COMMISSION STAFF WORKING DOCUMENT Accompanying the document Communication from the Commission to the European Parliament, the Council, the European Economic and Social Comittee and the Comittee of the Regions on reform recommendations for regulation in professional services
Date: 2017-01-10
Institutions: Directorate-General for Internal Market, Industry, Entrepreneurship and SMEs, European Commission
Subjects: EU Member State, access to a profession, accountant, civil engineering, lawyer, liberal profession, professional qualifications, real estate business, tourist guide, town-planning profession

EN 

   EN 

   EUROPEAN COMMISSION  Brussels, 10.1.2017  SWD(2016) 436 final   COMMISSION STAFF WORKING DOCUMENT Accompanying the document Communication from the Commission to the European Parliament, the Council, the European Economic and Social Comittee and the Comittee of the Regions on reform recommendations for regulation in professional services {COM(2016) 820 final}  
 
 
Detailed information  
on the assessment of regulation in professional services 

Table of content 

I.  

Introduction 

II.  

Economic impact 

II.1.  Economic importance of professional services 
II.2.  Prevalence of professional services' regulations and their impact 
II.3.  Choice of Professions and restrictiveness indicator 
II.4.  Econometric analysis of the impact of regulatory barriers  

III.   Transparency and mutual evaluation between Member States 

III.1.  Mutual evaluation exercise 
III.2.  National Action Plans 
III.3.  Public Consultation 

IV.  

Summary of analysis of the regulation of the professions analysed per Member 
State 

V.  

Annex on methodology of the economic indicator 

VI.   Annex on econometric analysis of the impact of regulatory barriers in 

professional services on economic outcomes 

2 

 
 
 
 
 
 
 
 
 
I. 

Introduction 

Professionals  and  their  activities1 are  regulated  by  Member  States  at  national,  regional  or 
sometimes local level. Great disparities lie between the Member States in how they choose to 
regulate  a  profession.  Those  wishing  to  provide  their  services  may  find  themselves  either 
unable to or forced to undergo costly and time consuming procedures before gaining access. 
In 2013 the Directive was amended by Directive 2013/55/EU and introduced a transparency 
and Mutual Evaluation exercise between the Member States of their regulated profession2. 
The objective of this exercise was to achieve a regulatory environment that is proportionate 
and adapted to the real objectives of protecting general interests.  

In  the  Single  Market  Strategy  the  Commission  announced,  among  other  actions,  that  there 
will  be  a  periodic  issuance  of  profession-specific  guidance  for  reforms  in  a  number  of 
selected professions, addressed to Member States concerned. 

This  Staff  Working  Document  provides  the  necessary  background  information  for  the 
recommendation made in the Communication.  

It  first  sets out  the  economic  impact,  in  particular  the  economic  importance  of  professional 
services, the prevalence of professional services' regulations and explains the new indicator 
measuring regulatory intensity (II.). 

The  second  part  gives  more  information  about  the  work  undertaken  by  the  Member  States 
and the Commission in the past years in the framework of the mutual evaluation exercise and 
its follow-up (III.). 

The subsequent section describes the regulatory situation for the selected professions for each 
Member State (IV). 

Part V contains detailed explanations of the methodology used for the indicator and the last 
part provides the details of the econometric regression calculations (VI.). 

II.  

Economic impact  

II.1.  Economic importance of professional services 

A better functioning of the Single Market gives European Member States advantages at the 
national as well as global level. Total services account for 71% of GDP, representing slightly 
more  than  €  10  trillion  and  68%  of  total  employment,  i.e.  roughly  150  million  people 3. 
However,  it  is  broadly  acknowledged  that  more  than  20  years  after  its  creation  the  full 
potential of a single market in services remains unfulfilled.  

The significant role of professional services in the EU economy cannot be under-estimated  as 
they  account  for  22%  of  the  European  labour  force,  or  over  47  million  citizens  directly 

1 Professional  services  often  require  a  high  degree  of  education  and  training  and  make  specialised  knowledge  and  skills 
available  to  clients  who  may  be  other  business  users  or  private  individuals.  Regulated  professions  are  defined  in  the 
Professional Qualifications Directive 2005/36/EC as professions where one needs a particular professional qualification to 
be allowed to exercise the profession.  
2 The  Communication  of  the  Commission  of  2  October  2013  set  out  a  work  plan  to  improve  transparency  on  national 
professional  regulations  and  to  assess  and  discuss  justification  and  proportionality  of  existing  rules  (mutual  evaluation); 
COM(2013)676. Starting in 2014, this process required Member States firstly to introduce all the professions they regulated 
into  the  Regulated  Professions  Database  alongside  all  the  regulatory  measures  they  implemented  for  each  profession 
notified, using this information they were then required to review the impact of such measures and to consider their value in 
protecting legitimate public interests. 
3 Source:  National account statistics. 

3 

 
 
                                                            
affected by occupational regulation. Numerous studies demonstrate the untapped benefits to 
furthering  the  Single  Market  in  services.  One  such  recent  study  suggested  that  an  annual 
potential of €39 billion GDP remains to be captured4.  

At  present,  based  on  what  Member  States  notified  in  the  EU  Regulated  Professions 
Database5,  there  are  over  5,500  regulated  professions  across  the  EU,  if  one  considers  the 
different regulatory regimes applicable throughout the 28 Member States. As highlighted by 
Chart  1,  40%  of  that  total  is  accounted  for  by  professionals  in  health  and  social  services, 
followed by business services (15%), transport (9.6%), public services and education (9.1%) 
and construction (6.6%). 

Chart 1: Major groups of regulated professions, EU 28, October 2016 

Source: EU Regulated Professions Database 

This  number  corresponds to  an average  of 200 regulated professions  per  Member State but 
with  such  large  variances  between  countries  that  we  see  a  range  from  the  least,  Lithuania 
reporting  only  76,  and  Hungary  with  the  most  at  5456.  However,  these  numbers  tell  little 
about  the  intensity  (or  proportionality)  of  the  regulation,  its  economic  impact  or  the 
characteristics of people affected by it. Nevertheless as a starting point to the present analysis 
it does serve to illustrate the scale of divergence in the European Single Market for services.  

As  highlighted  by  Chart  2,  most  regulated  professions  are  regulated  by  way  of  reserved 
activities, i.e. by giving a monopoly to exercise certain activities or professions to individuals 

4 http://www.europarl.europa.eu/EPRS/EPRS_Mapping_the_Cost_of_Non-Europe-June%202014.pdf 
5 The Database includes information on the regulated professions covered by the Directive 2005/36/EC and shows that some 
600  different  “generic  professions”  are  affected  by  occupational  regulation.  For  each  generic  profession  there  are  usually 
many more professions corresponding to the national terminology, because under a generic profession often there are several 
professions at national level, which brings the number of regulated professions in the EU up to c.a. 5,500. 
6 EU Regulated Professions Database, October 2016. 

4 

 
 
 
                                                            
with the required level of qualification (72%), and in some cases title protection comes on top 
of  the  reserves  (15%).  These  forms  are  the  most  stringent  form  of  regulation  compared  to 
cases when only the title is protected but not access to the activities (11%). 

Chart 2: Regulated professions in the EU by type of regulation 

11% 

2% 

15% 

Reserves of activities and
 protected title

Reserves of
 activities

Protected title
 (without reserves of
activities)

Other

72% 

Source: Database of regulated professions 

The map below provides a visual representation of the occupational regulation across the EU 
countries in one profession as an example to illustrate the divergence between Member States 
in fundamental regulatory approaches (reserved activities, title protection, etc.). 

Chart 3: Categories of regulations by profession: Accountants / tax advisers (October 2016) 

Source: EU Regulated Professions Database7 

Measuring the precise impact of regulation for professional services is difficult owing to the 
lack of such type of occupations in any EU or international statistical classifications and until 

7 Each country is responsible for updating information, on its regulated professions, competent authorities and statistics. The 
information displayed on the map reflects this situation which may not necessarily match with the Commission's assessment 
of national regulation, including as regards the 7 professions analysed in this document.   

5 

 
 
 
 
                                                            
recently  no  figures  even  existed  regarding  the  prevalence  and  effects  of  occupational 
regulation  on  the  EU  labour  market.  Therefore,  to  support  the  Mutual  Evaluation  the 
Commission  contracted  the  first  ever  EU-wide  representative  survey  to  provide  the  data 
necessary to measure the prevalence of regulated professions.8  

II.2.  Prevalence of professional services' regulations and their impact 

Conducted during the first quarter of 2015 this survey reached over 26,600 European citizens 
and concluded that 22% of the European labour force, or over 47 million citizens are directly 
affected  by  occupational  regulation.  As  Chart  4  indicates,  its  prevalence  varies  across  the 
Union (from 14% in Denmark to 33% in Germany, with a higher general incidence in central 
Europe). 

Chart 4: share of regulated professions in total labour force, 2015 

Source: 

TNS survey (2015). 

The analysis of the survey as regards economic effects of regulation has shown that: 

Occupational  regulation  can  be  associated  with  a  substantial  loss  in  employment  (up  to 
700,000  jobs  in  the  EU  on  the  basis  of  conservative  hypotheses).  Depending  on  the 
occupation,  there  could  be  between  3  and  9%  more  people  working  in  a  given  profession, 
should access requirements be made less stringent.  

In  terms  of  the  impact  on  mobility,  regulation  imposes  a  significant  cost  to  foreign-born 
workers. In particular, the proportion of foreign-born workers is about one third lower than 
among  regulated  workers.  Automatic  recognition  arrangements  in  the  EU  are  effective  in 
facilitating entry into foreign markets and mobility across countries.  

Occupational  regulation is  associated  with  an  aggregate  wage  premium  of  4%.  However,  it 
varies  considerably  across  professions,  as  it  ranges  from  6  %  for  professionals  to  19%  for 
craft  and  related  trade  workers.  The  study  also  shows  that  regulation  of  professions 
contributes to wage inequality. 

8 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362.  

6 

0%5%10%15%20%25%30%35%DKSELVFIMTBEFRESPTLTEEUKCYITSIBGPLLUELROEU28ATNLCZHUSKIEHRDE 
 
                                                            
The regulation of professions is also found to distort the returns on education. The returns on 
education for unregulated workers increase consistently with the years of education achieved. 
In  contrast,  the  returns  on  education  for  regulated  workers  are  basically  flat  until  post-
secondary  education.  The  return  on  a  university  degree  is  then  much  larger  for  regulated 
workers than for unregulated ones.  

Another factor is the lack of competition, evidenced by higher profit rates than in the rest of 
the economy, as Chart 5 shows, and a relatively lower turnover of companies. Some recent 
examples of reforms, lifting restrictions on entry and exercise of regulated professions, show 
a positive impact on employment as well as for consumers, as prices tend to decrease. 

Chart 5: Gross operating rate in selected sectors, EU28, 2013 (%)  

Source: Eurostat and own calculations 

II.3.  Choice of professions and restrictiveness indicator 

The  Communication  and  this  Staff  Working  Document  contain  recommendations  and 
detailed  and  objective  analysis  of  the  regulations  which apply  to  civil  engineers,  architects, 
accountants,  lawyers,  patent  agents, real estate agents  and tourist  guides.  These  professions 
were  selected  because  they  belong  to  four  key  economic  sectors  (business  services, 
construction, real estate and tourism). Mobility in these professions is relatively high and the 
professions  are  regulated  in  a  majority  of  Member  States  yet  taking  divergent  approaches 
meaning that potential for reforms most likely exists. Indeed, under these generic names are a 
multitude of professions regulated at national level with diverse specialisations varying from 
one country to another. In view of having a global picture of the restrictions in place for the 
activities covered under these generic professions it is necessary to analyse the restrictions for 
each  of  the  sub-professions.  For  example,  in  Austria,  there  are  4  different  professions 
exercising activities of an accountant (Personalbuchhalter, Bilanzbuchhalter, Buchhalter and 
Steuerberater)  and  in  Spain  there  are  2  professions  exercising  activities  of  an  architect 
(Arquitecto and Arquitecto tecnico). Hence restrictions applying to each of these professions 
are analysed. 

A new indicator on the restrictiveness of occupational regulation 

Based  on  the  data  collected  from  Member  States  during  the  mutual  evaluation  exercise, 
complemented  by  desk  research  by  Commission  services,  a  composite  restrictiveness 

7 

 
 
 
indicator  has  been  developed.  The  purpose  of  the  indicator  is  to  measure  the  intensity  of 
restrictiveness  of  national  regulation  as  regards  access  to  and  exercise  of  regulated 
professions  through  the  use  of  a  standardised  approach.  A  detailed  explanation  of  the 
methodology  used  for  this  indicator  can  be  found  in  Chapter  V  of  this  Staff  Working 
Document. 

The indicator  measures the relative restrictiveness of most  existing barriers to the access to 
and exercise of regulated professions, essentially the following: the regulatory approach, i.e. 
the scope of reserves of activities and whether title is protected, level of education required, 
obligation  to  be  a  member  of  a  professional  organisation,  existence  of  quantitative  or 
territorial 
requirements, 
incompatibilities  of  activities  for  a  professional,  tariffs,  restrictions  on  advertisement  and 
marketing,  professional  indemnity  insurance  and  additional  authorisation  requirements.  In 
view  of  developing  a  full  picture  of  the  overall  burden  put  on  professionals,  the  indicator 
shows  the  cumulative  effect  of  the  different  requirements  leading  to  an  assessment  of  the 
intensity of the regulation for a specific profession in a given Member state.  

form,  shareholding  and  voting 

restrictions, 

rights 

legal 

For  those  countries  and  professions  where  there  is  only  title  protection,  the  indicator 
measures the restrictiveness to access the title protection9 even though it may be possible for 
a professional to exercise the activity without using the title.  

The  indicator  integrates  the  relative  importance  of  the  different  restrictions  by  way  of 
differentiated weights applied to each of the restrictions analysed. For example, the existence 
of reserved activities is considered the strictest form of restriction whereas the obligation to 
be  covered  by  professional  indemnity  insurance  is  considered  relatively  less  restrictive. 
Indeed  reserves  of  activities  are  the  entry  point  by  which  professionals  may  or  may  not 
exercise  an  activity.  All  the  other  types  of  restrictions  introduce  additional  conditions  for 
professionals to meet in order to access and exercise the activities. The scope of the reserves 
is  key  in  determining  the  overall  level  of  restrictiveness.  The  larger  the  scope  the  more 
restrictive the regulation will be.  

Restrictions cannot be analysed separately without taking into account the other mechanisms 
in place to complement or replace the specific restriction. This holistic approach enables an 
estimation  of  how  restrictive  a  regulatory  framework  or  approach  is  legally  speaking  for 
professionals.  The  indicator  will  however  not  reveal  non-regulatory  barriers  or  the  role 
played  specific  horizontal  laws  or  mechanisms  in  place  to  protect  the  consumers  and  the 
public  interest  objectives.  This  is  why  this  indicator  is  accompanied  by  a  qualitative 
assessment  and  analysis  which  provides  additional  information  regarding  the  reality  on  the 
ground.  

The  restrictiveness  indicator  of  regulation  in  professions  has  many  similarities  with  the 
OECD's  Product  Market  Regulation  (PMR)  indicator,  but  also  differs  from  it  in  certain 
aspects,  including:  (1)  groups  of  professions  under  review  are  the  same  for  four  of  them, 
three  more  being  analysed  for  the  indicator  of  restrictiveness;10 (2)  this  indicator  assesses 
restrictions  which  are  not  considered  by  the  OECD,  including  a  range  of  requirements 
relating to qualification and training; (3) from a methodology point of view a simple average 
of all the restrictions was used by the OECD to calculate their composite indicator, while a 
weighted average was applied in the case of the Commission's restrictiveness indicator; (4) In 

9 This concerns essentially the following professions and countries: accountant (Ireland, Netherlands, UK), architect 
(Netherlands, UK), civil engineer (Belgium, France, UK), patent agent (Finland, Ireland, Sweden), real estate agent 
(Finland)  
10 The following professions are analysed by both the OECD and the Commission: architects, lawyers, accountants and 
engineers.  In addition, the Commission analysed the cases of patent agents, real estate agents and tourist guides. 

8 

 
 
                                                            
the case of the OECD, the most stringent regulation are taken into account in situations where 
there  are  more  than  one  profession  existing  at  national  level  under  the  4  main  professional 
categories. The restrictiveness indicator takes into  consideration all regulated professions at 
national level. For example, in the case of Austria, four types of accountants are analysed and 
the  mean  level  of  restrictions  across  the  four  professions  is  calculated.  In  the  case  of  the 
OECD,  only  the  highest  restrictions  are  considered  in  the  calculation.    (5)  Some  of  the 
activities  covered by the OECD are not included in this new indicator. This is in particular 
the  case  of  statutory  audit  activities  which  we  consider  as  belonging  to  the  profession  of 
auditor,  highly  regulated  and  to  be  distinguished  from  accountant  /tax  adviser.  Also 
concerning legal activities, the OECD considers notarial activities, highly regulated in most 
Member  States,  while  we  exclude  these  activities  because  we  consider  they  fall  within  the 
remit of the notary profession and should not be mixed with lawyers. 

II.4.  Econometric analysis of the impact of regulatory barriers 

An econometric analysis done by the Commission  services indicates that the high levels  of 
regulatory  restrictions in  the  7  analysed  regulated  professions  coincide with  poor  economic 
outcomes,  while  lower  restrictions  seem  to  go  hand  in  hand  with  better  outcomes.  
Specifically, it is very likely that high sector-level restrictions in a country (as measured by 
the synthetic indicator) have a significant positive impact on the sheltered incumbents' rents 
in that sector (approximated by the profitability ratio) while possibly depressing the entry (the 
growth in the number of firms) in that sector. More details on the methodology used and the 
results can be found in the annex on the regression analysis in chapter VI. 

III.   Transparency and mutual evaluation between Member States 

The issue of proportionality in the regulation of professional services is one that the European 
Council  and  Parliament  has  returned  to  repeatedly  for  some  time.  In  its  March  2012 
conclusions, the European Council asked Member States to reduce the number of regulated 
professions  and  remove  unnecessary  or  disproportionate  barriers  to  entry  to  regulated 
professions.  In  its  recommendation  of  June  2012  the  European  Parliament  called  on  the 
Commission to identify areas where Member States are disproportionately blocking access to 
regulated  professions.  In  the  conclusions  from  its  meeting  on  24  and  25  October  2013,  the 
European  Council  once  again  stressed  the  need  for  Member  States  to  identify  remaining 
barriers to accessing professions, assess their cumulative effect and take appropriate action. It 
is in this context and against the backdrop of appreciation that the regulation of professions is 
as much an economic issue as one of skills and qualifications, that the mutual evaluation was 
initiated. The present initiative evolved as an appreciation of both the prevalence and impact 
of  suboptimum  regulations  that  developed  through  this  mutual  evaluation  process  and  the 
information it uncovered. 

