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Nosemonkey's EUtopia

In search of a European identity

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All comments are welcome, and feel free to disagree as much as you like – just keep things civil, and show other commenters the same respect you’d like them to show you. It’ll keep things more pleasant.

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8 Comments

  1. You make an attempt to discredit Daniel Hannan’s comment about the administrative costs of the EU. I have a screen grab of the EC’s Better Regulation website from 12 February 2012 which I would send if I could. It says
    ‘The Commission’s Better Regulation strategy is aimed at measuring administrative costs and reducing administrative burdens. According to estimates, it would be possible to reduce administrative costs by as much as 25% by 2012. This would have a significant impact on the EU economy an increase in the level of GDP of about 1.5% or around or around €150 billion.’

    http://ec.europa.eu/governance.better regulation

    Now why would anybody be wrong to conclude that administrative costs are €600b? Since this is the EC’s own estimate, might well be considerably higher.

    You owe Mr. Hannan an apology.

  2. Michael Burrage,

    The Commission is refering to the administrative cost of doing business throughout the EU, and that reducing it can increase GDP activity through lower consuming costs and extra investment ressources (think of it as a multiplier).

    In no way, does the Commission says that administration of private and public companies cost €600bn (ie: 4x €150bn). Only that extra GDP output for the whole EU from reduced regulations could amount to 1.5% (that is 1.5% x €10000bn … which is an approximation value).
    Incidentally, reduced regulations does not just mean reduce EU legislation but also harmonisation of national regulations at EU levels : it’s an all-encompassing view.

    Finally, Danniel Hannan often conflagrates numbers in regards to the British economy and the costs of administering EU institutions.
    None of this apply in this instance, as the UK represents around 11% of the EU GDP, and EU institution administrative costs are around €5bn per year (0.045% of EU GDP or 4% of the EU yearly budget).

    Best regards,

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