Brussels aims to reduce GDPR burden amid economic competitiveness concerns
The Commission’s plan will likely aim to standardize and simplify GDPR enforcement across the EU, in hopes of encouraging innovation and easing compliance, especially for smaller players.
The European Commission is preparing to revise the General Data Protection Regulation (GDPR) in an effort to reduce the burden it places on small and medium-sized businesses. Officials say the reform will aim to make it easier for businesses to comply without undermining fundamental protections.
According to Commissioner Michael McGrath, simplification will focus on issues like record-keeping requirements for companies with fewer than 500 employees. Danish Digital Minister Caroline Stage Olsen emphasised the need for smarter regulation that still protects privacy but doesn’t stifle business.
A formal proposal is expected by 21 May. The effort follows growing concerns that the GDPR, while praised for its strong privacy standards, may be harming the EU’s global competitiveness. A report by former Italian Prime Minister Mario Draghi pointed to the law’s complexity, enforcement inconsistencies, and fragmented national implementations as obstacles to innovation and economic growth.
Draghi’s report argues that these challenges especially affect cross-border business and data-heavy sectors like software and AI. Compliance costs can be high, and uncertainty around varying national rules—such as the age of consent for data—adds to the problem.
The Commission’s plan will likely aim to standardise and simplify GDPR enforcement across the EU, in hopes of encouraging innovation and easing compliance, especially for smaller players. Privacy advocates, however, are watching closely to ensure that key protections remain intact.
