Mr President, in today's world it is clear that consumers are more informed and more demanding. They have higher expectations and are not always after the cheapest price. They want quality and after-sales service and they want to be clear about their rights and remedies for redress. In an ideal world, responsible businesses would respond to consumer needs. Some would say that the vast majority do, and if that were the case, then we would not need to legislate. But we need to protect the consumer from the cowboy operators, those who engage in sharp practice, and the rip-off merchants. The legislators' dilemma is to produce good effective law which protects the consumer, while allowing business to thrive in a dynamic and competitive environment. The current corporate social responsibility debate offers business the opportunity to improve its consumer protection as a good business model and selling point, to help business gain the competitive edge and bring commercial benefits, while providing added value to the consumer. If we want the internal market to work we need flanking measures to promote consumer confidence, particularly in cross-border shopping, and we know that in online shopping consumers still have a tendency to buy in their own home market. In introducing a general clause on fair trading, the detail of the directive will be vital if it is to work for the benefit of consumers and not to be perceived by businesses as more red tape and bureaucracy. We need simple, better-focused legislation which is easier to enforce. As you know, Commissioner, the concept of fairness differs between Member States, depending on their different legal systems. In those countries which operate a general clause, we also know that operates differently. This presents you with the challenge of finding a common approach. I know that, as a skilled lawyer, you are committed to ensuring legal certainty for both business and consumers. We need to ensure that the impact of any future directive furthers rather than fragments the internal market as Member States interpret, implement or enforce such a directive to fit in with their own different national approaches. The consumer is already faced with fragmented regulations and enforcement. The bottom line is that consumers need to know what redress they can expect if they are the victims of sharp practice or rip-offs, while business needs to operate in a competitive world. Businesses need to be clear about the standards and practices they must aspire to in order to be able to deliver on this directive. I personally favour cracking down on misleading and deceptive practices rather than attempting to achieve a common definition of fair commercial practice. I welcome the Commission's proposal of establishing codes of conduct and self-regulation, not as a soft touch, or replacement for legislation, but as a means of enabling us to respond quickly to sharp practice when it occurs faster than the law can keep up. As Commissioner Prodi has said, all European institutions need to step up their commitment to simplify regulations in order to reduce the cost of doing business in Europe and increase legal certainty for citizens. In the Thyssen report Parliament has made it clear that it wants to see an extended impact study in this area. Commissioner, you have mentioned three studies and you have been very clear about the benefits of this directive. You have been less clear about the potential cost of this directive to business. It is important that we explain to business what its obligations are and what it has to do to achieve your consumer protection objectives.

Political group: PSE