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Difficulties trading in the Single Market Common Problem Areas

Many of the cases referred to Action Single Market/UK SOLVIT Centre focus on the same issues because there are some areas where gaps remain in European law. Here are some of the most common problem areas.

Public procurement

Governments and other public authorities are major purchasers of goods and services, accounting for more than £500 billion worth of business in the European Union each year. European purchasing rules are intended to open such contracts to cross-border competition and to make sure that businesses across the EU find out about government procurement opportunities. Details of tenders are published on-line in the Official Journal of the European Communities.

Unfortunately sometimes public authorities act unfairly. If you think your company is being unjustly excluded from bidding for a government contract, we will try to make sure that you get the chance to compete on equal terms in much the same way as we would deal with any other case. You can also take action under the EU’s Public Purchasing Remedies and Compliance Directives, which give you the right to appeal to national courts where there is discrimination. Information about public procurement rules can be found at the European Procurement Service website. Guidance on the EC rules is also available on the Office of Government Commerce website.

Technical Standards

Standards are specifications for goods and services which are agreed by consensus and approved by a recognised standardisation body. Usually they are drafted by European or international standards organisations at the instigation of industry or other interested parties to enable access to wider markets and to offer protection to the consumer.

While many standards and associated testing and certification requirements have been harmonised at European or international level, some have not. Surveys of business show that national requirements remain one of the major obstacles to trade within Europe.

VAT

One area which causes frustration to a number of businesses is the considerable delay they experience reclaiming VAT paid up-front in another Member State. Bureaucratic procedures mean that these delays can run into months, even years. The Action Single Market/UK SOLVIT Centre has experience of dealing with such problems and has achieved notable successes in facilitating refunds and in some cases recovering interest which has resulted from delays in payment.

Labelling

Goods on sale in the Internal Market must comply with a number of compulsory labeling requirements. In addition, some Member States use a variety of voluntary labeling schemes, particularly relating to environmental issues. All labels have to be readable and accurate and should not mislead the consumer. Nonetheless, excessive labeling requirements can impose additional costs on businesses and because of this can constitute a barrier to trade. If you believe that the labeling you are being asked to provide goes beyond what is reasonable, contact us and we will take up your case with the relevant authorities.

The European Commission provides information about doing business in Europe on its website. The site includes advice on a number of these issues, including public procurement and standards.

Contacts:

UK SOLVIT Centre/Action Single Market

Bay 4123
1 Victoria Street,
London
SW1H 0ET

Tel: 020 7215 2800/2833/3861
Fax: 020 7215 2234
E-mail: asm@dti.gsi.gov.uk