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EU Competitiveness Agenda Faces Parliament Bottleneck as Spyware Scandal Emerges

Financial Times Companies •
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The European Parliament is becoming the primary obstacle to the EU's competitiveness agenda, according to Maciej Witucki, the newly appointed president of Business Europe. Speaking to the Financial Times, Witucki argued that MEPs have yet to grasp the urgency felt by the European Commission and Council of the EU, despite joint agreements to prioritize economic reforms.

Witucki plans to increase Business Europe's engagement with parliament to advocate for completing the single market, simplifying EU regulations, and reducing administrative burdens on companies. He criticized current reporting requirements as outdated, comparing them to 19th-century Prussian civil service practices. The business lobby sees these reforms as essential for reviving growth in a bloc that has struggled with competitiveness.

Meanwhile, a separate investigation revealed that former Greek MEP Stelios Kouloglou was targeted with Pegasus spyware while serving on a committee investigating the tool's use against politicians. Citizen Lab analysis found infections occurred during the committee's work in 2022-2023, potentially capturing non-public information about the investigation. Kouloglou believes the Greek government was responsible, though officials deny involvement citing a 2022 spyware ban.

These developments highlight challenges facing EU institutions as they balance reform momentum against internal resistance and security concerns. The spyware incident raises questions about democratic oversight while the competitiveness debate reveals tensions between Brussels institutions that could delay crucial business reforms.