III.1.  Mutual evaluation exercise 

This  exercise  was  conducted  with  Member  States  between  2014  and  2016  and  aimed  to 
obtain a comprehensive overview of the regulated professions in the EU as well as conditions 
to access these professions through (1) a simplification and improvement of citizens' access 
to  information  on  regulated  professions  and  (2)  the  commitment  of  EU  countries  to  review 
the requirements they impose with regards to access to and pursuit of regulated professions. 
The  exercise  was  concluded  in  early  2016.  Member  States  reviewed  their  regulatory 
measures  affecting  regulated  professionals  in  this  context  and  assessing  whether  these  are 
excessive or constitute barriers to economic growth.   

9 

 
 
In practice each Member State was invited to examine on a case-by-case basis the regulations 
for access to each profession to ensure that barriers in place are not erecting undue obstacles 
or are not justified in the light of the objectives to be achieved. In order to enable Member 
States to exchange and compare the practices in place in each country, 12 professions were 
chosen  as  an  example  for  in-depth  discussions  and  the  sharing  of  best  practices  during 
discussion with all Member States in Brussels.11  

The aim of this process was, where beneficial, the revision of the conditions of access to and 
exercise  of  certain  regulated  professions,  for  instance  by  adapting  the  level  of  qualification 
required,  by  reducing  the  scope  of  reserved  activities  or  by  reducing  or  modifying  other 
requirements imposed on professionals. In addition, the transparency  and mutual evaluation 
also aimed to facilitate the mobility of skilled professionals within the European Union and to 
promote the development of services activities across national borders. 

III.2.  National Action Plans 

As a result of this process and according to the obligations set out in the revised Professional 
Qualifications  Directive,  Member  States  were  required  to  submit  so-called  National  Action 
Plans  [NAPs].  7  Member  States,  namely  Cyprus,  Greece,  Hungary,  Ireland,  Malta, 
Slovenia and Spain have as yet not submitted any NAP and the level of ambition for reforms 
in  regulation  of  professional  services  as  expressed  in  those  NAPs  which  were  submitted 
varies greatly.12 

By way of example, measures covered in the national action plans received include: 

-  horizontal actions covering a range of sectors and professions. For example: Austria 
has introduced in 2013 a new post-evaluation instrument for every new legal act and a 
new uniform and electronic registration system for trades; Denmark has indicated in 
its action plan that it has recently undertaken or intends to do so in the near future a 
modernisation  and  simplification  of  the  regulation  for  41  of  the  166  regulated 
professions  in  the  country;  France  has  adopted  measures  to  facilitate  the  access  to 
some  legal  professions  and  has  recently  taken  or  plans  to  take  further  measures  to 
simplify  the  access  to  and  exercise  of  several  professions  including  the  revision  of 
legal form and shareholding structure requirements, the scope of reserved activities or 
the qualification requirements. 

- 

targeted  measures  on  specific  professions  or  types  of  restriction.  For  example: 
Germany intends to take some actions to modernise professions in business services; 
the United Kingdom is exploring potential reforms around building regulations with 
regards  to  the  architectural  profession,  in  veterinary  nursing  and  surgery  and  the 
healthcare  professions.  In  Italy,  state  exams  and  training  requirements  are  being 
revised for some professions to better reflect the competences required and adapt the 
activities reserved of the concerned professions. 

In  addition,  empirical  case  studies  commissioned  during  the  mutual  evaluation  exercise 
provide  useful  examples  of  how  the  assessment  of  the  impacts  of  regulation  or  a  change 
thereof  can  be  done  and  what  the  effects  can  be.  These  studies  show  that  the  reduction  or 
removal of regulatory barriers has led to a reduction in the prices of the concerned services; 
positive effects on employment for the regulated professions as a whole or a relative increase 

11 The discussion covered a range of professions from different sectors, 4 of them being also part of this guidance: architects, 
civil  engineers, 
these  discussions  are  available  at 
http://ec.europa.eu/growth/single-market/services/free-movement-professionals/transparency-mutual-recognition_en.  
12 Available at http://ec.europa.eu/DocsRoom/documents/19202  

tourist  guides.  Results  of 

real  estate  agents  and 

10 

 
 
                                                            
in the number of new entrants into the reformed professions. In  macroeconomic terms, this 
translates into a better allocation of resources, as shown in a recent study. 

III.3.  Public Consultation 
A  public  consultation  was  carried  out  between  27th  May  and  22nd  August  2016  to  provide 
respondents  with  an  opportunity  to  comment  the  proportionality  of  professional  regulations 
and on the content of Member State's NAPs. Respondents were also given the opportunity to 
nominate a profession of particular interest to them and comment on its regulation.  A total 
420  responses  were  received  and  21  separate  submissions 13 .  Regarding  the  professions 
considered in this document we received 16 responses relating to the regulation of architects; 
7 for engineers; 30 for lawyers; 24 for accountants; 3 estate agents; 16 tourist guides and; 1 
regarding patent agents14. The responses to two of the question most pertinent to the subject 
currently under discussion are presented below: 

13 As only one submission per email address / organisation address is admissible (except in cases where the respondent was 
replying to different Member States' NAPs) 80 multiple submission were removed. 
14  A  fuller  extrapolation  of 
market/services/free-movement-professionals/transparency-mutual-recognition_en  

the  Public  Consultation  may  be  found  under  http://ec.europa.eu/growth/single-

11 

 
 
 
 
 
 
                                                            
IV.   Summary of analysis of the regulation of the professions 

analysed per Member State 

12 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
   AUSTRIA   
_______________________ 

I. 

Overview 

On  1  November  2016  Austria  had  submitted  information  about  219  regulated  professions. 
Among  those  professions,  10%  concern  business  services,  9%  the  construction  sector  and 
0,5% the real estate sector.  

According to a recent EU wide survey15, 22% of Austrian labour force can be considered as 
working in regulated professions. This is slightly higher than the EU average (21%). 

As  indicated  in  chart  1,  for  all  professions  selected,  business  churn  (or  turnover)  rate16 is 
lower in Austria than in the EU on average. With the exception of the construction sector, the 
churn rates are also lower than the average churn rate for the total Austrian economy. This 
may be interpreted as  an indication of the relatively  low dynamism and competition within 
regulated professions in Austria. 

Chart 1: Business churn rate in selected sectors, Austria and the EU, 2013-14 (%) 

Austria has been participating very actively in the mutual evaluation exercise. However on 
10 October 2016, still 20 % of the general information on different regulated professions was 
missing and almost 30% of the professions still need to be assessed as to the proportionality 
of their regulation.  

In its national action plan, Austria presents a new post-evaluation instrument introduced in 
2013 for every new legal act and a new uniform and electronic registration system for trades, 
but  only  announces  changes  for  a  limited  number  of  professions.  A  working  group  which 

15 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
16 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

13 

 
 
 
 
 
                                                            
should  look  into  the  possibilities  of  reforming  rules  on  multidisciplinary  activities  of  a 
number of regulated professions, has been initiated at the end of 2015. This working group 
came to the conclusion that there already are sufficient possibilities for cooperation between 
the  professions.  In  June  2016  plans  emerged  about  a  significant  reform  of  the  trade  law 
covering mainly craft professions, but also tourist guides and real estate agents.  

In  2016,  the  European  Commission  addressed  a  country  specific  recommendation  to 
Austria in the area of professional services: 

Reduce  administrative  and  regulatory  barriers  for  investments,  such  as  restrictive 
authorisation  requirements  and  restrictions  on 
form  and  shareholding,  and 
impediments to setting up interdisciplinary companies, in particular in the area of services. 

legal 

II. 

Situation concerning the analysed professions  

Architects,  Engineers,  Lawyers  and  Patent  attorneys  are  among  the  so-called  “liberal 
professions” in Austria and subject to specific legislation for liberal professions. The same is 
true  for  tax  advisers,  while  other  accounting  professions  have  recently  been  regrouped  in  a 
separate law.  

Tourist  guides  and  Real  estate  agents  are  considered  to  exercise  commercial  activities  and 
hence are covered by the general trade law (Gewerbeordnung). 

The level of restrictiveness is higher in Austria compared to the EU weighted average for all 
professions  under  review  with  the  exception  of  the  profession  of  lawyer  and  accountant 
where  it  is  slightly  lower.  Amongst  the  professions  analysed,  restrictiveness  is  highest  for 
lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Austria and the EU  

Source: European Commission services 

14 

 
 
 
 
 
 
Architects/Engineers 

Both professions, covered by the same law, are regulated by a reserve of activities and a title 
protection.  The  reserve  of  activities  includes  the  drawing  up  of  public  documents  in  their 
respective field of activity.  

In addition, activities in the field of architecture and engineering can also be exercised by a so 
called  master  builder  or  commercial  engineer  ("Baumeister  /  Ingenieurbüro")  in  the 
framework  of  the  general  trade  law  ("Gewerbeordnung").  There  is  a  number  of  shared 
activities.17  

However  there  are  significant  differences  between  these  two  groups  regarding  the scope  of 
activities and also the conditions concerning the access to the profession: In order to ensure 
the  independence  and  objectivity  of  architects  and  engineers  there  is  a  strict  separation 
between the planning and the execution of activities. Whereas architects/engineers are limited 
to  planning,  consulting,  coordination  and  supervising  activities,  the  master  builder  has  no 
such limitation and can plan/supervise and build at the same time.  

The  required  duration  of  study/professional  training  for  architects  and  engineers  is  8  years, 
including  3  years  of  mandatory  traineeship/prior  professional  experience.  Membership  with 
the professional association is mandatory. Additionally to the qualification requirements, it is 
necessary to pass a specific exam in order to get the authorisation to practice which is valid 
throughout the national territory. 

Professional  indemnity  insurance  is  not  obligatory  (except  for  public  works).  The 
professional chamber organizes collective insurance coverage on a voluntary basis. 

Concerning  legal  form  and  shareholding  requirements,  the  setting  up  of  professional  legal 
persons  is  possible,  but  only  certain  company  forms  are  available,  including  the  form  of 
private limited liability company (GmbH). More than 50% of the shares have to be held by 
one  or  more  natural  persons  authorised  to  exercise  the  profession  of  civil  engineer;  the 
remaining shares may be owned by either other architectural or civil engineering firms or by 
any  other  natural  person.  There  are  also  strict  rules  on  decision  making,  imposing  that 
decisions  can  not  be  taken  against  the  partners  authorised  to  exercise  the  activity.  The 
exclusive  scope  of  the  activity  of  architectural  or  civil  engineering  firms  has  to  be  the 
provision  of  architecture/engineering  services  limiting  therefore  the  possibility  of  joint 
exercise with other professions. 

Accountants 

(“Bilanzbuchhalter”),  accountant 

The  law  on  accountancy,  which  came  into  force  in  2014,  covers  three  professions:  senior 
(“Buchhalter”)  and  payroll  accountant 
accountant 
(“Personalverrechner”).  These  professions  are  regulated  by  a  reserve  of  activities  for  self-
employed  service  providers.  In  order  to  become  self-employed  an  official  appointment  is 
necessary  and  requires  1,5  to  3  years  of  professional  experience.  Membership  with  the 

17 Architects  share  activities  with  master  builder:  Architectural  design  and  planning,  feasibility  studies,  Construction  cost 
management,  monitoring  of  construction  /execution  including  supervision  of  other  related  professionals  /  inspection  of 
execution,  Examination  of  design  and  related  documentation,  Interior  design  /  preparation  of  documentation  for  interior 
decoration,  Preparation/  submission/  signing  of  technical  control  and  compliance/permit  related  documentation  or 
certification of project and adhering to building legislation / standards of performance, quality, cost and safety. 
Engineers  share  activities  with  commercial  engineers:  Design  and  planning,  feasibility  studies,  Ensuring  compliance  of 
related  documentation  or  certification  of  project/  Signing  of  designs  and  technical  control  /  Representation  for  obtaining 
permits,  Planning  and  management  maintenance;  survey  of  sites,  Project  management  including  construction  cost 
management, monitoring of construction/ execution of the project, Tender and contract administration. 
Architects share activities with engineers: Landscape Architecture, Urban / territorial planning/ design, interior design. 

15 

 
 
                                                            
professional chamber is mandatory as well as professional indemnity insurance. The law also 
foresees continuous professional development requirements. 

Reserve  of  activities  differs  between  those  professions  (from  payroll  services  and 
representation and assistance before administrative authorities to book-keeping ad drawing up 
of  financial  statements  to  tax  advice),  and  most  of  them  are  also  shared  with  tax  advisers, 
auditors and partly with lawyers.  

The profession of tax adviser (“Steuerberater”), a liberal profession, is regulated by a reserve 
of  activities  together  with  title  protection.  The  reserve  is  rather  large, including  also  all  the 
activities,  which  can  be  provided  by  the  other  three  accounting  professions.  None  of  these 
activities  is  exclusively  reserved  to  tax  advisers;  they  either  share  it  with  the  accounting 
professionals or with other liberal professions. 

While there are no specific restrictions or rules concerning legal form and shareholding for 
accountants,  there  is  only  a  limited  number  of  legal  forms  available  for  tax  advisers. 
Shareholders must be either professionals or members of the family. Professionals from other 
Member States might not hold more than 25% of voting rights. There are also very precise 
rules  providing  that  joint  exercise  of  professions  is  only  possible  with  other  liberal 
professions,  accountants,  management  and  technical  consultants.  Professional  indemnity 
insurance is mandatory. 

Lawyers 

Like all the other liberal professions, lawyers are regulated by a reserve of activities and title 
protection. A lawyer’s right of representation, extending to all courts and authorities confers 
the  power  to  represent  parties  on  a  professional  basis,  both  in  and  out  of  the  court,  for  all 
public and private matters. This power is reserved to lawyers.  

After 4 years of legal studies in Austrian law, a candidate has to gain at least three years of 
experience as a trainee lawyer before being admitted to the bar exam. Membership with the 
bar  is  mandatory.  There  is  also  an  obligation  to  engage  in  continuous  professional 
development.  

As  far  as  legal  form  and  shareholding  requirements  are  concerned,  as  for  other  liberal 
professions, only certain company forms are available, including the form of private limited 
liability  company  (GmbH).  More  than  50%  of  the  shares  have  to  be  held  by  lawyers.  The 
other shares can only be held by a limited number of categories of persons foreseen by law, 
such  as  close  relatives.  The  qualified  registered  lawyers  must  hold  the  majority  in  the 
company  capital,  and  they  must  have  a  decisive  influence  on  the  decision-making  process, 
which means a simple or the contractually determined qualified majority (usually up to 75%) 
for shareholders’ resolutions in favour of the professionals.   

In  order  to  preserve  independence  and  professional  secrecy  and  to  avoid  a  conflict  of 
interests,  the  setting  up  of  multidisciplinary  companies  is  not  permitted.  However,  certain 
forms  of  cooperation  between  lawyers  and  other  liberal  professionals  are  possible  if  core 
values of the profession are safeguarded in the interest of the clients. There are also specific 
rules dealing with the incompatibility between certain professions (notary) as well as general 
rules on incompatibilities.  

Professional liability insurance is mandatory.  

Patent agents 

The profession is regulated by a reserve of activities and title protection. The reserve covers 
counselling  and  representation  before  the  Patent  Office  or  other  administrative  authorities, 

16 

 
 
drawing  up  legal  documents  in  intellectual  property  matters  and  representing  clients  before 
the  courts  in  intellectual  property  matters  (for  patent  attorneys  only  before  the  Higher 
Regional Court (of Vienna). All these activities are shared with lawyers and notaries. 

After  5  years  of  technical  studies,  an  examination  of  competencies  in  law  has  to  be  passed 
and  a  prior  professional  practice  obtained,  the  length  of  which  depends  on  the  type  of 
professional practice (e.g. 5 years in the office of a patent attorney or 7,5 years in the field of 
intellectual  property  rights).  Membership  with  the  professional  association  is  mandatory.  A 
candidate  has  to  apply  for  entry  on  the  list  of  patent  attorneys  which  can  be  refused. 
Candidates also have to swear an oath. 

Regarding  legal  form  and  shareholding  requirements,  as  for  other  liberal  professions,  only 
certain company forms are available, including the form of private limited liability company 
(GmbH). It is interesting to note that shareholders can only be patent attorneys and their close 
relatives (wife, children) or retired patent attorneys. In addition, a patent attorney may only 
be part of one company and joint exercise with other professions is therefore not possible. 

Professional liability insurance is obligatory. 

Real estate agents 

The  profession  of  real  estate  agent  is  part  of  three  professions  in  the  sector  of  real  estate 
trustees and can  be  exercised independently  from the two other  professions (which are real 
estate management and real estate developer). It is regulated by way of reserve of activities, 
which  are  brokerage  of  sale  and  of  exchange  of  plots  of  land,  legal  estates,  appartments, 
business  premises,  prefabricated  houses  and  enterprises;  brokerage  of  lease  contracts  (and 
similar  contracts)  for  real  estate;  sale  of  real  estate  including  hire  purchase;  brokerage  of 
participations in property funds; advice and support for the afore-mentioned transactions. The 
activities of real estate agents also cover representation before of public authorities/courts (as 
far as it is not reserved to lawyers) as well as carrying out public auctions of properties. Part 
of the activities are shared, notably with lawyers and notaries, but others seem to be exclusive 
like  obtaining  information  about  properties  to  be  sold  or  leased,  the  circumstances  of  their 
owner  and  the  needs  of  prospective  buyers  or  tenants  or  showing  properties  to  be  sold  or 
leased to prospective buyers or tenants and explaining terms of sale or conditions of rent or 
lease. 

In  general  it  takes  between  1  and  3  years  of  training  (depending  on  the  pre-professional 
education) in order to acquire the necessary professional qualifications. As for other regulated 
professions covered by the trade law, the qualification is only required for the pursuit of these 
activities  as  a  self-employed  person  or  as  manager.  Four  alternative  paths  are  available  for 
obtaining  the  necessary  qualifications,  mainly  requiring  successful  completion  of  a  specific 
qualifying  examination  covering  general  knowledge  of  regulations  such  as  tax  law,  labour 
law and  many others, as well as  specific  subjects  relevant for the profession offer different 
possibilities for obtaining the necessary qualifications.  

Mandatory registration with the chamber of commerce (“Wirtschaftskammer”) is not linked 
to the regulation of the profession as anyone setting up a business has to become member of 
the  chamber.  Professional  insurance  is  required  as  well  as  proof  that  there  are  no  criminal 
convictions and no convictions related to violations of tax law. 

Austria  considers  regulation  necessary  also  due  to  the  fact  that  the  agents  act  as  trustees 
representing  the  interests  of  their  clients,  thus  preventing  extensive  and  costly  disputes  at 
court.  

17 

 
 
Austria  has  indicated  that  it  wants  to  maintain  the  current  system,  although  an  envisaged 
general review of the trade law announced in June 2016 could change this position.  

Tourist guides 

The profession is regulated by a reserve of activities. The scope of the reserved activities is 
particularly wide  covering  guidance  of  persons  to  show  and  explain  to  them  1)  the historic 
treasures and the artistic and cultural heritage of Austria, 2) the social and political situation 
in  national  and  international  contexts  and  3)  sporting  and  social  events.  However  some  of 
these activities are shared with non-regulated professionals ("Reisebetreuer"), e.g. persons in 
tour buses and taxis giving commentary inside a vehicle.  

