Last week, the European Parliament held hearings for the new Commissioners-designate. This process, where MEPs quiz candidates on their priorities and readiness for office, is essential for gauging how the upcoming European Commission will address critical challenges. At Allied for Startups, we closely followed the hearings, particularly for portfolios relevant to startups, innovation, and competitiveness. Below are our insights and assessment for the hearings of the most impactful Commissioners-designate for the startup ecosystem – dive right in!

🇮🇪 Michael McGrath – Commissioner for Democracy, Justice, and the Rule of Law

Commissioner McGrath outlined his vision for a streamlined EU legal framework through the 28th regime, which aims to simplify cross-border operations for startups via a unified legal identifier and multilingual certification. He also proposed the Digital Fairness Act to address exploitative online practices, particularly those related to child safety, and has committed to harmonising GDPR enforcement to reduce legal uncertainty. Additionally, his plans for the European Democracy Shield and digital justice strategies reflect a robust approach to fostering trust and innovation.

Our assessment: McGrath’s initiatives show promise for startups, though the potential administrative burdens of the Digital Fairness Act are worth keeping an eye on.

🇧🇬 Ekaterina Zaharieva – Commissioner for Startups, Research, and Innovation

Commissioner Zaharieva demonstrated a deep understanding of startup needs, prioritising simplification via a two-step funding application process for public investments, and formulating a clear legal definition for startups under the 28th regime. She proposed hosting a Startup and Scale-up Forum to engage directly with stakeholders and highlighted plans for a pre-accelerator programme to facilitate easier access to EU funding. Zaharieva also emphasised talent retention and mobility as critical to maintaining a competitive ecosystem.

Our assessment: A highly encouraging hearing, though challenges may arise in executing such an ambitious agenda​. But be sure that Allied for Startups will be there to support it!

🇵🇹 Maria Luís Albuquerque – Commissioner for Financial Services and the Savings and Investments Union

Commissioner Albuquerque focused on the revitalisation of the Capital Markets Union (or its rebranded name – the Savings and Investment Union) to create new investment avenues for startups and scale-ups, reduce fees, and facilitate cross-border financial integration. She also highlighted the potential of pension funds to drive innovation. While her extensive experience and high level of commitment to financial stability are notable, the long implementation timeline for the CMU and limited immediate actions for startups reduce the appeal of her proposals.

Our assessment: Long-term strategies are promising, but immediate startup-focused measures are lacking​.

🇱🇻 Valdis Dombrovskis – Commissioner for Economy and Productivity; Implementation and Simplification

Commissioner Dombrovskis pledged to reduce administrative burdens by 35% for SMEs and improve the coherence of EU investment policies. He proposed a Competitiveness Coordination Tool to align national and EU priorities, which could indirectly support startups by fostering a more predictable economic environment. However, his initiatives lacked explicit references to startups, raising concerns about their inclusion.

Our assessment: While his proposals could benefit startups indirectly, particularly when it comes to reducing administrative burden, more targeted measures may be needed​. Time will tell.

🇷🇴 Roxana Mînzatu – Executive Vice-President for People, Skills and Preparedness

Executive Vice-President Mînzatu highlighted the importance of skills portability and digital training to ensure startups can access a skilled workforce. Her proposed Talent Pool and skills initiatives are designed to address labour shortages and enhance mobility across the EU. She also committed to bolstering investment in digital education and improving labour market preparedness for emerging industries like AI and green tech.

Our assessment: A solid focus on talent retention and digital skills, though execution will be critical to achieving meaningful outcomes for startups​. The term “startups” wasn’t also particularly present in her hearing.

🇫🇷 Stéphane Séjourné – Executive Vice-President for Prosperity and Industrial Strategy

Executive Vice-President Séjourné advocated for regulatory harmonisation to streamline SME and startup operations, including the introduction of an “SME Passport” to facilitate cross-border activities. He also pledged to establish a competitiveness fund to support businesses from ideation to scaling, with a particular emphasis on cleantech and sustainability. While his Clean Industrial Deal prioritises green innovation, Séjourné stressed that simplifying EU regulations would remain a central focus.

Our assessment: A forward-looking hearing that addresses key challenges, though specific details on the competitiveness fund’s rollout are awaited​.

🇪🇸 Teresa Ribera Rodríguez – Executive Vice-President for Clean, Just and Competitive Transition

Executive Vice-President Ribera centred her hearing on sustainability and fair competition within the EU’s Single Market. Her commitment to strict enforcement of the Digital Markets Act and Foreign Subsidies Regulation was well-received, as was her focus on fostering a level playing field for SMEs and startups. However, her plans for green innovation lacked concrete mechanisms to support cleantech startups, leaving room for further elaboration.

Our assessment: Strong intentions to promote sustainability and fair competition, but limited actionable details for startups​, at least for now.

🇫🇮 Henna Virkkunen – Executive Vice-President for Tech Sovereignty, Security and Democracy

Executive Vice-President Virkkunen’s hearing reflected a strong focus on digital infrastructure and harmonisation of digital services across Member States. She committed to the continued implementation of the Digital Services Act (DSA) and Digital Markets Act (DMA), emphasising their importance for fostering competition and innovation. Additionally, she proposed measures to help startups grow, such as the Cloud and AI Development Act, the AI Factories initiative, the Apply AI Strategy, and the European AI Research Council. 

Our assessment: A promising hearing with a clear digital focus but, like for other Commissioners-designate, more details on the startup-specific benefits each initiative would bring are needed​.

Conclusion

The hearings showcased a general alignment between the proposed Commission’s priorities and the needs of startups, with a strong focus on simplification, innovation, and sustainability. As the European Parliament’s political groups deliberate on greenlighting these Commissioners-designate, which could be happening before the end of 2024, Allied for Startups is looking forward to working with the new College of Commissioners and to continue advocating for clear, actionable policies to empower the startup ecosystem!