Around 200,000 companies go bankrupt in the EU every year. The Commission wants to help businesses overcome financial difficulties in case of bankruptcy, while at the same time maximising the value received by creditors, shareholders, employees, investors, tax authorities, and other parties concerned. An appropriate insolvency framework is an essential element of a good business environment and is therefore also important for jobs and growth. Building on existing well-functioning national regimes, the Commission aims to focus on rules supporting businesses in temporary distress to encourage them to restructure their debt early on and to give them a second chance, if their business is viable. The consultation will identify the measures which could be taken to increase the efficiency and effectiveness of insolvency frameworks.

Věra Jourová, EU Justice Commissioner said: " Our top priority is to create the best possible environment to boost growth and cross-border investment across the EU. The Capital Markets Union needs modern insolvency rules which are easy to apply. This way we will attract more investment in the EU. Our single market will work better if we can reduce inefficiencies caused by different national insolvency laws which create uncertainty and deter honest entrepreneurs ".

The consultation will gather views and feedback from other European institutions, national authorities and parliaments, social partners, stakeholders, civil society, experts from academia and the general public. The online consultation will run until 14 June.

For more information

Public consultation

Capital Markets Union

Civil justice: Insolvency proceedings