In order to become a tourist guide, an obligatory training of at least 250 training units has to 
be  followed.  Such  training  courses  are  offered  by  various  institutes.  In  addition,  there  are 
different  possibilities  to  get  other  studies  recognized  for  the  professional  exam,  thus 
extending  the  ways  the  qualification  can  be  obtained.  Mandatory  registration  with  the 
chamber of commerce is not linked to the regulation of the profession, as anyone setting up a 
business has to become member of the chamber. 

Austria  has  indicated  that  it  wants  to  maintain  the  current  system,  although  an  envisaged 
general review of the trade law announced in June 2016 could change this position. 

18 

 
 
   BELGIUM   
_______________________ 

I. 

Overview 

On 1 November 2016 Belgium had submitted information about 130 regulated professions. 
Among those professions, 12,3% concern business services, 8,5% the construction sector and 
0,8% the real estate sector.  

According to a recent EU wide survey18, 17% of Belgian labour force can be considered as 
working in regulated professions. This is below the EU average (21%) 
As  indicated  in  chart  1,  for  all  professions  selected,  business  churn  (or  turnover)  rate19 is 
significantly  lower  in  Belgium  than  in  the  EU  on  average.  This  may  be  interpreted  as  an 
indication  of  the  relatively  low  dynamism  and  competition  within  regulated  professions  in 
Belgium. 

Chart 1: Business churn rate in selected occupations, Belgium and the EU, 2013-14 (%) 

Belgium  has  participated  in  the  mutual  evaluation  exercise  rather  passively.  The  large 
majority of general information needed regarding its different regulated professions has been 
submitted  in  the  regulated  professions  database.  However  on  10  October  2016,  20%  of  the 
general information on the different regulated professions is still missing and around 30% of 
the professions still need to be assessed as to the proportionality of their regulation.  

In its national action plan (NAP), Belgium presents an overview per sector of its regulatory 
framework for regulated professions and explains the particularities of the regulation due to 
the  fact  that  it  is  a  federal  state  where  different  levels  of  public  authorities  are  involved  in 
regulating professional activities. The NAP only announces changes for a limited number of 
professions.  

18 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
19 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

19 

 
 
 
 
                                                            
In  2016,  the  European  Commission  addressed  a  country  specific  recommendation  in  the 
area  of  professional  services:  Increase  competition  in  the  business  services  sector  and  the 
retail sector by removing unwarranted operational and establishment restrictions.  

II. 

Situation concerning the analysed professions  

The level of restrictiveness is lower in Belgium compared to the EU weighted average for the 
profession of civil engineer, lawyer and patent agent. It is higher in Belgium than in the EU  
on average for real estate agent, architect and accountant. Amongst the professions analysed, 
restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Belgium and the EU  

Note: for the professions of civil engineer the indicator for Belgium measures the restrictiveness to carry the protected title  
Source: European Commission services 

Architects  

The  Law  on  the  protection  of  the  profession  of  architects  dating  from  1939  regulates  the 
profession  by  way  of  a  protected  title  and  a  reserve  of  activities  of  which  some  are  shared 
with  civil  engineers  such  as  the  drawing-up  of  plans  and  monitoring  of  the  execution  of 
building work.  

The education required is composed of 5 years of study and 2 years of traineeship without the 
need to pass a state examination.     

There is  a mandatory  registration  obligation with  the professional. Currently,  the Law does 
not require continuous professional development activities. 

The joint exercise of different professional activities is limited to services that are related to 
architect  services.  The  law  also  specifically  bans  the  possibility  to  jointly  exercise  the 
profession of architect and building contractor.  

The use of all corporate forms is allowed although a distinction is made between professional 
and ordinary company forms. In a professional company form, 60% of the shares and voting 
rights need to be held by the architects while in an ordinary company form only the majority 

20 

 
 
 
of  the  shares  and  voting  rights/management  positions  need  to  be  in  the  hands  of  the 
professionals.  

Architects  are  required  to  take  out  professional  indemnity  insurance  and  an  equivalence 
assessment is foreseen for insurance coverage taken out in other Member States.  

Besides a prior check of professional qualifications, several other authorisation requirements 
seem to exist to access the profession of architect such as administrative procedures to access 
the  mandatory  training  or  to  become  a  full  member  of  the  professional  body  after  having 
fulfilled the traineeship and a visa requirement from the professional body to submit building 
plans to local authorities.   

Engineers 

Civil engineers need to follow the same procedures as architects in case they work as/under 
the professional title of architect. 

Construction engineers in Belgium are “burgerlijk bouwkundig ingenieur /ingénieur civil en 
construction” and “industrieel ingenieur bouwkunde/ingénieur industriel en construction” and 
benefit from a protected title . 

The professional title is granted after having obtained a university or higher education degree, 
e.g. after 5 years (300 ECTS) education for the “burgerlijk bouwkundig ingenieur/ingénieur 
civil  en  construction”  and  “ingénieur  industriel  en  construction”  in  the  French  and  Dutch 
speaking  community  and  after  4  years  (240  ECTS)  education  for  the  “industrieel  ingenieur 
bouwkunde” in the Dutch speaking community. No other requirements regarding the access 
or exercise of the profession have been identified. 

Accountants 

The  profession  of  accountant  comprises  two  different  sets  of  professions  i.e.  expert-
comptable/conseil  fiscal  and  comptable  agréé/comptable-fiscaliste  agréé  (accountant/ 
belasting  consulent,  erkendeboekhouder/erkendeboekhouder-fiscalist).  All  professions  are 
regulated by way of a protected title and a reserve of activities except for the  conseil fiscal 
which only benefits from a protected title.  

Bookkeeping/drawing up of financial statements is a reserved activity for those professionals.  

The  required  education  is  3  years  of  university  or  post-secondary  study  and  a  mandatory 
traineeship of 3 years for expert-comptable/conseil fiscal and 200 days and a minimum of one 
year (and a maximum of three years) of professional training for comptable agréé/comptable-
fiscaliste agréé without the need to pass a state exam. All self-employed professionals need 
to  be  registered  with  the  relevant  professional  body  and  follow  continuous  professional 
development activities as determined by this body. 

For reasons of incompatibility there is a total ban to exercise certain activities simultaneously 
with the profession of accountant and to exercise jointly or in partnership such activities (e.g. 
real estate agent, insurance brokers, activities in crafts, trade, agriculture etc.). 

The  expert-comptable/conseil  fiscal  can  exercise  its  professional  activities  in  any  type  of 
commercial entity and the majority of the voting rights must be held by the professionals. The 
comptable agréé/comptable-fiscaliste agréé can exercise its professional activities in any type 
of  legal  entity  but  must  hold  a  majority  of  the  voting  rights  (there  are  no  shareholders 
restrictions).  

21 

 
 
There is a mandatory professional indemnity insurance obligation and the insurance contract 
needs to be approved by the professional body.  

Lawyers 

The legal profession in Belgium includes the professions of Avocat/Advockaat/Rechtsanwalt 
and Avocat devant la Cour de Cassation/Advocaat bij het Hof van Cassatie and is regulated 
by way of a protected title and a reserves of activities for the representation of clients in court 
and before administrative authorities.  

The general education requirement for lawyers is 5 years of study and 3 years of training. An 
Avocat  devant  la  Cour  de  Cassation/Advocaat  bij  het  Hof  van  Cassatie  is  required 
additionally  to  have  a  professional  experience  of  10  years  as  a  registered  lawyer  and  must 
take an additional training of 4 years which is finalised by passing a state exam. 

There is a mandatory registration obligation with the Bar.  

The number of licences granted to Avocat devant la Cour de Cassation/Advocaat bij het Hof 
van Cassatie appears to be restricted. Those lawyers are appointed by the King upon proposal 
by the Supreme Court. 

Both  legal  professions  are  required  to  follow  continuous  professional  training  by  way  of  a 
credit-system determined on a yearly basis (an average of 20 credit points/year to be collected 
on a 3 years basis).   

Restrictions exist on the use of certain corporate forms although it is possible to exercise the 
profession in a company form with limited liability. The Flemish Bar however allows the use 
of  all  company  forms  on  the  condition  that  all  shares  are  in  hands  of  qualified  lawyer(s). 
Irrespective of the legal form chosen, all shares and voting rights are reserved to lawyers.  

Lawyers are banned from jointly exercising the profession of lawyer with certain professions 
such as judge, notary and bailiff. The joint exercise with certain other professional activities 
is restricted where conflicts of interest can arise.     

Lawyers  are required to take out professional indemnity insurance (a minimum coverage is 
being  subscribed  by  the  Bar  for  all  its  affiliated  members  and  included  in  the  membership 
fees.  Each  lawyer  will  subscribe  to  a  complementary  insurance  if  he/she  considers  it  as 
appropriate). 

Patent agents 

Patent agents are regulated by way of a reserve of activity for counselling and representing 
clients  before  the  Patent  authority.  This  activity  is  however  shared  with  lawyers.  It  seems 
however that an additional authorisation requirement exists in the form of sitting an exam in 
order to become an 'accredited' patent agent and be registered as such with the Registry. 

The education required is 4 years of study, an apprenticeship or training program of 3 years 
under  supervision  of  an  accredited  patent  agent  and  the  successful  completion  of  a  state 
exam.  

There  are  no  requirements  to  follow  continuous  professional  development  activities,  to 
subscribe to mandatory professional indemnity insurance or to have a compulsory registration 
with the professional body.  

No  other  restrictions  have  been  reported  on  the  use  of  a  corporate  form,  the  holding  of 
shares/voting rights or the joint exercise of professions/professional activities. 

22 

 
 
Real estate agents 

Real  estate  agents  are  regulated  by  way  of  a  protected  title  and  reserve  of  activity.  The 
intermediation  in  real  estate  transactions  is  an  activity  shared  with  notaries,  while  "syndic" 
management of properties can also be carried out by other professional such as lawyers. The 
justification for this is argued by the Belgians to be the broader and more complex nature of 
real estate activities in Belgium such as preparing sales files and lease/purchase agreements 
(e.g.  collecting  mandatory  information  on  soil,  energy  performance  and  spatial  planning). 
However,  it  seems  that  real  estate  activities  are  in  essence  concentrated  on  acting  as  an 
intermediary between buyer and seller of real estate property. Furthermore, certain activities 
are shared with notaries, who also bear the burden of responsibility. 

The  education  required is  a  bachelor  degree  of  3  years,  one  year  of  training  offered  by  the 
professional  body  and  a  mandatory  traineeship  of  minimum  200  days  and  this  is  the  only 
pathway to obtain the professional qualification. 

Real estate agents are required to be registered with the professional body and to be covered 
by  professional  indemnity  insurance.  Continuous  professional  development  activities  are 
mandatory  and  although  no  restrictions  exist  on  the  use  of  corporate  forms  by  the 
professional, in order to register a real estate company 60 % of the voting rights need to be 
held  by  qualified  professionals.  The  joint  exercise  of  professional  activities  is  generally 
restricted to avoid conflicts of interest.  

Tourist guides 

Tourist guides are not regulated in Belgium. 

However, the professional title "tour guide" will shortly be protected in the Walloon Region, 
following the adoption of a new decree in this matter. 

According  to  that  decree,  the  title  "tour  guide"  will  be  granted  to  persons  able  to  provide 
evidence  of  substantial  experience  and  owning  certificates  related  with  the  profession.  The 
competent  authorities  consider  that  this  new  protection  of  the  title  aims  to  ensure 
professionalism in the exercise of the profession, but not to  restrict nor limit the access to the 
profession:  every  person  wishing  to  practice  that  activity  will  be  allowed  to  do  it,  without 
however being authorized to bear the title of “tour guide”. 

23 

 
 
 
 
 
 
    BULGARIA   

_______________________ 

I. 

Overview 

On 1 November 2016 Bulgaria had submitted information about 109 regulated professions. 
Among those professions, 8,3% concern business services and 10,1% the construction sector.  

According to a recent EU wide survey20, 21% of Bulgarian labour force can be considered as 
working in regulated professions. This corresponds exactly to the EU average (21%). 

As indicated in chart 1, for construction, legal, real estate and travel agency related activities 
business churn (or turnover) rate21 is higher in Bulgaria than in the EU on average. This may 
be  interpreted  as  an  indication  of  the  relatively  high  dynamism  and  competition  within 
regulated  professions  present  in  these  sectors  in  Bulgaria.  Accounting  and  architectural 
activities,  although  similar  to  the  EU  average,  have  a  lower  churn  rate  than  in  the  overall 
economy which may indicate a relative lower dynamism in these sectors 

Chart 1: Business churn rate in selected occupations, Bulgaria and the EU, 2013-14 (%) 

Bulgaria has participated actively in the mutual  evaluation  exercise. On 10 October 2016, 
less than 5%  of the general information on regulated professions is missing. About  10% of 
the professions still need to be assessed as to the proportionality of their regulation.  

In  its  national  action  plan  (NAP),  Bulgaria  presents  a  very  detailed  overview  of  the 
regulatory framework of the regulated professions. The NAP also announces periodic reviews 
of the scope of the reserved activities to be carried out for each regulated profession.  

20 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
21 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

24 

 
 
 
 
                                                            
In 2016 Bulgaria introduced regulation of the professions of tourist guide and travel agent. 

II. 

Situation concerning the analysed professions  

The level of restrictiveness is lower in Bulgaria compared to the EU weighted average except 
for the profession of tourist guide and to a lesser extend for civil engineer where the opposite 
is true. Amongst the professions analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Bulgaria and the EU  

Source: European Commission services 

Architects/Engineers 

Both  professions  are  covered  by  the  same  law  and  are  regulated  by  way  of  reserve  of 
activities and a title protection.  

For  professional  companies,  only  the  use  of  the  title  "design  office"  is  protected.  The  title 
"design  office"  can  be  used  subject  to  shareholding  requirements  (minimum  50%  of  the 
capital  held  by  professionals),  but  the  professional  activity  is  not  reserved  to  companies 
holding such titles. Thus, the service can be provided by qualified professionals in a company 
without restriction as regards its legal form or shareholding requirements.  

According to the Spatial Planning Act the activities reserved to architects/engineers consist in 
drawing up spatial plans and investment projects, and submitting those documents and plans 
to the competent authorities.  

The training requirements for exercising either of the professions in full capacity comprise 7 
years in total and include a Master's degree and a State exam, as well as 2 years of experience 
with a fully qualified professional (or 4 years of relevant experience, according to the second 
path  to  obtain  qualification).  There  is  a  legal  obligation  for  the  professional  chambers  to 
provide continuous professional development courses to interested architects/engineers, but it 
is not compulsory for them to follow that training. 

For  both  professions  membership  in  the  relevant  professional  organisation  is  compulsory 
according to the Chamber of Architects and Investment Design Engineers Act.  

25 

 
 
 
As regards incompatibility, there is a general conflict of interest rule for working on projects. 
The  Chamber  of  Architects  and  Investment  Design  Engineers  Act  provides  that  the  same 
person cannot participate in the construction process as both designer and constructor.  

Professional liability insurance is mandatory according to the Spatial Planning Act. 

Accountants 

The  profession  is  regulated  in  Bulgaria  by  way  of  reserved  activities  and  the  title 
“accountant” does not exist as such.  

Article 17 of the Accountancy act reserves to professionals, holding particular qualifications, 
the activity of drawing up consolidated, annual and interim financial statements of enterprises 
(with  the  exception  of  consolidated  statements  of  microenterprises).  This  activity  is  shared 
with auditors. 

The Accountancy act establishes 5 pathways to obtain qualification with a total duration of  
7  to  8  years,  according  to  the  pathway.  The  main  path  consists  in  Master's  degree  in 
accounting and economics, and a professional experience of 2 years in the area of accounting, 
external, internal audit and financial inspection or tax audits. 

The  qualification  requirement  and  the  requirement  for  a  clean  criminal  record  are  the  only 
requirements  professionals  must  fulfil.  Additional  authorisation  requirements  or  restrictions 
to exercise the profession have not been identified. 

Lawyers 

The  legal  profession  in  Bulgaria  is  regulated  by  way  of  reserves  of  activities  and  protected 
title. 

The activities, reserved to lawyers consist in representation of clients in court (shared with in-
house  lawyers).  In  addition,  lawyers  may  certify  copies  of  documents  or  authenticate 
signatures (activity shared with notaries). Legal advice is not reserved to lawyers. A number 
of lawyers offer online consultations through their websites. 

Recently,  the  scope  of  the  reserved  activities  to  lawyers  has  been  reduced,  concerning  the 
registration  of  companies.  The  activity  is  now  open  to  other  professionals,  such  as 
accountants, but also to non-professionals. The registration of companies in the Commercial 
Register is supervised by the Registry Agency and is no longer done before the courts. As a 
consequence, the registration fees, practiced by other professionals, such as accountants for 
registration of companies have been significantly lowered.  

However, a new draft-law has been submitted in 2015, introducing a wide range of activities, 
exclusively reserved to lawyers, such as giving oral and written consultations and statements 
on issues of law, preparation of complaints, drafting of notary acts, testaments, etc.  

The  level  of  qualification  required  is  Master's  degree  in  law,  six-months  professional 
traineeship,  successful  completion  of  a  Bar  exam  and  2  years  of  relevant  professional 
experience.  

Candidates  holding  an  educational  and  scientific  degree  of  "Doctor  of  laws",  as  well  as 
individuals  who  have  a  legal  service  record  of  more  than  5  years  may  register  with  the 
Supreme Bar Council without passing an examination.  

Professional  liability  insurance  is  mandatory.  Only  a  limited  number  of  legal  forms  are 
possible, whereas shareholding requirements provide for 100% capital ownership for lawyers. 

26 

 
 
 
Patent agents 

The  profession  of  industrial  property  representative  is  regulated  in  Bulgaria  by  way  of 
reserved activities and protected title. The activity of filing patents is exclusively reserved to 
industrial  property  representatives.  They  share  with  lawyers  the  activity  of  representation 
before the courts in intellectual property matters. 

The  total  duration  of  the  education  required  is  7  years  (Master's  degree  in  law,  technical 
disciplines  or  intellectual  property),  two  years  of  professional  experience  in  intellectual 
property and a specific State exam. 

Membership in a professional association is not required, but there is an obligation to enrol in 
the  Register  of  Industrial  Property  Representatives.  Incompatibility  rules  exclude 
involvement in trade and in salaried activities, as well as with the status of civil servant.  

Additional requirements have not been identified, except for clean criminal record. 

Real estate agents 

The profession is not regulated in Bulgaria.  

There have been several requests from members of a professional association to regulate the 
profession in 2013, triggering petitions against a possible regulation from other professionals 
or consumers. After reviewing the regulatory framework and based on  the existing rules on 
consumer protection, the Government decided not to introduce regulation of the profession.  

Tourist guides 

In 2016 the profession has been regulated by Ministerial decree by way of title protection and 
reserves  of  activities.  However,  a  proper  proportionality  assessment  of  the  qualification 
requirements and the reserved activities has not been submitted yet.  

The scope of the reserved activities is very wide, covering not only the provision of reliable, 
accurate and true information during the trips, but also escorting tourists from the airport to 
their hotel or escorting tourists for departure to the relevant airports, railway stations, bus and 
marine stations.  

