10/03/2010: European Parliament group leaders unite in call for stronger economic governance The leaders of the three largest political groups in the European Parliament (Joseph Daul, Martin Schulz and Guy Verhofstadt) today joined forces in calling for stronger economic governance in the EU's new 2020 strategy ahead of the Spring economic summit of EU leaders on 25th-26th March. Their joint initiative is designed to underline the importance for the EU as a whole to agree a common approach to rebuilding Europe's economy on a social and sustainable basis in the years ahead. A common resolution tabled by the three groups in Parliament states that the Lisbon strategy failed due to a lack of commitment and ownership by Member States and the absence of effective incentives and binding instruments at EU level. The three groups openly call on the European Council to abandon the 'open coordination method' based on peer pressure in the field of economic policy in favour of stronger instruments and invite the European Commission to utilise all the relevant legal bases in the new Treaty to improve economic coordination and oversee the implementation of national action plans, including the use of incentives and sanctions where appropriate. Furthermore, the new governance structure should ensure greater coherence between the new 2020 strategy, the Sustainable Development Strategy and the Stability and Growth Pact. Member States must, however comply with the criteria of the SGP. The joint text highlights the underlying objective of a successful economic strategy being the creation of a social market economy characterised by sustainable and quality jobs, flexibility, inclusive and competitive labour markets, better work-life balance and life-long learning and training opportunities for both men and women whilst maintaining the fight against poverty and promoting social cohesion. As regards the real economy, the three group leaders stressed that small and medium sized enterprises will remain the key to job creation and economic growth in the Union over the next ten years given their potential for innovation and individual entrepreneurship. But the EU must assist the process by ensuring that they are able to benefit fully from research and innovation policies and further reducing unnecessary administrative burdens. For further information: Robert Fitzhenry, Head of EPP Group Press & Communications Service, Tel: +32-475-493356 Tony Robinson (S&D Group), Tel: +32-475-257410 Neil Corlett (ADLE Group), Tel: +32-478-782284 Notes to Editors: The EPP Group is by far the largest political group in the European Parliament with 265 Members.