We have a copy of an early version of this paper if the committee would like to see it. We were also disturbed to learn from groups who have been in direct contact with relevant EC officials that these same officials could produce no explanation for the changes proposed in the new document. Individuals should receive proper protection and be confident in the security of their transactions. However it must be remembered that in the EC 90 per cent of E-Commerce is conducted on a business to business basis at present. In my view particular attention must be given to protecting new entrants from excessive regulation if Government policies are to be successfully implemented for E-Commerce.
Commission proposes legal framework.
The Commission's proposed Directive highlights issues that will be of concern to SME's operating or looking to operate in the e-commerce area in whatever role. The sentence quoted above from the release and the increased regulation that is implied would act as a disincentive for SME's to set up within EU boundaries. This, in turn, would lower consumer choice for those seeking electronic services within the EU and serve to limit the development of EC E-Commerce.