In terms of education, although there are several routes to obtain qualification, the education 
comprises  in  general  5  years  (master's  degree)  and  a  specific  State  exam,  organised  by  the 
Ministry  of  Tourism.  There  is  a  general  obligation  to  follow  continuous  professional 
development  courses,  but  no  specific  requirements  as  regards  the  content,  the  duration  and 
the sanctions foreseen. 

Mandatory  registration  in  a  State  register  is  compulsory,  but  membership  in  a  professional 
association remains voluntary. Additional requirements have not been identified. 

27 

 
 
 
    CROATIA    
_______________________ 

I. 

Overview 

On  1  November  2016  Croatia  had  submitted  information  about  261  regulated  professions. 
Among those professions, 11,1% concern business services, 2,8% the construction sector and 
0,6% the real estate sector.  

According to a recent EU wide survey22, 31% of Croatian labour force can be considered as 
working in regulated professions. This is significantly higher than the EU average (21%). 

As  indicated  in  chart  1,  for  legal  and  architectural  activities  business  churn  (or  turnover) 
rate23 is higher in Croatia than in the EU on average. This may be interpreted as an indication 
of the relatively high dynamism and competition within regulated professions present in these 
sectors  in  Croatia.  Business  churn  rate  for  accounting  related  activities  is  lower  than  in  the 
EU on average which may indicate a relative lower dynamism in this sector. 

Chart 1: Business churn rate in selected occupations, Croatia and the EU, 2013-14 (%) 

Croatia  was  not  among  the  most  active  countries  participating  in  the  mutual  evaluation 
exercise. On 10 October 2016, Croatia still needs to submit 12 % of the general information 
on different regulated professions and only 19 of the 274 professions have been analysed as 
to the proportionality of their regulation.  

The national action plan was submitted in the summer of 2016., It comprises a series of 
measures and actions to be carried out from 2016 to 2018 to facilitate access to and exercise 

22 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
23 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

28 

 
 
 
 
                                                            
of  regulated  professions  in  Croatia,  in  particular  by  reducing  the  number  of  regulated 
professions  and by revising existing regulation in some specific sectors. 

In  2016,  the  European  Commission  addressed  a  country  specific  recommendation  to 
Croatia in the area of regulated professions: 

Remove unjustified regulatory restrictions hampering access to and the practice of regulated 
professions. 

II. 

Situation concerning the analysed professions  

The level of restrictiveness is higher in Croatia compared to the EU weighted average except 
for  the  profession  of  patent  agent  where  it  is  lower.  Amongst  the  professions  analysed, 
restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Croatia and the EU  

Source: European Commission services 

Architects/Civil engineers ("certified" civil engineer) 

Both  generic  professions  are  covered  by  the  same  law  and  are  regulated  by  reserves  of 
activities  and  also  by  protecting  the  use  of  the  title.  The  legislation  exclusively  reserves  a 
number  of  activities  for  both  profession,  and  it  seems  that  they  do  not  appear  to  be  shared 
even between engineers and architects. 

Certified  architects  and  certified  engineers  may  perform  design  and/or  professional 
construction  supervision  tasks  as  sole  practitioners,  in  a  joint-practice  office  or  in  a  legal 
person registered for this activity. A contractor (a legal person or a natural person-craftsman) 
must have in its employment site engineer and/or works manager as the responsible person (a 
natural  person  of  the  architectural,  civil  engineering,  mechanical  engineering  or  electrical 
engineering profession) when carrying out the construction. 

It appears that the Croatian legislation provides different education requirements for the ones 
who want to use the official Croatian title (certified architect, certified engineer and indeed 

29 

 
 
 
there are neighbouring professions with specific titles regulated in Croatia) and for the ones 
who intend to work without using the title. There are more detailed and heavier requirements 
for the ones who intend to obtain the title as well.  

Both  professions  require  higher  education  training  and  professional  experience  (some 
modalities  can  be  seen  as  traineeship)  as  well  (it  seems  that  the  experience/traineeship 
requirement for architects is very heavy), but there are a few different pathways for obtaining 
the  qualification.  For  the  modality  when  professionals  intend  to  use  the  title  there  is  a 
compulsory  state  exam  as  well,  afterwards  the  registration  with  the  professional  body  is 
automatic (and implicitly compulsory). For the same modality, there is a general continuous 
professional development obligation in the Croatian legislation, but architects and engineers 
have a wide discretion on how they comply with this requirement. 

Membership in the Chamber and the right to use a professional title shall be acquired on the 
basis of a decision on the registration in the appropriate directory of members of the relevant 
Chamber.  Regarding  the  joint  exercise  of  the  profession,  the  only  limitation  is  that  a 
company/individual  professional  who  performs  the  "project  management"  cannot  actually 
execute the project, to avoid conflict of interest. The indemnity insurance is compulsory for 
professionals,  and  a  mutual  recognition  clause  concerning  insurances  from  other  EEA 
Member States is in place. 

Accountants  

Croatia did not report on the regulation of chartered accountants, but regulates tax advisers, 
by way of reserves of activities. As exclusive reserves, tax advisers might provide tax advice, 
fill in tax applications, and they can also represent clients before administrative bodies/courts 
(shared with lawyers), and can monitor correctness of the accounts (shared with auditors). 

As  qualification  requirement  a  diploma  in  economy  or  law  is  required  (legislation  seem  to 
accept Bsc level qualifications) as well as minimum 5 years professional experience after the 
qualification was obtained. Once this experience is obtained, tax advisers still need to pass a 
state exam as well to be able to work independently. Accordingly, there is only this pathway 
to become a fully qualified tax adviser. Chamber membership is compulsory, and there is a 
monthly  fee  (without  limitative  nature)  to  pay.  There  is  no  continuous  professional 
development  obligation  linked  to  the  chamber  membership.  Licence  is  valid  for  the  entire 
territory of Croatia. 

Tax  advisers  can  practice  as  individual  professionals,  or  provide  services  as  a  non-limited 
liability company (public society) composed by only tax advisers. The Croatian regulation of 
this  profession  is  currently  under  reform  concerning  legal  form  and  shareholding 
requirements,  but  the  scope  of  reserved  activities  which  is  very  wide  doesn't  seem  to  be 
addressed.  The  indemnity  insurance  is  compulsory  for  professionals,  and  any  evidence  of 
insurance from other EEA Member States is accepted. 

Other authorisation requirements include good repute and proof of no previous bankruptcy, 
or the obligation to reside on the national territory. 

Lawyers 

Lawyers are regulated by reserves of activities and title protection. The three main reserves 
concern: giving legal advice (shared with law professors and to a certain extent tax advisers); 
representing  clients  in  front  of  courts  or  authorities  (shared  to  a  certain  extent  with  tax 
advisers); drafting various legal documents or actions (shared with notaries). 

30 

 
 
The education requirement is a minimum higher education diploma, traineeship and passing a 
state  examination.  Following  that,  it  is  compulsory  to  register  with  the  Croatian  Bar 
Association. The Bar also runs a special register for established foreign attorneys providing 
services  under  their  home  titles.  The  registration  is  valid  for  the  entire  territory  of  Croatia, 
and there is no age restriction provided by the legislation. Lawyers need to follow the Code 
of  Ethics,  which  provides  an  ethical  obligation  for  continuous  professional  development 
(renew, expand and perfect their legal and general knowledge), however this obligation is by 
no means linked to the registration. Interesting to observe an existing provision in Croatian 
law according to which if a lawyer is not practising law for more than six months without a 
good reason, he/she might be deprived of the right to exercise the legal activity. 

Lawyers can only establish individual practices, joint legal offices or law firms (these can be 
public  societies  which  are  without  limited  liability,  or  limited  liability  companies).  They 
cannot  operate  as  any  other  legal persons.  Shares have  to  be held by attorneys  only. Those 
lawyers  who have  their individual practices can only  establish one office  in  the territory  of 
Croatia.  There  is  a  general  ethical  obligation  on  not  performing  activities  which  are 
incompatible with maintaining good reputation and/or independence of attorneys. 

Lawyers are required to obtain professional indemnity insurance, and the Croatian legislation 
also recognises insurances obtained in other Member States. 

Patent agents 

The profession is regulated by reserves of activities (representation before the Patent Office 
or other administrative authorities), but this activity is shared with lawyers. 

Patent agents need to follow (a) either a minimum bachelor level higher education training in 
a  number  of  technical  natural  sciences,  and  pass  a  state  exam;  (b)  other  higher  university 
studies, followed by a minimum 5  years work experience in the field of industrial property 
and afterwards completion of a state exam; or (c) be a lawyer enrolled with the Bar and pass 
the specific state exam.   

The  agents  need  to  be  members  of  the  Chamber  in  order  to  be  able  to  carry  out  their 
activities.  The  registration  is  valid  for  the  entire  territory  of  Croatia.  There  is  neither 
continuous professional development requirement, nor obligatory insurance mentioned in the 
Croatian legislation. 

As  regards  potential  company  forms  the  Croatian  legislation  is  quite  flexible:  activities  of 
patent agents might be carried out by sole professionals, or by a legal person which employs 
at least one patent agent. 

Real estate agents 

the  reserves 
Real  estate  agents  are  regulated  by  reserves  of  activities  but  all 
(establishing/facilitating  contacts  and  negotiations,  obtaining  information  on  properties, 
displaying properties) might be shared with lawyers. In the field of real estate representation, 
the two roles are the role of the agent (always a natural person), and that of the intermediary, 
which can be a company, individual merchant or individual craftsman.  

Real estate agents only need to pass a professional exam, the entry requirement of this is to 
have  a  high  school  qualification  (final  exam),  there  is  no  traineeship  or  professional  exam 
requirement. There is a state register of real estate agents who passed the above professional 
exam.  

31 

 
 
There  is  no  continuous  professional  development  obligation  for  this  profession.  As  regards 
insurance requirement, it is important to observe that the legal persons need to be insured, but 
there is no similar requirement for the natural person professionals. 

As  regards  legal  persons  (when  we  are  talking  about  intermediaries),  the  requirement  is  to 
employ at least one qualified and licensed professional. Otherwise, the Croatian regulation of 
this  profession  is  fully  liberal  concerning  shareholding  requirements,  voting  rights, 
restrictions on corporate forms or on the joint exercise of the profession.  

Tourist guides 

Croatia  exclusively  reserves  some  activities  (accompanying  and  guiding  tourists  on  cruises 
and sightseeing tours) of tourist guides for qualified professionals. The law also specifically 
provides  that  expert  guide  services  at  a  museum,  gallery,  protected  natural  area, 
archaeological site etc. are not to be considered as activities of tourist guides. 

There is no specific training requirement enshrined in the legislation: following a high school 
degree  (final  exam)  candidates  need  to  pass  a  specific  examination.  The  tourist  guide 
certification exam shall be conducted before and consists of a general part, that is unique for 
all  the  candidates  and  a  special  part  which  relates  to  tourist  sites  (localities)  in  a  specific 
region / county. Successful candidates are then put on a register. 

Tourist  guides  may  therefore  provide  services  in  the  area  of  tourist  sites  (localities)  and  in 
other parts of the Republic of Croatia which are not designated as tourist sites (localities) if 
they have passed the general part of the certification exam for tourist guide and the special 
parts of the certification exam which relates to tourist sites (localities). 

As  a  result,  tourist  guides  are  currently  limited  by  territorial  restrictions  as  they  are  only 
allowed  to  provide  services  in  the  county  where  they  have  passed  the  professional  exams. 
Given  that  national  tourist  guides  are  disadvantaged  in  relation  to  providers  from  other 
Member States who can provide tourist guide services occasionally or temporarily anywhere 
in the territory of Croatia, it has been announced that the relevant act should be amended in 
order to abolish those territorial restrictions. 

There is no continuous professional development obligation for this profession. 

As  regards  potential  company  forms  the  legislation  is  quite  flexible:  activities  of  tourist 
guides might be  carried out  by sole professionals, or  by a company (tourist agency).  In the 
latter case the agency needs to be insured, but not the individual professional. 

32 

 
 
 
   CYPRUS     
___________________________ 

I. 

Overview 

On  1  November  2016  Cyprus  had  submitted  information  about  114  regulated  professions. 
Among those professions, 16,7% concern business services, 4,4% the construction sector and 
0,4% the real estate sector.  

According to a recent EU wide survey24, 19% of Cyprus’ labour force can be considered as 
working in regulated professions. This is lower than the EU average (21%). 

As  indicated  in  chart  1,  for  accounting,  legal  and  architectural  activities  business  churn  (or 
turnover)  rate25 is  lower  in  Cyprus  than  in  the  EU  on  average  as  well  as  compared  to  the 
average  for  the  total  Cypriot  economy.  This  may  be  interpreted  as  an  indication  of  the 
relatively  low  dynamism  and  competition  within  regulated  professions  present  in  these 
sectors in Cyprus.  

Chart 1: Business churn rate in selected occupations, Cyprus and the EU, 2013-14 (%) 

Cyprus was not active in the mutual evaluation exercise. On 10 October 2016, it had 
submitted 70% of the general information regarding its regulated professions, but has only 
provided 15% of the proportionality assessment of the rules regulating professions. On the 
other hand Cyprus has been subjected to an MoU by the troika, and a review and opening of 
their regulated professions has been on the agenda for a number of years, with varying 
success.    

Cyprus has not submitted any national action plan.  

24 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
25 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

33 

 
 
   
 
                                                            
II. 

Situation concerning the analysed professions  

The level of restrictiveness is higher in Cyprus compared to the EU weighted average for the 
professions of tourist guide, real estate agent, patent agent and civil engineers and to a lesser 
extent for lawyer and architect. Amongst the professions analysed, restrictiveness is highest 
for lawyers and patent agents.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Cyprus and the EU  

Source: European Commission services 

Architects 

Cyprus regulates the profession of architect by way of reserve of activities and protection of 
title. The reserves of activities to architects and their nature as exclusive or shared ones derive 
from a number of legal provisions which include those dealing with construction and similar 
requirements. A number of activities are shared with other engineers while architects have the 
exclusive  right  to  sign  plans  to  be  submitted  to  the  authorities  for  the  issuance  of  building 
permits and to the extent they relate to architectural work. 

Access to the profession is open to persons with (a) a 4 years of University (or equivalent) 
studies, or 6 years' University (or equivalent) studies, 3 years of which should be full-time, 
and (b) a post-diploma 1-year practical training in architecture. Registration to the Technical 
Chamber of Cyprus is also necessary.  

Architects  may  form  general  and  limited  liability  partnerships,  and  private  limited  liability 
companies.  Public  limited  liability  companies  and  other  company  forms  are  not  allowed. 
Shareholding of these companies should be held in their entirety by members of the Chamber 
of  Engineers  (ETEK).  Recently  a  new  law  allowed  for  natural  and  legal  persons  already 
legally  established  in  another  Member  State  to  be  able  to  become  shareholders  in  Cypriot 
companies just by proving that they are legally established in their Member State of origin, 
without  imposing  any  condition  for  registration  with  ETEK.  The  new  law  also  allowed  for 
legal persons already established in another Member State to establish in Cyprus by setting 
up a branch or an agency, with no shareholding requirements imposed based on the Cypriot 
law.  

34 

 
 
 
Cyprus  provides  for  a  specific  regime  of  qualifications  and  registration  for  professionals 
(including  architects)  and  companies  allowed  to  undertake  public  works'  contracts.  Public 
works  are  classified  in  categories  on  the  basis  of  a  number  of  criteria.  In  parallel,  both 
professionals  and  companies  are  put  in  corresponding  categories  which  allows  them  to 
undertake relevant works. 

Civil engineers 

Cyprus  regulates  the  profession  of  civil  engineering  by  way  of  reserve  of  activities  and 
protection of title. The reserves of activities to civil engineers and their nature as exclusive or 
shared  ones  derive  from  a  number  of  legal  provisions  which  include  those  dealing  with 
construction and similar requirements. A number of activities are shared with other engineers 
and  architects.  All  plans  that  are  submitted  to  the  authorities  for  the  issuance  of  a  building 
permit and relate to civil engineering work need to be submitted and signed exclusively by a 
licenced civil engineer.  

Access to the profession is open to persons holding (a) a University diploma (or equivalent) 
which  should  allow  the  holder  to  exercise  the  profession  in  the  country  delivering  the 
diploma, and after (b) completion of a 1-year post-diploma practical training. Registration to 
the Technical Chamber of Cyprus is also necessary.  

Engineers  may  form  general  and  limited  liability  partnerships,  and  private  limited  liability 
companies.  Public  limited  liability  companies  and  other  company  forms  are  not  allowed. 
Shareholding of these companies should be held in their entirety by members of the Chamber 
of  Engineers  (ETEK).  Recently  a  new  law  allowed  for  natural  and  legal  persons  already 
legally  established  in  another  Member  State  to  be  able  to  become  shareholders  in  Cypriot 
companies just by proving that they are legally established in their Member State of origin, 
without  imposing  any  condition  for  registration  with  ETEK.  The  new  law  also  allowed  for 
legal persons already established in another Member State to establish in Cyprus by setting 
up a branch or an agency, with no shareholding requirements imposed based on the Cypriot 
law. 

Cyprus  provides  for  a  specific  regime  of  qualifications  and  registration  for  professionals 
(including  civil  engineers)  and  companies  allowed  to  undertake  public  works'  contracts. 
Public works are classified in categories on the basis of a number of criteria. In parallel, both 
professionals  and  companies  are  put  in  corresponding  categories  which  allows  them  to 
undertake relevant works. 

Accountants 

Cyprus regulates the profession  of Certified Public Accountant and Registered Auditor.  On 
the contrary, it does not appear that the profession of Accountant is regulated.  

Membership  of  Accountants  with  ICPAC  (the  Institute  of  Certified  Public  Accountants  of 
Cyprus) does not appear to be obligatory for the exercise of the profession of accountant (as 
opposed  to  registered  auditors).  Nonetheless,  the  practical  effect  of  the  conditions  for,  the 
effects  and  the  consequences  of  the  award  of  the  title  "Certified  Public  Accountant"  by 
ICPAC to its members needs to be better understood.  

No  restrictions  have  been  identified  on  corporate  forms,  shareholdings/voting  rights  or 
regarding the joint exercise of professions. 

35 

 
 
 
 
Lawyers 

The  legal  profession  is  regulated  by  way  of  a  protected  title  and  a  number  of  reserves  of 
activities,  some  of  which  are  exclusive  and  the  others  are  shared.  Representing  clients  in 
court and the provision of legal advice are the most prominent reserved ones.  

The  education  requirement  is  4  years  of  legal  training  and  a  supervised  traineeship  of  
18 months. A state exam needs to be passed before appointment.  

Lawyers have to register with the Bar Association to get an authorisation to practice, and they 
also have to demonstrate a clean criminal record and take an oath. There is also a "habitual 
residence" requirement, established in the law. The habitual residence requirement does not 
however seem to cover EU lawyers which are established in Cyprus under their home country 
title. There is no obligation to collect continuous professional development points per year.  

Lawyers  can  either  work  independently,  as  sole  practitioners,  in  a  partnership  with  other 
lawyers  or  in  law  firms.  Law  firms  may  choose  between  a  number  of  legal  forms,  namely 
partnerships, limited partnerships, and private limited companies. All partners or shareholders 
of law firms have to be lawyers and any transfer of shares in a limited company need to be 
communicated  and  approved  by  the  Bar.  Partnerships  and  limited  partnerships  of  lawyers 
may be shareholders in a law firm which has the form of a private limited company. 

