The SME Test Benchmark 2024 is a joint report authored by the BusinessEurope, Eurochambres, and SMEUnited, to assess the extent to which the European Commission evaluates the impact on SMEs during the preparatory work for legislative proposals. The report analyses 23 impact assessments conducted by the Commission, using the EU's Better Regulation guidelines and toolbox as the basis for analysis.

The SME Test is a key element of the law-making process which identifies potentially negative impacts of new legislation on SMEs. Whilst reducing the regulatory and administrative burdens for businesses is a key priority for the European Commission in its new legislative term, the recent SME Test Benchmark 2024 report suggests that this sentiment needs to be backed by a stronger political commitment and a more consistent application of the SME Test across the legislative process. 

The report was unveiled at the SME Assembly in Budapest during the "Stress-testing for Better Regulation" policy workshop by Véronique Willems (Secretary-General, SMEunited), Fabrice Le Saché (Chair, BusinessEurope Entrepreneurship & SME Committee), and Ben Butters (CEO, Eurochambres). It highlighted that, while progress has been made, there remains significant scope to further integrate and prioritise SME interests in regulatory processes.

The three organisations make several key recommendations to enhance policymaking for SMEs. These include the development of a common SME Test template for each Directorate General (DG) to ensure consistency and thoroughness in assessing SME impacts. Additionally, it calls for clearer and more effective consultations with SME stakeholders to ensure that their perspectives are fully integrated into the legislative process. 
 
Read the report to find out what policymakers can do to ensure that the legislative framework consistently works in favour of SMEs, fostering an environment in which they can thrive. 

Watch the "Stress-testing for Better Regulation" session at the SME Assembly here.