All of this certainly implies a new strategic approach, which our DG will be pioneering in the coming months. The Commission is promoting a model in which people are more willing to take risks, and society is more willing to reward them. At the same time, the European social model is valued by many. The European social model is not incompatible with entrepreneurial innovation and business activities. The welfare state is more about solidarity than about creating barriers to start-ups and companies in general.
Social inclusion is a prerequisite for economic success.
Entrepreneurship is one of the four pillars of the EU's employment policy. The main priorities will be the implementation of a competitiveness policy for all services, the full development of the internal market for business services, and more extensive representation of business services interests in the GATS negotiations. The 3rd Round Table of Bankers and SMEs has also identified a range of best practices to facilitate SMEs' access to finance - including how to value human capital. And the Council has agreed to reduce VAT rates for a small number of employment-intensive sectors, each member state being free to choose three. Support services for SMEs provide them with information, advice and expertise.