Cypriot  law  contains  an  obligation  for  lawyers  to  have  professional  liability  insurance,  the 
minimum level and conditions of which are set by decision of the Bar.  

Patent agents 

The  profession  of  patent  agent  is  not  regulated  in  Cyprus.  However,  the  law  on  lawyers 
reserves  the  submission  of  patents  and  trademarks  to  lawyers  who  also  have  the  right  to 
provide  legal  advice,  including  on  issues  relating  to  patents  and  trade  mark  law.  In  that 
respect,  the  conditions  for  accessing  and  for  exercising  the  activities  which  correspond  to 
those  of  a  patent  agent,  are  those  that  apply  to  lawyers.  The  assessment  therefore  of  the 
regulatory regime applicable to patent agents should be the one applicable to lawyers.  

Real estate agents 

The  profession  of  real  estate  agent  is  a  regulated  profession.  A  licence  is  required  and 
regulation takes the form of a protection of title and, in some way, of reserved activities. In 
essence, while  the involvement of  a real estate agent is  not necessary for the conclusion of 
real property transactions, if a professional is involved in a real estate transaction, it has to be 
a licensed real estate agent. In addition, all contracts for the provision of real estate agency 
services entered into by non-licenced agents are void. These specific activities of real estate 
agents do not appear to be shared with other professions. 

Obtaining a licence is dependent upon specific qualifications and training which amount to a 
minimum of 4 years. Training needs to be of a post-secondary nature of a period of at least 3 
years  at  a  University  or  equivalent  level  and  should  be  on  issues  having  a  relevance  to  the 
profession. Subsequent professional training of 12 months is also required and takes the form 
of work as assistant real estate agent.     

Legal persons can offer real estate services and they need to be licensed. The law provides 
that  the  legal  persons  may  take  the  form  of  general  partnerships,  limited  partnerships  and 
SRLs  while  limited  company  by  shares  are  not  included  in  that  list.  There  are  no  specific 
shareholding requirements but the legal persons need to employ a licenced real estate agent as 
the  person  responsible  to  ensure  compliance  with  professional  obligations  (that  person  is 
described as Director in the relevant licence application form).  

36 

 
 
Tourist guides 

Tourist guides are a regulated profession. The exercise of the profession without a licence is a 
criminal  offence  (a  register  of  licensed  tourist  guide  is  kept  at  the  Cyprus  tourist 
Organisation). Tourist guides need to have a diploma of a tourist Guide school (or equivalent) 
or to have exercised the profession in another Member State; knowledge of Cyprian history, 
art,  archaeological  and  historic  places,  the  natural  environment  and  the  current  affairs  of 
Cyprus; a very good knowledge of Greek and at least of another foreign language. 

Tourist  guides  enjoy  exclusive  activities.  Tourist  Offices  may  not  employ  non-registered 
tourist  guides  for  excursions,  sightseeing  tours  or  simply  customer  guiding.  In  addition, 
Tourist  Offices  are  obliged  to  place  a  licenced  tourist  guide  to  each  sightseeing  tour,  with 
some exceptions (e.g., tours which do not comprise archaeological sites, museums, etc., and 
walking, cycling, motorbike and riding tours).  

37 

 
 
 
   CZECH REPULIC   
_______________________ 

I. 

Overview 

On  1  November  2016  the  Czech  Republic  had  submitted  information  about  366  regulated 
professions.  Among  those  professions,  18,6%  concern  business  services,  5,2%  the 
construction sector and 0,3% the real estate sector.  

According to a recent EU wide survey26, 25% of the Czech labour force can be considered as 
working in regulated professions. This is slightly higher than the EU average (21%). 

As indicated in chart 1, for accounting, legal, architectural and travel agency related activities 
business churn (or turnover) rate27 is lower in the Czech Republic than in the EU on average 
as well as compared to the average for the total Czech economy. This may be interpreted as 
an  indication  of  the  relatively  low  dynamism  and  competition  within  regulated  professions 
present in these sectors in the Czech Republic. 

Chart 1: Business churn rate in selected occupations, Czech Republic and the EU, 2013-14 (%) 

The Czech Republic has been participating very actively in the mutual evaluation exercise. 
On 10 October 2016, the Czech Republic has submitted almost all of the general information 
on  different  regulated  professions  and  all  professions  have  been  assessed  as  to  the 
proportionality of their regulation.  

In  its  national  action  plan,  the  Czech  Republic  presents  an  overview  of  the  regulatory 
framework of the regulated professions, but only announces changes for a limited number of 
professions.  In  most  cases  reforms  have  been  designed  to  reduce  the  overall  administrative 
burden. 

26 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
27 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

38 

 
 
 
 
                                                            
The  Czech  Republic  also  announces  the  forthcoming  regulation  of  additional  professions, 
such as tourist guides and real estate agents. 

II. 

Situation concerning the analysed professions  

The  level  of  restrictiveness  is  higher  in  the  Czech  Republic  compared  to  the  EU  weighted 
average  for  the  professions  of  architect,  civil  engineer  and  lawyer.  It  is  lower  than  the  EU 
average  for  the  professions  of  accountant  and  patent  agent.  Amongst  the  professions 
analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Czech Republic and the EU  

Source: European Commission services 

Architects/Engineers 

Both professions are regulated by reserved activities and protected title.  

The activities, reserved to chartered architects are described as follows: preparation of land-
use  planning  documents  including  land-use  planning  data documents,  preparation of  design 
documents  of  buildings,  preparation  of  design  documents  of  garden  and  landscape 
arrangement  and  treatment  including  relevant  land-use  planning  data  documents  and  a 
relevant  parts  of  land-use  planning  documents,  participation  in  preparation  of  design 
documents of engineering structures, conduct of building and architectural or urban surveys, 
issuance  of  expert  statements,  preparation  of  documents  and  opinions  for  partial 
environmental impact assessment of a building, preparation of design documents for interior 
decoration  of  buildings,  execution  of  supervision  of  building  implementation,  management 
and  implementation  of  a  simple  building,  conduct  of  geodesic  measuring  for  designing 
activity  and  alignment  works,  acting  on  behalf  of  a  developer,  performance  of  professional 
functions  in  the  sections  of  land-use  planning  or  Building  Code  at  state  administration 
authorities.  

While  architectural  design  and  planning  is  only  shared  with  engineers,  the  rest  of  the 
activities is shared with both engineers and chartered technicians. 

39 

 
 
 
Chartered  engineers  are  entitled,  within  scope  of  granted  authorisation,  to  pursue  following 
activities:  to prepare project documentation of constructions (including appropriate territorial 
planning  supporting  documentation)  excluding  ground  constructions  (determined  as 
important  from  the  architectural  or  urbanism  point  of  view,  this  exception  shall  not  have 
effect  on  conclusion  of  binding  relations  according  to  generally  valid  legal  regulations;  to 
take  part  in  preparation  of  project  documentation  for  ground  constructions  determined  as 
important from the architectural or urbanism point of view and which is being prepared by a 
chartered architect, to prepare supporting documentation for territorial planning and relevant 
parts of the territorial planning documentation, to perform statics and dynamics calculations 
of  structures,  to  perform  building-technical  or  engineering  surveys,  to  perform  testing  and 
diagnostics  of  structures,  unless  stated  otherwise  in  a  special  regulation,  to  issue  expert 
opinions;  to  process  documentation  and  reviews,  for  partial  impact  assessment  of  the 
construction on the environment and also for the purposes of proceeding before state bodies, 
to  manage  implementation  of  construction  on  the  construction  site,  to  conduct  of  geodesic 
measuring  for  designing  activity  and  alignment  works,  unless  stated  otherwise  by  a  special 
regulation,  to  provide  author  or  technical  supervision  over  the  implementation  of  a 
construction,  to  act  on  behalf  a  builder  before  administrative  proceedings,  to  pursue 
professional functions in the area of territorial planning or construction code in the bodies of 
state administration, unless stated otherwise by a special regulation.  

In terms of qualification for architects 5 years of education (Master's degree) and 3 years of 
mandatory practice are required (8 years in total).  

To  qualify  as  a  chartered  engineer  4  years’  Bachelor’s  degree  with  5  years’  mandatory 
practice or Master's degree with 3 years of mandatory practice are required.  

For  both  professions  there  is  a  general  obligation  to  follow  continuous  professional 
development courses.  

Membership  is  compulsory  in  the  two  professional  chambers  monitoring  professional 
practice,  namely  the  Czech  Chamber  of  Architects  (CKA)  and  the  Czech  Chamber  of 
Chartered  Engineers  and  Technicians  Active  in  Construction  (CKAIT).  As  regards 
incompatibility, there is a general obligation to avoid conflict of interests. 

It appears that for both professions there are certain restrictions on the corporate form/type of 
entity  to  be  used  to  exercise  related  activities,  as  well  as  shareholding  requirements. 
According  to  the  relevant  provisions  regulating  legal  form  (Act.  no.  360/1992  Coll.) 
authorised persons (i.e. certified architects, certified engineers and certified  technicians) are 
allowed to carry out their activities in a limited liability company, where authorised persons 
shall  represent  majority  both  among  partners  and  executives  in  such  a  company;  should  a 
concerned  company  have  only  one  partner  or  executive,  he/she  shall  be  only  an  authorised 
person. 

Professional  indemnity  insurance  is  mandatory  for  both  architects  and  engineers.  No  other 
authorisation requirements have been reported. 

Accountants 

The  Czech  Republic  regulates  two  professions  in  the  sector  by  way  of  reserved  activities: 
daňový poradce (tax adviser) and Činnost účetních poradců, vedení účetnictví, vedení daňové 
evidence (accountant). 

The  scope  of  the  reserved  activities  for  tax  advisers  is  defined  as  follows:  providing  legal 
assistance and economic advice in financial matters, taxes, levies, fees and other payments, as 
well  as  in  matters  directly  related  to  taxes  (especially  the  processing  of  tax  returns  and 

40 

 
 
representation before tax authorities, if necessary). Tax advisers may also represent clients in 
judicial proceedings in tax matters and prepare opinions. 

While representation and assistance before  tax authorities as well as representation in  court 
and  tax  advice  are  shared  with  lawyers,  payroll  activities,  book-keeping  and  drawing  up 
annual  financial  statements  and  consolidated  financial  statements  are  shared  with 
accountants.   

Accountants  provide  advice  concerning  bookkeeping  and  tax  accounting;  prepare  financial 
statements  and  consolidated  financial  statements,  annual  reports  and  consolidated  annual 
reports. 

The activity is regulated when exercised in  a self-employed capacity or as  a company. The 
legal  entities  must  appoint  a  person  who  meets  the  qualification  requirements.  For  salaried 
employees, qualification is not required. 

Whereas  for  a  tax  adviser  there  is  a  qualification  requirement  of  3  years  of  university 
education and a state exam, the training for accountants takes approximately 5 years (general 
secondary education with a school-leaving examination and 5 years' professional experience, 
accredited requalification course and 5 years' professional experience or university education 
and 3 years' professional experience). 

For the profession of tax advisers registration in a chamber is  compulsory  and professional 
liability insurance is mandatory. No such conditions exist for accountants. 

Additional requirements have not been reported. 

Lawyers 

The legal profession of advocate is regulated by way of reserved activities and protected title.  

The core of the activities, reserved to the legal profession, consist in representing clients in 
criminal  cases,  in  proceedings  before  Constitutional  Court,  the  Supreme  Court  and  the 
Supreme  Administrative  Court.  However,  the  Czech  Republic  also  indicates  as  reserved 
activities  the  following:  drawing  up  legal  documents  (shared  with  patent  attorneys),  legal 
advice - including in tax matters and representation before administrative authorities (shared 
with patent attorney and tax adviser) and other forms of legal aid where these are provided on 
a  permanent  basis  and  for  a  fee  (e.g.  public  procurement  administration).  It  is  however 
unclear whether general legal advice is reserved to lawyers. 

The qualification required to practise the profession is a University degree in law, followed 
by a professional training for a minimum of three years and a Bar examination. 

Advocates must be registered with the Czech Bar Association. An advocate may practise the 
legal  profession  as  a  sole  practitioner  or  jointly  with  other  lawyers  as  a  member  of  a 
consortium, or a member of a company. Salaried practice is also allowed. The incompatibility 
rule appears to be wide: according to the law, a lawyer may not "have another profession nor 
conduct  any  other  activity  incompatible  with  the  profession  of  a  lawyer".  Multidisciplinary 
restrictions are also foreseen, since lawyers cannot team-up with other professions within the 
same company. Only lawyers may hold shares in law firms. 

Professional liability insurance is compulsory. 

The National Action Plan indicates that it was examined whether the requirements under the 
Czech  national  legal  system  are  non-discriminatory  on  the  basis  of  nationality  or  residence 
and  proportionate.  The  conclusion  was  that  all  requirements  under  the  Czech  legal  system 
should be maintained. 

41 

 
 
Patent agents 

The profession is regulated by way of reserved activities. 

All  activities,  reserved  to  patent  agents,  namely:  providing  expert  advice  to  natural  persons 
and legal entities in matters relating to industrial property, representation before public bodies 
and  in  proceedings  before  courts,  as  well  as  other  services  related  with  protection  of 
industrial property, are shared with lawyers.  

The qualification requirement includes a bachelor's degree with at least 3 years’ professional 
experience  in  the  field  of  intellectual  property.  In  addition,  the  candidate  has  to  pass  a 
professional  examination  at  the  Industrial  Property  Office  and  register  to  the  Chamber  of 
Patent Attorneys. 

Professional  indemnity  insurance  is  compulsory.  Additional  requirements,  restricting  the 
access to the profession have not been identified. 

The  National  Action  Plan  indicates  that  following  the  assessment  within  the  transparency 
exercise for regulated profession of patent attorney, the competent authorities concluded that 
the regulation and qualification requirements are non-discriminatory and proportional and the 
current system should be maintained. 

Real estate agents 

The profession is not regulated. Real estate activities are considered as trade and applicants 
are  only  obliged  to  comply  with  the  general  rules  set  by  the  Trade  Licensing  Act  (legal 
capacity and integrity/good repute).  

The Association  of Real Estate Offices  has a system of self-regulation and  in order to  be a 
member one must obtain a certificate according to ISO and CEN standard. 

However,  the  Czech  national  action  plan  announced  the  upcoming  regulation  of  the 
profession  to  ensure  a  higher  level  of  consumer  protection.  The  Czech  Republic  considers 
that  the  absence  of  regulation  for  this  profession  has  led  to  unprofessionalism  and  unfair 
activities  which  harm  consumers  as  well  as  those  real  estate  agents  who  are  fair  and 
competent. The currently low degree of regulation is inadequate because it does not protect 
consumers from unprofessionalism and unfair and even criminal activities, and contributes to 
atmosphere  of  distrust  of  real  estate  agents.  This  opinion  also  corresponds  to  results  of  a 
survey,  according  to  which  both  consumers  and  real  estate  agents  themselves  ask  for 
regulation of this profession. According to a survey, 81% of the consumers and 76% of the 
real  estate  agents  think  that  it  is  necessary  to  set  up  rules  for  performing  the  real  estate 
activities.  

The new rules are expected to specify the conditions for pursuing the profession of real estate 
agent. The draft bill foresees the introduction of a mandatory professional qualification (for 
instance  completion  of  secondary  education  and  3  years  of  relevant  experience).  The  real 
estate agents will also need to be covered by mandatory liability insurance and be subject to 
some information obligations. There is an intention to create a publicly accessible electronic 
database of all natural persons having the required qualifications. 

The bill was submitted to the Government in August 2016. 

Tourist guides 

The  profession  is  no  longer  regulated  since  2008.  Previously,  national  rules  required  the 
possession of professional qualification and linguistic skills. Now to obtain the trade licence 

42 

 
 
for  tourist  guide,  the  applicant  only  needs  to  meet  general  conditions,  set  by  the  Trade 
Licensing Act (legal capacity and integrity/good repute).  

According  to  the  Czech  Republic,  the  liberalisation  of  the  profession  lead  to  a  number  of 
complaints  received  by  the  professional  association  from  consumers  related  to  poor  quality 
services being provided by persons who indicated to be tourist guides and that often a receipt 
on the provision of service has not been given to the consumers. The competent supervision 
authorities  claim  that  it  is  difficult  to  identify  unlawful  service  providers  as  there  can  be 
thousands of trade licence holders.  

The authorities stress that the liberalisation had negative impact on the number of issued trade 
licences,  whereas  at  the  same  time  the  illegal  business  in  the  provision  of  tourist  guide 
services increased and the service quality and competitiveness of tourist guides declined. 

The Ministry of Regional Development cooperates with the selected professional associations 
in tourism, one of them being the Czech Tourist Guide Association. The Ministry of Regional 
Development is currently preparing new legislation in order to regulate the profession, most 
probably by way of "protected title". 

43 

 
 
 
   DENMARK   
_______________________ 

I. 

Overview 

On 1 November 2016 Denmark had submitted information about 161 regulated professions. 
Among  those  professions,  14,9%  concern  business  services,  11,2%  the  construction  sector 
and 0,6% the real estate sector.  

According to a recent  EU wide survey28, 14%  of Danish  labour  force  can be  considered as 
working in regulated professions. This is lower than the EU average (21%). 

As indicated in chart 1, for all the professions selected, business churn (or turnover) rate29 is 
higher in Denmark than in the EU on average. This may be interpreted as an indication of the 
relatively  high  dynamism  and  competition  within  regulated  professions  present  in  these 
sectors in Denmark.  

Chart 1: Business churn rate in selected occupations, Denmark and the EU, 2013-14 (%) 

Denmark has actively participated in the mutual  evaluation  exercise. It has setup an inter-
ministerial  taskforce  in  charge  of  reviewing  all  regulated  professions  and  come  with 
proposals  for  simplifying  complex  regulation  or  removing  them  where  unnecessary.  On  
6 October 2016, Denmark still needed to submit 3 general information on different regulated 
professions and 2 professions still need to be assessed as to their proportionality.  

In  its  national  action  plan,  Denmark  announces  changes  affecting  about  40  regulated 
professions. These changes vary in their scope and likely impact. They cover the following 
types of measures: abolishment of the scheme, change of rules and requirements, change in 

28 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
29 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

44 

 
 
 
 
 
                                                            
reserved  activities,  change  of  administration,  further  digitalisation,  simplified  guidance, 
modernisation, merger of schemes and further regulation. 

II. 

Situation concerning the analysed professions  

The  level  of  restrictiveness  is  lower  in  Denmark  compared  to  the  EU  weighted  average 
except  for  the  profession  of  real  estate  agent  where  the  opposite  is  true.  Amongst  the 
professions analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Denmark and the EU  

Source: European Commission services 

Architects 

The profession of architect is not regulated in Denmark.  

There  is  a  5-years  post-secondary  education  programme  with  no  mandatory  traineeship. 
Voluntary  2-years  post-graduate  training  programmes  exist.  Professionals  have  to  follow 
continuous  professional  development  programmes  on  a  regular  basis.  10%  of  architects' 
salary  is  set  aside  by  employers  to  provide  for  this  continuous  training.  The  Danish 
legislation  on  building  imposes  on  the  professionals  that  build  a  new  construction  to  be 
covered by decennial professional indemnity insurance. 

