“Time to move up a gear” - Commission President
Barroso presents Annual Progress Report on Growth and
Jobs

http://europa.eu.int/rapid/pressReleasesAction.do?reference=IP/06/71&format=HTML&aged=0&language=EN&guiLanguage=en

“Time to move up a gear” - Commission President
Barroso presents Annual Progress Report on Growth and
Jobs

The European Commission has today published its new
Annual Progress Report on the Lisbon Strategy, the
partnership between the EU and Member States for
growth and more and better jobs. The Annual Progress
Report is designed to reinforce momentum and force the
pace of delivery. There are three main elements in the
Progress Report. First, the Report provides an
analysis of the 25 new National Reform Programmes
submitted by Member States in October 2005. Second, it
identifies the strengths in different national
programmes with a view to promoting the exchange of
good ideas. Third, it highlights areas where there are
shortcomings and proposes concrete action at EU and
national level to deal with them. Four priority action
areas are identified: investment in education,
research and innovation; freeing up SMEs; employment
policies to get people into work; and guaranteeing a
secure and sustainable energy supply. For each of
these areas, the Commission’s Spring Report makes
clear proposals for European leaders to commit to when
they meet at the March Summit in Brussels and to
implement by 2007 (see below). 

Commission President José Manuel Barroso said: “My
overall message is clear, it is time to move up a
gear. There has been a wind of change moving though
the corridors of Brussels and national capitals since
we re-launched the Lisbon Strategy last year. There
has been a step change in activity. We’ve come a long
way since last year and the right foundations are now
in place. The fact that there are 25 national reform
programmes on the table speaks volumes about a new
level of national commitment. Now the spotlight moves
to delivery. Now Member States must get in the driving
seat and speed up reforms. 95 percent of what is in
these reports is common sense, Member States must make
it common practice. They must find the political will
to match words with deeds – it’s time to move up a
gear."

“Our ambition is clear. We are aiming for top-class
universities, highly trained and educated workforces,
strong social security and pensions systems, the most
competitive industries and the cleanest environment.
To those who say that it cannot be done I say, a
decade or so ago who would have thought that Ireland
would have become one the most prosperous countries of
the European Union, or that productivity in Poland
would be higher than in South Korea? We can and must
go the extra mile for growth and jobs.”

The four Priority Action Areas where European Leaders
are being asked to commit to additional measures
(national and European) at the March EU Summit 

1. Investing in education and research 

- Investment in higher education should by 2010 be
stepped up to 2% of GDP from the current 1.28%,
including by removing barriers to universities seeking
complementary private funding. 

- Already this March, every Member State should set a
clear target for overall R&D expenditure for 2010. 

- A greater share of state aids (25%) and structural
funding should be spent on R&D.

- There should be a European Institute for Technology
by the end of 2007.

- To raise the marketable skills base of all citizens,
the teaching of mathematics and foreign languages
should be given greater priority in schools.

2. Freeing up SME’s and unlocking business potential

- By 2007, Member States should each set up a
“one-stop shop” to assist future entrepreneurs and so
that businesses can fulfil all administrative
requirements in one place. 

- The average time for setting up a business should be
cut by half by the end of 2007 and then to one week or
less. 

- Entrepreneurship education should be provided as
part of the school curriculum for all pupils. 

- Every Member State should set up a system to
properly measure administrative burdens. The
Commission will launch a major exercise of its own to
identify and propose how to reduce costs arising from
EU rules or their implementation at national level. 

- The Commission will remove the obligation to notify
certain categories of small state aids, which should
help SMEs.

3. Getting people into work 

- To help increase employment rates and to finance
pensions and health care for an ageing population,
Member States should adopt a lifecycle approach to
employment, with people of all ages offered the
support they need. 

- Every young person who has left school or university
should be offered a job, apprenticeship or additional
training within six months of becoming unemployed by
the end of 2007, and within 100 days by 2010. 

- There should be stronger efforts to meet national
targets for the provision of affordable high-quality
childcare and measures to achieve greater gender
equality at work and to promote a work-life balance. 

- “Active ageing” should be implemented, with more
training for those over 45, financial incentives for
prolonging working lives and use of part-time work.

- The Commission will organise an extraordinary social
summit and present a report by the end of 2007 on the
balance between flexibility and employment security
(“flexicurity”). 

4. Efficient, secure and sustainable energy

The Commission pledges in the Report to galvanise
Europe to meet the challenges of rising oil and gas
prices and of cutting pollution. It delivers a blunt
message to EU leaders: energy is a global issue that
needs a European response. That means:

- Better coordination between Europe’s electricity
grids and gas pipeline systems, better regulation of
energy markets and more competition. 

- More tax and other incentives to promote sustainable
energy use and boost research into energy efficiency,
clean energy and renewables. 

- Europe “speaking with one voice” in negotiations
with the external suppliers who will supply more and
more of our energy. 

- The Commission will publish a Green Paper with
detailed proposals in early spring 2006.




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