the Commission to look at a specific initiative for these companies on the “exclusive basis of new credits, which will not seek to reproduce the measures in favour of SMEs”. They believe that European aid for these mid-caps should prioritise research, digitalisation and export development. In this connection, they are proposing to create an indicator for the SMEs’ export potential in relation to the size of the business, as a means of strengthening their international presence.
During the debate, the MEPs highlighted the importance of maintaining flexibility in the definition included in the 2003 recommendation (C(2003)1422). They also want to maintain the number of employees as a first criterion (currently standing at 250), while still taking turnover into account (€50 million), as well as inflation and labour productivity. They are calling for the concept of “related companies” and “partner companies” to be taken into account as well as the status of SMEs during mergers.
In all the different cases, MEPs are highlighting the need to maintain a clear definition, particularly within the Brexit negotiations, due to the derogation status that SMEs benefit from within trade agreements. The Commission is pursuing its extensive consultation, as pointed out during the debate on Tuesday night by the Commissioner for the Internal Market and Industry, Elżbieta Bieńkowska, who indicated that she had received almost 6,000 responses from SMEs as part of its public consultation (see EUROPE 11956) and had carried out 150 individual meetings.
The subject is particularly difficult, given the support and subsidies SMEs benefit from within the EU. Clarifying the definition will, however, fall to the next European Commission to resolve, according to one source close to the dossier. (Original version in French by Pascal Hansens)