The Danish Building Act regulates much of the construction process in terms of safety and 
standards  criteria  and  it  is  the  municipal  authorities  that  exercise  oversight  of  this,  largely 
through the building permit application process. On the basis of the building Act, the Danish 
building  regulation  regulates  the  administrative  provisions  for  the  application  process  of 
building permit and contains functional requirements that must be fulfilled when constructing 
buildings (e.g. design, fire safety, energy consumption). In addition architects may operate by 
agreeing  a  'description  of  services'  with  clients,  legally  obliging  them  to  deliver  upon  as 
agreed.  The  wider  community  is  actively  engaged  on  planning  applications.  Ultimate 
responsibility  rests  upon  building  owners  who  need  to  ensure  that  his  building  is  in 
accordance  with  the  building  regulations.  They  may  as  appropriate  seek  civil  redress  from 
any construction project participants seen to be at fault. Checking/ensuring health and safety 

45 

 
 
 
on constructions sites is the function of “health and safety coordinators”. Energy Performance 
checks  are  conducted  by  verified  practitioners.  For  building  of  a  “high  consequence  class” 
(schools, shopping malls, etc.), a structural engineer needs to be hired to certify the quality of 
the  construction  when  submitting  the  building  permit.  Also  fully  qualified  architects, 
engineers  and  construction  engineers  are  typically  employed  as  building  inspectors  in 
municipalities. Denmark reports its overall satisfaction with its system and its safety record, 
pointing out that there is 'no penal history'. 

Civil engineer 

The profession of civil engineer (Anerkendt statiker) is regulated by reserves of activity and 
protected title.  

More  than  99%  of  all  civil  engineers  perform  their  profession  without  any  certification. 
However  less  than  100  civil  engineers  are  certified  as  structural  engineers.  The  Danish 
Building  Regulation  requires  the  involvement  of  a  certified  structural  engineer  in  the 
structural design or in the checking process of the structural calculations when a building is 
categorised as high consequence class (CC3), according to Eurocode 0. 

The activity of preparing or  assuring the quality of calculations related to  construction of a 
certain size and complexity, where the consequences of collapse could be particularly large  
is reserved to civil engineers. A 5 years degree is required (several paths exist to obtain the 
qualification.  Master  of  Science  in  Engineering  (M.Sc.(Eng.)),  Bachelor  of  Science  in 
Engineering with honours (B.Sc.Eng. (Hons.)) or Bachelor of Science in Engineering (BSc. 
(Eng.)).  The  certifying  body  must  give  applicants  who  do  not  have  any  of  the  above 
qualifications the opportunity to take a test or examination to ascertain whether they have the 
requisite  professional  expertise.  Besides  the  required  degree,  access  to  the  profession  is 
granted  after  the  completion  of  a  3  years  mandatory  training  (i.e.  having  worked  at  least  3 
years on static calculations). 

Accountants 

The  profession  of  accountant  is  not  regulated in  Denmark.  Only  the  profession  of statutory 
auditor (Statsautoriseret revisor) is regulated with reserved activities. 

Lawyers 

The profession of lawyer (Advokat) is regulated by reserves of activity.   

Lawyers  have  an  exclusive  right  to  conduct  legal  proceedings  for  others.  This  includes 
representing  clients  before  the  courts,  acting  as  administrator  concerning  deceased  persons, 
estate  and  acting  as  administrator concerning division  of matrimonial  property.  A  5-  years 
university degree combined with a 3-years mandatory training as solicitor’s clerk is required. 
The passing of state exam is also necessary. Registration with the Danish Bar association is 
mandatory for every lawyer in Denmark. Lawyers should also take part in continuous 

 professional development. Restrictions apply to the corporate forms lawyers companies may 
take,  non-lawyer  may  not  possess  more  than  10%  of  the  capital  and  the  voting  rights  of  a 
lawyer  company  and lawyers  may  not  be  associated  with  non-lawyers. All  lawyers need  to 
have professional indemnity insurance coverage.  

In 2008, the rules on the monopoly of lawyers to appear before a court were amended: other 
persons than lawyers were granted competence to appear before the court in cases concerning 
claims  smaller  than  DKK  50.000,  in  cases  concerning  payment  orders  which  meet  certain 
requirements  and  in  cases  concerning  enforcement  of  orders  in  the  bailiff’s  court.  In  its 

46 

 
 
national  action  plan,  Denmark  has  announced  that  a  further  review  of  the  necessity  and 
proportionality  of  the  regulation  in  place  was  ongoing  following  Danish’s  governmental 
competitiveness policy programme in 2012. The review is still ongoing and it is expected that 
it will be completed in the beginning of 2017. 

Patent agents  

The profession of patent agent is not regulated in Denmark, no specific requirements exist. 

Real estate agents 

The profession of real estate agent (Ejendomsmægler) is regulated by reserved activities and 
protected title.  

Activities of property selling acting as an intermediary are reserved to registered real estate 
agents  who  bear  the  responsibility  for  the  transaction  and  are  mandatory  by  law  for  every 
property sale. The agents are also responsible for arrangement of valuation of real estate to 
consumers. A lawyer who is registered as a real estate intermediary can also be appointed as 
such. In order to qualify as real estate agent, several possibilities exist but on average specific 
education  lasts  3  years  completed  by  2  years  of  work  experience.  There  are  also  multiple 
ways to obtain a required qualification. Real estate agents have to be registered in the public 
register  of  approved  real  estate  agents  managed  by  the  Danish  Business  Authority.  The 
Disciplinary  Board  handles  complaints  and imposes  penalties  against  real  estate  agents  and 
agencies. 

Real estate agents who conduct their activities conducted from a physical place may not be 
associated with other professionals with the exception of lawyers. Real estate agents are not 
allowed to represent both parties in a transaction nor be involved in the financing of the real 
estate  purchased.  Registered  real  estate  agents  have  to  be  covered  by  professional  liability 
insurance.  

Besides  the  sector  specific  regulation,  consumers  are  protected  through  several  horizontal 
legislations  such  as:  the  law  on  consumer  protection  in  the  acquisition  of  real  estate,  the 
contract law or the consumer law.  

The  regulation  was  recently  revised  and  the  new  law,  which  entered  into  force  in  January 
2015, has removed the activity of buyer-counselling from the list of activities reserved to real 
estate  agents.  In  its  national  action  plan,  the  Danish  authorities  have  explained  that  they 
hoped that this reform would lead to further development and growth in the market for real 
estate. Denmark also refers to an ongoing review of the requirements in place and the scope 
of reserved activities.   

Tourist guides 

The profession of tourist guides is not regulated in Denmark.  

There  are  no  legal  requirements  for  access  to  exercise  the  profession,  to  hold  a  particular 
qualification or educational or professional qualification. A tourist guide diploma program is 
offered  by  a  Danish  university,  which  provides  future  tourist  guides  with  the  necessary 
knowledge and competences to exercise the activity of tourist guide.  

Consumers  are  protected  through  the  existence  of  the  Danish  Consumer  Complaints  Board 
(DA-Forbrugerklagenævnet) under the Danish Competition and Consumer Authority. 

47 

 
 
 
 
   ESTONIA   
_______________________ 

I. 

Overview 

On  1  November  2016  Estonia  had  submitted  information  about  98  regulated  professions. 
Among  those  professions,  12,2%  concern  business  services,  15,3%  the  construction  sector 
and 1% the real estate sector.  

According to a recent EU wide survey30, 19% of Estonian labour force can be considered as 
working in regulated professions. This is lower than the EU average (21%). 

As indicated in chart 1, for architectural and travel agency related activities, business churn 
(or turnover) rate31 is lower in Estonia than in the EU on average. This may be interpreted as 
an  indication  of  the  relatively  low  dynamism  and  competition  within  regulated  professions 
present in these sectors in Estonia. For the other professions the churn rates are similar to the 
EU average or higher in the case of construction activities. 

Chart 1: Business churn rate in selected occupations, Estonia and the EU, 2013-14 (%) 

Estonia has been actively participating in the mutual  evaluation exercise and has provided 
the  requested  information.  On  10  October  2016  Estonia  had  submitted  all  the  general 
information  regarding  its  different  regulated  professions  as  well  as  85%  of  the  assessments 
concerning the proportionality of the regulation of those professions.  

In  its  national  action  plan,  Estonia  explains  the  internal  processes  for  carrying  out  the 
transparency exercise and presents an overview of the regulatory framework of the regulated 
professions per each economic sector stating no need for reforms. At the same time, Estonia 
states  that  the  original  reasons  for  a  particular  regulation  might  no  longer  apply  and  that 
regulation could probably be reduced further. 

30 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
31 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

48 

 
 
 
 
                                                            
II. 

Situation concerning the analysed professions  

While  the  reported  number  of  regulated  professions  in  Estonia  is  relatively  low,  there  is  a 
tendency to regulate rather the education and training or particular professional activities than 
the  profession  as  such.  A  voluntary  certification  scheme  is  being  run  by  the  Estonian 
Qualifications  Authority,  who  sets  up  professional  standards  using  EQF  levels.  These 
professional  standards  are  used  not  only  for  developing  curricula  in  formal  education  and 
training,  but  they  also  serve  as  the  basis  for  issuing  professional  certificates  in  various 
sectors,  including  in  the  construction  sector.  Generally  professional  certificates  are  not 
mandatory (i.e., not a pre-condition for working), however sometimes the legislation provides 
for the mandatory requirement of a professional certificate. In view of this, there is a growing 
concern  that  professional  certificates  might  become  increasingly  used  as  mandatory 
qualification requirements in certain sectors (such as construction) thus potentially becoming 
a barrier to access the market. 

The level of restrictiveness is lower in Estonia compared to the EU weighted average except 
for  the  profession  of  patent  agent  where  it  is  higher.  Amongst  the  professions  analysed, 
restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Estonia and the EU  

Source: European Commission services 

Architects/Engineers 

The  professions  of  architect  and  of  civil  engineer  are  not  regulated  as  such.  However,  for 
certain  modes  of  pursuit  of  the  professional  activities  there  is  a  requirement  to  have  a 
professional  certificate  (i.e.  a  certificate  at  a  certain  level  issued  by  the  Qualifications 
Authority).  

According  to  Estonia,  in  response  to  the  perceived  low  quality  of  the  workforce,  there  is  a 
recent  trend  in  the construction legislation  to  make  professional  certification  mandatory  for 
certain professional activities (more specifically, for a so-called “competent person” ("pädev 
isik")).  The  competent  person  performs,  scrutinises  or  manages  work  independently  in  an 
area  of  activity  related  to  his  or  her  competence  and  assumes  responsibility  for  such  work, 

49 

 
 
 
submits  technical  opinions  in  his  or  her  own  name  or,  when  acting  in  the  interests  of  an 
undertaking, in the name of the undertaking, and, where necessary, arranges the allocation of 
resources and organises the work of others. 

According to the Building Code of 2015, any company that wishes to undertake activities in 
the  fields  of  construction,  design,  building  surveys,  energy  audits,  owner  supervision, 
consultancy on building projects and buildings, and issuing energy certificates must register 
in the Register of Economic Activities and name a "pädev isik" for that particular field. There 
are,  therefore,  qualification  requirements  for  such  specialists  in  charge,  while  other 
employees do not need to comply with this requirement. Registration as "pädev isik" is also 
applicable to self-employed professionals. 

The  Regulation  No 108  of  the  Minister  of  Economic  Affairs  and  Infrastructure  dated  3 
August  2015  sets  out  detailed  breakdown  of  occupations  in  the  field  of  construction  that 
require proof of qualifications. To a certain extent various construction activities are shared 
with  one  or  more  related  professions,  while  for certain  specific  activities  "pädev  isik"  must 
necessarily be qualified at a certain pre-defined level.  

For instance, only architects can be "pädev isik" for the following activities: (i) drawing up of 
architectural component of construction project (excluding landscape architecture and interior 
design),  (ii)  auditing  of  compliance  of  architectural  component  of  building  with  the 
requirements  (level  8),  (iii)  expert  assessment  of  architectural  construction  project.  On  the 
other  hand,  qualifications  in  engineering  or  in  architecture  are  both  acceptable  to  pursue 
occupation of a competent person authorised to granting energy labels for new buildings. 

A  variety  of  required  qualification  levels  is  indicated  for  engineers  seeking  occupation  of 
"pädev  isik",  depending  on  the  specific  area  of  activity.  For  instance,  qualification  of 
construction engineer are required for the following activities: (i) building construction with a 
building permit, (ii) building project design, (iii) owner supervision, (iv) auditing of structural 
components and general construction, (v) expert assessment of construction  projects. In  the 
more specific areas, specialised qualifications are required (e.g., road engineer for road safety 
auditing or public road maintenance). 

The  Estonian  authorities  have  recently  indicated  that  they  are  planning  to  simplify  the 
structure foreseen under Regulation No 108, thereby making it less restrictive. 

The  Building  Code  also  refers  to  the  application  of  the  Recognition  of  Professional 
Qualifications Act in respect of mutual recognition of foreign professional qualifications and 
appears  to  provide  for  automatic  recognition  of  qualifications  listed  in  Annex  VI  of  the 
Directive  2005/36/EC.  However,  neither  the  Building  Code  nor  Recognition  of  the 
Professional  Qualifications  Act  appears  to  implement  automatic  recognition  rights  for 
architects listed in Annex V of Directive 2005/36/EC. 

The qualification requirements are set by reference to professional certificates obtained based 
on  various  levels  of  the  Estonian  Qualifications  System.  The  principle  is  that  the  level  of 
competence  can  be  reached  both  formally  (e.g.  Master's  for  level  7)  and  informally  (work 
experience + exam). 

For an architect performing a function of a " pädev isik" there is a requirement to have pre-
EQF  levels  architects  IV/  V  or  EQF  levels  for  authorised  architects  7  or  8  (i.e.,  at  least  a 
Master's  degree  or  an  equivalent).  Furthermore,  3  years  of  professional  experience  is 
required.  The  professionals  shall  submit  documents  for  assessment  by  the  Estonian 
Association of Architects and to participate in an interview.  

50 

 
 
For an engineer performing a function of "pädev isik" various combinations of qualifications 
are  acceptable.  For  instance,  for  an  engineer  certified  at  EQF  level  6  generally  ~6  years  of 
training is required: either bachelor's degree of 4 years and professional experience 2 years; 
or  4  years  professional  higher  education  and  2  years  professional  experience;  or  bachelor's 
degree of 3 years and professional experience 3 years. If the person has obtained his or her 
degree more than 5 years ago, there are supplementary training requirements. 

There is a need to renew the professional qualification every 5 years. For instance, to renew 
the  qualification  of  construction  engineer,  level  6  or  level  7,  the  person  must  have 
participated  in  80  hours  of  trainings,  for  level  8  –  100  hours  of  training.  To  renew  the 
qualification of architect (level 6) the person must have participated in 80 hours of trainings. 

Accountants 

The  profession  of  accountant  is  not  regulated  in  Estonia.  Only  the  profession  of 
sworn/internal auditor is regulated in this sector. 

Lawyers 

Estonia regulates the activities of "advokaat" (sworn advocate) by way of reserve of activities 
and  protection  of  the  title.  In  most  types  of  court  proceedings  only  sworn  advocates  are 
permitted to represent persons  in the Supreme  Court32. Along with  other professions sworn 
advocates  can  also  act  as  bankruptcy  trustees. 33 In  the  framework  of  provision  of  legal 
services to a client, sworn advocates also verify for the client transcripts of and signatures on 
documents  to  be  submitted  to  the  court  and  other  state  offices  (activity  shared  with,  e.g., 
notaries).  Legal  advice,  drawing  up  legal  documents  and  representation  in  administrative 
proceedings are not reserved to sworn advocates. 

Qualification requirements to become a sworn advocate consist of 5 years master's degree, 3 
years  of  professional  experience  and  an  exam  organised  by  the  Estonian  Bar  Association. 
There  are  several  ways  to  obtain  qualifications,  especially  as  regards  accepted  professional 
experience (e.g., experience as a clerk of a sworn advocate, as a judge, notary or prosecutor 
are  accepted).  Persons  with  doctorate  degree  are  exempt  from  professional  experience 
requirements,  while  judges  of  supreme  judicial  instances  (such  as  Supreme  Court  or 
European Court of Justice) are exempt from the Bar exam. 

Membership at the Bar Association is mandatory. A sworn advocate shall be at least 24 years 
old.  Every  five  years,  an  advocate  must  submit  a  report  on  the  continuous  trainings 
(approximately  10  hours  per  year  according  to  the  content  determined  by  the  Bar 
Association). 

The  allowed  corporate  forms  are:  a  general  partnership,  limited  partnership,  private  limited 
company, public limited company, and a sole proprietor. Only sworn advocates may be the 
shareholders (thus also controlling all voting rights). A sworn advocate may be a shareholder 
of only one company of advocates.  

There are also certain restrictions on the companies of advocates. Such company shall engage 
in  no other area  of activity than the provision of legal services and cannot  operate together 
with other types of companies (e.g. in the same rooms as the law office or generally together 
with a law office). 

32 In the courts of lower instances clerks of a sworn advocate ("half-qualified" lawyers who are also members of the Bar 
Association) and any other persons who have a Master's degree in law can also represent persons. 
33 Acting as a bankruptcy trustee is shared with: (1) persons who have passed a bankruptcy trustee exam and traineeship, (2) 
bailiffs who have a Master's degree in law and (3) sworn auditors. 

51 

 
 
                                                            
Restrictions on individual “advokaats” consist of a prohibition to work as a public official or 
to work as an employee in any other positions than a lawyer, except in a teaching or research 
capacity  or  as  an  employee  of  the  Bar  Association.  An  “advokaat”  must  inform  the  Bar 
Association if they participate in the management of a company and such participation must 
be  compatible  with  the  professional  activities  of  an  “advokaat”  and  requirements  for 
professional ethics and cannot compromise the lawyer's independence.  

Professional indemnity insurance is mandatory. The insurer must be a company which has an 
authorisation to engage in insurance activities in Estonia. There is a mutual recognition clause 
with  respect  to  associated  members  of  the  Bar  Association  (i.e.,  lawyers  qualified  in  other 
Member States who want to act as lawyers in Estonia without becoming full members of the 
Bar Association).34 

Patent agents 

The  profession  is  regulated  in  Estonia  by  way  of  reserve  of  activities  and  protected  title 
("patendivolinik").  

Reserve of activities includes representing persons in acts related to trade-marks and patents 
at the Patent Office and at the Industrial Property Board of Appeal. Patent attorneys are also 
competent  to  authenticate  translations  and  copies  of  documents  concerning  industrial 
property which are to be submitted to the authorities (activity that is shared with notaries and 
sworn  translators).  In  the  Supreme  Court,  patent  attorneys  can  only  represent  persons  in 
patent and trademark related cases in co-operation with a sworn advocate. In lower instances, 
patent attorneys may also represent persons in patent and trademark related cases but this is 
not an exclusively reserved activity (open to all persons with a Master's degree in law). 

Qualification requirements consist of a higher education degree (min. of 3 years), 4 years of 
professional  experience  and  a  mandatory  exam.  Up  to  two  years  of  work  experience  at  the 
Patent Office is also taken into account. Registration at the state register of patent attorneys is 
required. 

A  company  of  patent  attorneys  shall  not  provide  any  other  services  except  legal  services. 
There  is  also  a  requirement  of  professional  indemnity  insurance  (without  provisions  on 
mutual recognition or equivalence of insurance obtained abroad). 

Real estate agents 

The  profession  is  not  regulated  in  Estonia.  Instead  there  is  a  voluntary  certification  system 
run by the Estonian Qualifications Authority, which serves as a label of quality in the market. 

The only profession regulated in real estate sector is the profession of land appraiser. 

Tourist guides 

The profession is not regulated in Estonia. The tourist guides are subject to the Tourism Act 
that sets specific requirements for the provision of tourism services and to the consumer 
protection legislation, supervised by the Consumer Protection Authority. Estonia further 
notes that the transparency about the quality of services through the use internet and social 
media disciplines the service providers. 

34 The following requirements apply to the insurance: (1) the insurer shall be a company which has permission to engage in 
insurance  activities  in  Estonia;  (2)  the  insured  event  involves  direct  patrimonial  damage  caused  in  connection  with  the 
provision of legal services by the management of a law office or an advocate, regardless of the place of provision of legal 
services. Liability for intentional breach of official duties need not be insured; (3) the minimum amount of coverage min. 63 
910 euros; (4) in case the insurance contract has been concluded with a deductible, the insurer shall compensate for the full 
amount of the damage and claim the deductible from the policyholder. 

52 

 
 
                                                            
   FINLAND   
_______________________ 

I. 

Overview 

On  1  November  2016  Finland  had  submitted  information  about  141  regulated  professions. 
Among those professions, 11,3% concern business services, 2,1% the construction sector and 
0,7% the real estate sector.  

According  to  a  recent  EU  wide  survey35,  17%  of  Finish  labour  force  can  be  considered  as 
working in regulated professions. This is lower than the EU average (21%). 

As  indicated  in  chart  1,  for  all  the  professions  selected  with  the  exception  of  real  estate 
activities business churn (or turnover) rate36 is lower in Finland than in the EU on average. 
This  may  be  interpreted  as  an  indication  of  the  relatively  low  dynamism  and  competition 
within regulated professions present in these sectors in Finland.  

Chart 1: Business churn rate in selected occupations, Finland and the EU, 2013-14 (%) 

Finland has actively participated in the mutual evaluation exercise. On 10 October 2016, it 
still needed to submit general information on 7%, i.e. 5 different regulated professions. The 
assessment  of  the  proportionality  of  the  regulation  applying  to  these  professions  has  been 
completed for all professions.  

In  its  national  action  plan,  Finland  announces  very  limited  changes  to  the  regulation  in 
place.  Finland  indicates  its  ambition  to  review  the  regulation  of  professions  in  the  public 
sector  by  linking  them  to  competence  rather  than  qualification.  It  also  refers  to  plans  to 
introduce joint legislation for social and healthcare professionals. 

35 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
36 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

53 

 
 
 
 
                                                            
II. 

Situation concerning the analysed professions  

The level of restrictiveness is lower in Finland compared to the EU weighted average except 
for the profession of real estate agent where it is higher. Amongst the professions analysed, 
restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Finland and the EU  

Note: for the professions of patent agent and real estate agent the indicator for Finland measures the restrictiveness to carry the protected 
title  
Source: European Commission services 

Architects 

The profession of architect is not regulated in Finland. 

The party procuring a construction project (clients) bears the responsibility that the building 
is planned in compliance with the regulations and the permit granted. He needs to ensure that 
the  project  meets  all  requirements  and  is  responsible  for  hiring  the  services  of  competent 
staff.  The  architect  and  other  designers  are  in  a  private  law  relationship  with  their  client. 
Constructions  are  governed  by  the  Land  Use  and  Building  Act  and  by  building  regulations 
which set out requirements regarding safety and health. 

Projects  are  undertaken  under  lead  designers  who  have  responsibilities  under  law  and  who 
must  meet  eligibility  requirements  which  are  assessed  by  local  building  authorities.  They 
decide on a project-by-project basis the required qualifications of the lead designer together 
with  the  granting  of  the  construction  permit.  Health,  safety  and  quality  factors  are  also 
overseen by the local authority. The procedure may vary from municipality to municipality.  

Qualification requirements for design tasks are regulated according to their level of difficulty. 
Access conditions for lead designer, building designer and special designer are defined in the 
Land use and construction law. 

Civil engineer 

The profession of civil engineer is not regulated in Finland.  

54 

 
 
 
Construction  projects  are  regulated  by  the  Land  Use  and  Building  Act  which,  since  its 
adoption  in  2000,  defines  the  responsibilities  of  the  client  and  of  the  building  control 
authority. According to this Act, the compiler of the architectural and engineering  drawings 
must have the education and experience required will vary depending on the type of building 
technology  used,  calculation  methods,  or  environmental 
project  (its 
requirements).  Related  tasks  are  divided  into  four  grades  of  difficulty.  Qualification 
requirements for designers and site managers are regulated in the Act. The qualification of a 
designer  is  assessed  on  a  project-by-project  basis.  The  local  building  control  authority 
decides on the qualification necessary in function of the building project.  

intended  use, 

Accountants 

The  profession  of  accountant  is  not  regulated  in  Finland.  Only  the  profession  of  statutory 
auditor is regulated. 

Lawyers 

The  profession  of  lawyer  (Asianajaja/advokat)  is  regulated  by  reserves  of  activities  and 
protected title.   

Lawyers  who  advise  on  and  assist  in  legal  matters  can  be  divided  into  two  categories: 
members  of  the  Finnish  Bar  Association  (advocates)  and  non-members  of  the  Bar  (jurists). 
Lawyers  who  represent  clients  in  the  Finnish  courts  must  have  a  license  issued  by  an 
independent  Board  of  Licensed  Counsels.  Representation  of  clients  before  courts  is  a 
reserved activity for lawyers. 

To become a lawyer (advocate) requires a Master of Law degree (5 years), four years of work 
experience  in  the  legal  field,  and  passing  a  bar  exam.  Membership  to  the  Finnish  Bar 
Association  is  compulsory.  As  part  of  their  obligations,  registered  lawyers  have  to  update 
their professional skills on an annual basis; they may not engage in other activities than those 
related  to  their  profession  and  they  need  to  have  professional  liability  insurance.  Some 
restrictions  exist  as  to  the  corporate  form  with  limited  liability.  Shareholders  of  a  lawyers’ 
company can only be lawyers except in limited circumstances authorised by the Finnish Bar 
Association. The same conditions apply for the joint exercise with other professions. 

Patent agents  

The profession of patent attorney is regulated by protected title.  

Attorneys  and  agents  can  operate  –  even  professionally  –  without  authorisation,  but  only 
authorised attorneys have the right to use the titles protected by law, such as patent attorney, 
trademark attorney, design attorney, and industrial property attorney. The authorisation only 
applies to natural persons, not agencies. The Act on Patent Agents was repealed and replaced 
on 1 July 2014 by the Finnish Act on Authorised Industrial Property Attorneys. In order to 
carry the title, candidates need to have their professional skills assessed. 

Real estate agents 

The profession of real estate agent (LKV) and letting agent (LVV) are regulated by protected 
title in Finland.  

In  Finland,  most  of  transactions  involving  a  real  estate  agent  concern  sale  and  purchase  of 
shares  in  a  house  cooperative,  which  does  not  require  separate  endorsement  by  an  official 
notary.  For  both  professions  there  is  an  obligatory  examination  but  no  specific  training  or 
previous experience is required to sit the examination. The qualification requirement applies 

55 

 
 
only to the responsible manager and to at least 50% of the staff employed by  an real estate 
agency. The system was reformed in 2013 and the new regulation entered into force in 2016.  

Tourist guides 

The profession of tourist guides is not regulated in Finland.  

Consumer interests are safeguarded by the Consumer Protection Act which applies inter alia 
to  tourism  services  offered  to  consumers  by  traders  or  service  providers.  Mediation  is 
organised by the Consumer advisory services. If the dispute cannot be solved, the consumer 
can  refer  it  to  the  Consumer  Disputes  Board.  The  education  to  become  a  tourist  guide  is 
offered  at  upper  secondary  level.  In  higher  education  institutions  there  are  programs  which 
offer education in tourism research and hospitality management. 

56 

 
 
   FRANCE   

_______________________ 

I. 

Overview 

On  1  November  2016  France  had  submitted  information  about  258  regulated  professions. 
Among those professions, 11,2% concern business services, 6,6% the construction sector and 
1,2% the real estate sector.  

According  to  a  recent  EU  wide  survey37,  17%  of  French  labour  force  can  be  considered  as 
working in regulated professions. This is lower than the EU average (21%). 

As  indicated  in  chart  1,  for  all  professions  selected,  business  churn  (or  turnover)  rate38 is 
lower  in  France  than  in the  EU  on average.  With  the exception  of  the  construction and  the 
travel agency sectors, the churn rates are also lower than the average churn rate for the total 
French  economy.  This  may  be  interpreted  as  an  indication  of  the  relatively  low  dynamism 
and competition within regulated professions in France. 

Chart 1: Business churn rate in selected occupations, France and the EU, 2013-14 (%) 

France  has  participated very  actively  in  the  mutual  evaluation  exercise  and  has  submitted 
almost all the general information regarding its regulated professions. 90% of the professions 
have also been assessed as to the proportionality of their regulation.  

The national action plan (NAP) submitted by France details the recent changes introduced, 
as well as the reforms envisaged or planned in the field of regulated professions. Concerning 
in particular the seven analysed professions in this report, the NAP explains how the recently 
adopted law on growth, activity and equal economic opportunities (so-called “Loi Macron”) 
and  its  implementing  acts  lift  several  restrictions  regarding  the  legal  forms  for  legal 

37 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
38 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

57 

 
 
 
 
 
 
 
                                                            
professions  and  accountants  and  enlarge  some  of  the  activities  of  lawyers  and  accountants. 
The action plan also presents the recent reforms that have been introduced or are about to be 
introduced for architects and real  estate agents. Finally it depicts the reflection process that 
has been undertaken for the tourist-guide profession. All these changes have been taken into 
account when describing the specific situation of each profession below. 

In 2016, the European Commission addressed a country specific recommendation to France 
in the area of regulated professions: 

Remove  barriers  to  activity  in  the  services  sector,  in  particular  in  business  services  and 
regulated professions. 

II. 

Situation concerning the analysed professions   

The level of restrictiveness is higher in France compared to the EU weighted average for the 
profession  of  accountant,  real  estate  agent  and  tourist  guide.  Restrictiveness  intensity  is  on 
the  other  hand  lower  compared  to  the  EU  average  for  the  patent  agent,  lawyer  and  in 
particular for civil engineer.  For the profession of architect, regulation is similar to the EU on 
average. Amongst the professions analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, France and the EU  

Note: for the professions of civil engineer the indicator for France measures the restrictiveness to carry the protected title  
Source: European Commission services 

Architects 

Architects are regulated by means of title protection with reserved activities.  

An  architect  is  required  for  architectural  projects  related  to  construction  projects  subject  to 
building  permits.  The  other  usual  tasks  of  architects  such  as  construction  management, 
interior  design  and  landscape  architecture,  technical  control  and  compliance  permit,  urban 
design  are  shared  with  other  professions,  e.g.  interior  architect  (that  is  not  a  regulated 
profession). Architects are no more required for internal renovations.  

The profession of architects requires 6 years of higher education of which 5 years of studies 
and 1 year of practical training during which the future architect acquires the authorisation for 
project management (habilitation à la maîtrise d’oeuvre (HMONP)) which will enable him to 

58 

 
 
 
sign construction projects. There is no state exam, no territorial restriction or limitation of the 
number  of  licences.  There  is  an  obligation  to  register  with  the  regional  professional  body 
representing  the  architects  (tableau  regional  des  architectes)  and  to  a  have  professional 
indemnity  insurance  appropriate  for  each  building  site  (they  may  also  use  an  annual 
professional indemnity insurance that covers all sites). Also, no restrictions exist on corporate 
forms  or  regarding  the  joint  exercise  of  professions.  There  is  however  a  yearly  continuous 
professional  development  obligation  of  which  the  fulfilment  must  be  communicated  to  the 
regional professional body.  

Architects  are  allowed  to  use  all  corporate  forms,  but  with  specific  rules  with  regards  to 
shareholding requirements and voting rights to make use of the title of architect company.   

The  specific  shareholding  requirements  and  voting  rights  which  apply  for  architects 
companies are: Shares should be name shares. More than 50% of the shares and of the voting 
rights have to be held by professionals. Legal persons as shareholders, that are not architect 
companies,  cannot  hold  more  than  25%  of  the  capital  and  voting  rights  of  the  architects 
company.  

Civil engineers 

France regulates the profession of civil engineering by way of a protected title. Only holders 
of  diploma  of  certain  State-created/recognised  and  accredited  engineering  higher  education 
institutions are allowed to wear the title of "ingénieur diplômé" ("graduated engineer"). The 
title  guarantees  a  master  level  qualification  with  academic  and  professional  learning 
outcomes  allowing  the  holders  of  such  diplomas  to  work  as  engineers  without  any  other 
requirements. Besides, the French law provides for a number of construction and urbanistic 
rules  and  standards  as  well  as  general  law  principles  to  be  respected  when  developing  a 
construction project. These are considered sufficient to safeguard security.  

However, since 1978, a mandatory technical check by a technical construction controller is 
required for ensuring buildings’ soundness and people’s security. It is especially required for 
some  buildings  which  pose  particular  risks  because  of  their  nature  (e.g.  public  buildings), 
their  size  (e.g.  skyscrapers)  or  their  location  or  whose  functioning  is  essential  for  public 
safety or defence of public order. These technical construction controllers can be either legal 
or  natural  persons.  They  are  accredited  for a  period  of  5  years  and at least  one  person  in  a 
company  needs  to  have  an  engineering  qualification  of  at  least  4  years  and  professional 
experience  of  at  least  3  years  to  be  able  to  pursue  such  tasks.  They  have  to  be  fully 
independent  from  the  designer  and  project  manager,  they  have  to  demonstrate  that  they 
undertake continuous professional development and have the material and logistical means to 
pursue their tasks. If the technical construction controller is a legal person it will have to give 
to the competent authority the composition of the capital of the company, the list of persons 
detaining more than 5% of the capital and list of branches of the company and of the shares 
of  the  company  in  other  companies,  as  well  as  the  list  of  managing  staff  and  external 
financing sources.   

Accountants 

The profession is regulated by way of reserved activities and a protected title. 

Accountants are required for revising and assessing companies’ and bodies' bookkeeping as 
well  as  drawing  up  annual  financial  statements  and  consolidated  financial  statements  for 
undertakings of which they are not salaried (reserved activity).  

59 

 
 
Under  the  reserved  activities,  accountants  review  and  appreciate  accountancy,  attest  to  the 
truthfulness  and  conformity  of  the  profit  and  loss  accounts  and  also  keep,  centralize,  open, 
close, monitor, recover and consolidate the accounts of companies and organizations to which 
they  are  not  bound  by  an  employment  contract.  Recent  case  law 39  revealed  lack  of 
clarity regarding  the  scope  of  the  reserved  activities,  concerning  in  particular  simple  tasks, 
such as making accounting entries electronically before approving them. 

As shared activities, they can also, as incidental and not main activities, give advice, carry out 
legal, fiscal or social studies and works and give advice to any authority or public or private 
body which authorise them if they do bookkeeping for them and if those studies are directly 
linked to their bookkeeping work. 

As non-reserved activities, they can also exercise others activities, like organize the accounts 
and  analyse  by  the  methods  of  accounting  techniques  the  situation  and  functioning  of 
companies and organizations in their various economic, legal and financial aspects, help for 
the creation of a company.  

The  accountant  profession  requires  minimum  5  years  of  studies  followed  by  3  years  of 
traineeship and a successful state exam. There is a compulsory membership obligation with 
the  professional  body.  The  deontological  rules  contain  a  general  obligation  to  carry  out 
continuous  professional  development.  To  that  end  the  professional  body  recommends  that 
professionals spend 120 hours on a three-year basis with a minimum of 20 hours per year on 
continuous professional development.  

No restrictions exist as regards territorial validity and number of licences.  

The accounting activity is incompatible with any occupation or any act likely to impair the 
independence of the person exercising it, in particular: 

-  being  an  employee,  except  in  companies  having  as  their  main  purpose  the 
accounting activity,  
- any activity of commercial nature, except if exercised accessorily and following the 
deontological rules of the profession. 

Accountants can either work independently, as a sole practitioner, in partnership with other 
accountants,  or  as  an  employee  of  another  accountant  or  accountants’  company  –  société 
d’expertise comptable (SEC) according to the French terminology, or as a corporate officer 
(mandataire social) of a SEC. In SEC 75% of voting rights have to be held by accountants. 
However,  since  2014,  in  the  SEC,  there  are  no  shareholding  restrictions.  Similarly, 
accountants  can  choose  from  all  legal  forms  governing  French  companies:  civil  or 
commercial corporate forms. The only restriction is the prohibition to constitute a company 
which, by its legal form, provides the status of trader to their partners, namely three types of 
companies: société en nom collectif (SNC), société en commandite par actions (SCA), société 
en commandite simple (SCS). 

Regarding multi-professional companies (sociétés pluri-professionnelle d’exercice - SPE), an 
accountant can be member of a (SPE). This is a company whose purpose is the joint exercise 
of two or more professions among eight other professions: lawyer, lawyer before the supreme 
courts,  bailiff  auctioneer,  court  bailiffs,  notary,  insolvency  practitioner,  court-appointed 
receivers, patent agent and accountant. However, the accountant cannot exercise the auditor's 
activity in the SPE for ethics reasons. In SPEs all shares and voting rights have to belong to 
these nine categories of professionals: lawyers, patent agents, accountants, lawyers before the 

39 See decision of the Cour de cassation of 24 June 2014. 

60 

 
 
                                                            
supreme courts, notaries, bailiff auctioneers, court bailiffs, insolvency practitioners or court-
appointed receivers. At least one member of the profession practicing within the company, as 
a partner or employee, must be member of the managing or supervisory Board.  

Lawyers 

The  legal  profession  in  France  includes  the  avocat  à  la  cour  (lawyer)  and  the  avocat  au 
Conseil d'Etat et à la Cour de cassation (i.e. lawyer before the French supreme courts). The 
profession is regulated by way of a protected title and a reserve of activity for representing 
clients in court and during the 'participative procedure'.  

For lawyers, the activities of legal advice, of drawing up legal documents (such as contracts, 
real estate transactions and wills and preparing statements of legal opinions), of trustee and of 
mediation are shared with other legal professions like notaries. Recent national case-law has 
clarified  the  scope  of  the  reserve  of  activity,  by  considering  that  the  online  production  of 
documents for judicial proceeding where a lawyer is not needed, is not part of the activities 
reserved  to  lawyers40.  However,  there  is  still  some  legal  uncertainty  as  regards  the  exact 
scope of the activities, covered by "legal advice". 

The education requirement for lawyers is 5,5 years of training composed of a master degree 
in French law (minimum 4 years of studies – Master I or “maîtrise”), successful entrance into 
the law school), 18 months of training in a law school, and a final exam organised by each 
centre  but  recognised  in  all  the  country.  Some  legal  professions  such  as  magistrates, 
universities professors and doctorates, are exempted from the law school and the certificate of 
aptitude  of  the  legal  profession  if  they  can  prove  that  they  have  at  least  eight  years  of 
professional experience.  Doctorates are exempted from the exam to be accepted into the law 
school. 

For lawyers before the supreme courts the training is 3 years longer and there is also a state 
exam  to  complete.  The  number  of  authorisations  (offices  ministériels)  granted  to  lawyers 
before  the  supreme  courts  is  restricted,  but  recent  law  (Law  2015-990  of  6  August  2015) 
provides  that  it  will  be  increased  progressively  after  opinion  of  the  French  competition 
authority.  Lawyers  before  the  supreme  courts  are  appointed  by  the  ministry  of  Justice  after 
being recommended by a lawyer practising before the French supreme courts, in addition to 
the training requirements mentioned above. The conditions, under which lawyers, qualified in 
other Member States may practise before the French supreme courts remain unclear. 

Lawyers have to register with the Bar in the district in which they intend to hold office  but it 
doesn’t impede them to practice in all the territory of France. In order to get an authorisation 
to  practice, lawyers  also  have  to  demonstrate  a clean  criminal  record  and  take  an  oath.  For 
both professions there is an obligation to pursue at least 20 hours of continuous professional 
development per year which can be earned by several means such as attending 20 hours of 
courses, teaching legal matters, writing academic articles or attending conferences linked to 
their professional activity.  

Lawyers  can  either  work  independently,  as  a  sole  practitioner,  in  a  partnership  with  other 
lawyers, as an employee or as a 'collaborator liberal' in a lawyer partnership.  

Since 2015 lawyers are allowed to use any corporate forms with the exception of corporate 
forms that confer the status of trader. Specific rules apply in terms of shareholding and voting 
rights. Lawyers  can also be members of SPE and  same shareholding  requirements apply as 
for other professions (see above concerning accountants). 

40 See Cour d’appel de Paris, Pôle 5 – Ch.12, decision of 21 March 2016 

61 

 
 
                                                            
Other  than  this,  no  activities  of  a  commercial  nature  are  allowed,  and  there  are  general 
provisions to avoid conflict of interests.  

Lawyers  are  required  to  obtain  professional indemnity  insurance  for  their  civil  liability  and 
well as for the funds, values or goods received.  

Patent agents 

Patent agents are regulated by way of a protected title without reserved activities. Before the 
National  patent  Office,  they  are  sharing  the  activity  of  representing  the  client  with  lawyers 
and companies linked to the case. Their other activities are not reserved. 

In terms of education, patent agents need to follow a master, then obtain a specific diploma, 
the DEIPI (diplôme d’études international de la propriété industrielle delivered by the Center 
for  international  intellectual  property  studies,  CEIPI),  and  gain  3  years  of  professional 
experience.  After  having  passed  the  state  exam,  patent  agents  need  to  be  registered  in  the 
register of the national patent institute in order to be able to act before the Patent Office.  

There are no territorial limitations, nor limitation of licences granted. There is an obligation 
to  have  professional  indemnity  insurance  and  a  financial  guaranty  for  funds  and  values 
received.  

Registration with the professional body, i.e. “Compagnie nationale des conseils en propriété 
industrielle” is compulsory. 

Patent  agents  can  either  work  independently,  as  a  sole  practitioner  as  an  employee  or  in 
partnership with other patent agents. They can set up professional civil companies, SEL, SPE, 
or  any  other  partnership.  In  this  last  case  however  chief  executives  and  the  majority  of  the 
board will need to be patent agents. When working within a SPE, all shares and voting rights 
need to be held by patent agents or by other professionals like lawyers, accountants, notaries, 
etc. (see above concerning accountants).  

No activities of commercial nature can be exercised, and there are general provisions to avoid 
conflict of interests.  

There is a mandatory continuous professional development program whereby 20 hours need 
to be collected per year through several activities such as teaching, attending courses, writing 
articles, acting as a mediator.  

Real estate agents 

Real estate agents are regulated by means of reserved activities.  

The  reserved  activities  consist  of  arranging  signing  of  lease  agreements  and  transfer  of 
property  rights,  drawing  up  leasing  and  sale  agreements  and  estimating  costs,  establishing 
contacts and facilitating negotiations with tenants and owners, arranging the sale, purchase, 
rental and lease of real property and activity of property trustee. All these activities are shared 
with other professionals, mainly from legal professions such as lawyers, notaries, surveyors 
etc.  

These activities are reserved if there are carried out for the real estate agent’s own account. In 
this  case,  in  order  to  get  a  professional  card,  the  real  estate  agent  has  to  fulfil  professional 
qualifications requirements. Conversely, the exercise of those activities by an employee or a 
commercial agent authorized  by the holder of a professional card is  not reserved since  it is 
not conditioned on any qualification requirement. 

Four main ways to obtain the qualification which is required for the delivery of a professional 
card are enounced in the law: either general higher education diploma of at least 3 years in 

62 

 
 
given domains linked to the activity (e.g. law, economy etc.) or specialised diploma of two 
years  post-secondary  education,  or  school  leaving  certificate  and  3  years  professional 
experience  or  4  years  of  professional  experience  in  the  domain  as  an  executive  or  10  as  a 
non-executive.  There  is  no  obligatory  traineeship,  nor  state  exam,  nor  any  obligation  of 
professional  experience  except  in  case  of  the  alternative  educational  pathways  mentioned 
above.  There  is  no  territorial  restriction  or  limitation  of  the  number  of  licences.  The 
employees  and  delegates  of  a  professional  card’s  owner  are  not  concerned  by  these 
requirements,  with  the  exception  of  the  establishment  directors  who  have  to  fulfil  these 
requirements with a reduced duration of professional experience. 

Persons willing to exercise the activity for its own account need to apply for a professional 
card with the chamber of commerce and industry. The card is delivered for a 3 years period. 
Employees  and  delegates  of  real  estate  agents  owning  a  card  do  not  have  to  fulfil  this 
obligation of professional card themselves. 

The  renewal  of  the  card  implies  fulfilment  of  continuous  professional  development 
requirements of 14 hours per year that can take the shape of training or attendance of subject 
related conferences and seminars. Only certain training  providers are accredited to give the 
training.  A certification  is  given after  the training  that  has to  be  forward  to  the chamber  of 
commerce  and  industry.  It  is  to  be  noted  that  certain  employees  or  commercial  agents  not 
owning the card have also to follow these continuous professional development requirements. 
The certification given after the training has to be forward to the professional card’s owner. 

There are no incompatibilities of professions and activities and real estate agents willing to 
associate  are  not  subject  to  any  restriction  on  corporate  form  of  type  of  entity  and  no 
shareholding or voting rights requirements are provided by law.  

For  owners  of  the  professional  card  there  is  an obligation to  a  have  professional  indemnity 
insurance for their civil liability as well as a financial guaranty for the goods and values they 
received. 

Real  estate  agents  have  to  fulfil  conditions  of  morality  required  by  the  law.  Professional 
card’s  owners  have  to  fulfil  supplementary  conditions  of  conduct  defined  by  decree  and 
conduct  defined  by  the  national  council  for  property  management  and  transactions.  Their 
conduct is monitored through a national monitoring committee for real property management 
and transactions that can take disciplinary measures against real estate agents. 

Tourist guides 

Tourist guides (“guide conférencier”, i.e. lecturer-guide according to French terminology) are 
regulated by means of reserves of activities. 

The reserves cover the right to accompany and guide groups, part of a journey organised by a 
tour-operator  in  national  museums  and  historical  monuments.  The  latest  list  of  national 
museums  dated  8  February  2016  available  on  the  website  of  the  ministry  for  culture  and 
communication  indicates  1220  national  museums.  The  list  of  monuments  is  established  by 
departement and it seems that in total there are about 44060 classified historical monuments 
in France.  

In  practice  this  means  that  a  guide  can  only  provide  his  services  in  national  museums  and 
historical monuments of France without having to hold the professional card, if he provides 
the service on its own behalf and not on behalf of a travel or tour operator. Similarly, a travel 
or tour operator may only use a guide who does not have the professional card for services in 
places other than a national museums or historical monuments of France.  

63 

 
 
Two  types  of  training  requirements  exist  for  the  profession  (professional  degree  of  lecturer 
guide after a 3 year course or a specialized master degree after a 5 years course including a 
specific curriculum preparing to carry out the professional activities of a lecturer guide), both 
including as part of the training a mandatory traineeship of 12 weeks. These requirements are 
pre-conditions to get the national professional card of tourist lecturer. Otherwise there are no 
other regulations mentioned. According to the National Action plan, there are currently about 
11000 owners of a professional tourist lecturer card. About 3500 persons are practising this 
profession full-time.  

This profession has been subject to a reform in 2011 merging together 4 professions (national 
lecturer, national guide-interpreter, local guide-interpreter, guide lecturer for art and historical 
towns) in one. The national action plan submitted in February 2016 mentions a growing need 
for  this  profession  especially  regarding  foreign  language  guiding  tours  and  thus  a 
liberalisation  of  the  profession  is  envisaged  with  an  easier  access  to  the  profession,  while 
maintaining the current standards of knowledge and specific skills requested. The aim is  to 
allow  a  higher  number  of  people  having  graduated  with  a  Master  degree  in  any  academic 
matter and able to attest a one-year professional experience in cultural mediation to get the 
professional  card  of  a  lecturer  guide.  This  new  regulation  is  planned  to  be  put  in  place  in 
January 2017.  

64 

 
 
    GERMANY   
_______________________ 

I. 

Overview 

On  1  November  2016  Germany  had  submitted  information  about  submitted  information 
about  149  regulated  professions.  Among  those  professions  about  16,1%  concern  business 
services and 11,4% the construction sector (11,4%). 

According to a recent EU wide survey41, 33% of German labour force can be considered as 
working  in regulated professions.  This  is  far more than the EU average (21%) and it is  the 
highest amongst all Member States. 

As  indicated  in  chart  1,  for  all  professions  selected,  business  churn  (or  turnover)  rate42 is 
lower in Germany than in the EU on average with the exception of real estate activities where 
it  is  slightly  higher.  The  low  business  churn  rate  indicates  a  rather  stable  business 
environment with lower competitive pressure.  

Chart 1:  Business churn rate of active companies in selected sectors, 2013-2014 (%) 

Germany  has  actively  participated  in  the  mutual  evaluation  exercise.  However  on  
10 October 2016, Germany still needs to submit 15 entries (or 10%) of general information 
on  different  regulated  professions  and  37  professions  (24%)  still  need  to  be  assessed  as  to 
their proportionality.  

In its national action plan, Germany announces only a limited number of actions for certain 
professions, in particular for liberal profession and business services. Planned modifications 
of  regulations  concern  for  instance  lawyers  and  patent  attorneys  (shareholding  and  voting 
rights as well as multidisciplinary restrictions), tax advisers (tariffs and consequences of the 
latest  jurisprudence  of  the  Court)  and  to  a  certain  extent  also  architects  (shareholding 

41 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
42 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

65 

 
 
 
 
                                                            
requirements). 

In  2016,  the  European  Commission  addressed  a  country  specific  recommendation  to 
Germany in the area of professional services: 

Step  up  measures  to  stimulate  competition  in  the  services  sector,  in  particular  in  business 
services and regulated professions. 

II. 

Situation concerning the analysed professions  

The level of restrictiveness is higher in Germany compared to the EU weighted average for 
all  professions  analysed  (except  for  tourist  guide  and  real  estate  agent  which  are  not 
regulated).  Amongst the professions analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Germany and the EU  

Source: European Commission services 

Architects 

The profession of architect is regulated at Länder level, meaning there are 16 different laws 
and  corresponding  rules  and  regulations.  The  activity  of  drawing  up  of  documents  for 
building  permit  applications  is  reserved  to  architects  who  share  this  reserved  activity  with 
other  professions,  including  civil  engineers.  The  title  of  architect  is  also  protected. 
Registration  with  the  regional  chambers  is  obligatory,  including  compulsory  membership 
with  the  chamber.  Authorisations  are  being  issued  at  regional  level  and  according  to  the 
relevant  regional  law  with  the  effect  that  the  authorisation  is  valid  throughout  the  area  of 
responsibility  of  the  regional  chamber.  The  recognition  procedure  for  registration  in  other 
Länder is assured by the law at Länder level.  

Restrictions  as  to  the  legal  form  of  a  company  exist  for  companies  wishing  to  carry  the 
protected title in the name of the company. Equally shareholding requirements (at least 50% 
to be held by professionals) apply if the protected title is part of the name of the company. 
Germany  announced  in  its  National  Action  Plan  that  some  Länder  are  considering  a  more 
uniform nationwide approach of shareholding and voting rights requirements. In this context, 
particularly strict requirements for companies using the protected title could be relaxed. 

66 

 
 
 
Appropriate professional indemnity insurance is required although there are no uniform rules 
as the requirement depends on applicable regional law. 

Engineers 

The profession of engineer is regulated at Länder level, meaning there are 16 different laws 
and the corresponding rules and regulations. A common feature of all those laws is that there 
are  no  reserved  activities,  but  only  a  title  protection  covering  the  title  of  “engineer”. 
permit 
However, 
(“Bauvorlagenberechtigung”) is a reserved activity for architects, which they share with civil 
engineers.  

documents 

presenting 

building 

building 

obtain 

to 

a 

In order to obtain the right to submit building permit applications, the professional needs to 
prove 2-3 years of professional experience only in the field of planning buildings and apply 
for registration with the respective chamber. In some Länder such an obligatory membership 
is not linked to the activity but to the self-employed status of the engineer. 

Restrictions  as  to  the  legal  form  of  a  company  exist  for  companies  wishing  to  carry  the 
protected title in the name of the company. Equally shareholding requirements (at least 50% 
to be held by professionals) apply if the protected title is part of the name of the company. 

Appropriate professional indemnity insurance is required although there are no uniform rules 
as requirements depend on applicable regional law. 

Accountants 

The profession of accountant is not regulated in Germany. However, there is the possibility to 
obtain the recognised title of "qualified accountant" ("geprüfter Bilanzbuchhalter") following 
a successful examination according to conditions laid down in a federal law.  

On the other side, most of the activities concerning tax advice as well as the representation 
before  administrative  authorities  are  reserved  to  tax  advisers  in  combination  with  a  title 
protection. Whereas accountants therefore call for a reform of the tax advising law claiming 
among other things that Austrian accountants can exercise more activities in  Germany  than 
German accountants, the tax advisers consider that reservation of activities for tax advisers is 
necessary due  to  the fact that accountants  do not  have  the appropriate education  to provide 
assistance in tax matters. It has to be noted that part of the reserved activities, i.e. tax advice, 
are shared with lawyers and notaries.  

Tax consultancy companies need to be recognised as such. A precondition for recognition is 
that  tax  advisers  having  appropriate  professional  qualifications  must  manage  the  company. 
More than 50% of shareholding and voting rights have therefore to be held by professionals 
or some similar other regulated (liberal) professions. The law foresees also very strict rules 
on  joint  exercise  of  activities  providing  in  detail  that  joint  professional  activities  are  only 
allowed  with  other  legal  or  accounting  professionals.  Rules  are  equally  strict  concerning 
incompatibilities  of  activities,  excluding  any  commercial  activity,  employed  status  (with 
some  exceptions),  in  particular  employment  by  the  administration  of  finance.  Membership 
with the professional association of the region of establishment is mandatory. 

Concerning  the  cross  border  provision  of  services,  it  has  to  be  recalled  that  the  European 
Court of Justice ruled in his judgement in Case C-342/14 X-Steuerberatungsgesellschaft, that 
while EU law does not preclude German law from making access to that activity contingent 
on the possession of the knowledge and qualifications deemed to be necessary, the legislation 
of  a  Member  State  which  defines  the  conditions  of  access  to  the  activity  of  professional 
assistance in tax matters  may not,  based on article 56 of the Treaty,  restrict the freedom to 

67 

 
 
provide  services  of  a  tax  consultancy  company  —  formed  in  accordance  with  the  law  of 
another  Member  State  in  which  that  company  is  established,  which  draws  up,  in  the  latter 
Member  State  where  tax  consultancy  work  is  not  regulated,  a  tax  return  on  behalf  of  a 
recipient of services in the first Member State and sends that tax return to the tax authority of 
the  first  Member  State  —,  without  the  qualification  obtained  by  that  company,  or  by  the 
natural persons providing services of professional assistance in tax matters for that company, 
in other Member States being accorded its proper value and being duly taken into account. 

In its national action plan Germany announced that the rules on tariffs for tax advisers were 
under  review  (see  also  infringement  procedure  of  the  Commission) 43  and  that  the 
consequences of the judgment of the Court in case C-342/14 were under examination. In the 
meantime,  the  provisions  on  tariffs  for  tax  advisers  have  been  amended.  The  Federal 
Government  intends  to  implement  the  legal  consequences  of  the  jurisprudence  of  the 
European Court of Justice via legislation. However, the concrete procedure is not determined 
yet. 

Lawyers 

The  profession  of  lawyer  is  regulated  at  federal  level  by  reserving  the  activity  of  “legal 
advice"  (including  in  tax  matters)  and  representation  in  court  to  lawyers.  Parts  of  these 
activities are shared with other regulated professions, namely notaries, tax advisers and patent 
agents. The title is equally protected and may only be used once authorisation was obtained. 

Lawyers need to be trained at university for 4 years followed by an obligatory traineeship of 
2 years.  

German  lawyers  and  law  firms  established  under  German  law  as  private  or  public  limited 
companies (Gesellschaft mit beschränkter Haftung and Aktiengesellschaft) must be members 
of  the  bar  where  they  are  established.  Admission  to  the  bar  becomes  effective  with  the 
certificate obtained after having taken the oath before the professional association. Whereas 
all company forms are possible as long as they do not call into question the obligations of the 
professional,  more  than  50%  of  the  shares  of  the  company  have  to  be  held  by  lawyers. 
Furthermore  a  lawyer's  firm  may  only  include  other  legal  or  accounting  professionals  as 
shareholders. 

However in  2014, the Constitutional Court  held that  the rule providing that  the majority of 
shares and voting rights must belong to lawyers was unconstitutional. Germany announced in 
its National Action Plan that  the respective provisions will be modified and the restrictions 
will  be  repealed.  In  a  more  recent  decision  of  February  2016  the  Constitutional  Court 
declared  that  the  prohibition  of  a  professional  partnership  of  lawyers  with  physicians  and 
pharmacists was equally unconstitutional. In its national action plan Germany announces that 
the necessary measures will be taken following this Court judgement. 

There is also an obligation to have professional indemnity insurance. 

for 

rules  exist 

Special 
the  Federal  Court  of  Justice 
representation  before 
(Bundesgerichtshof):  the  representation  of  parties,  in  civil  cases,  is  an  activity  reserved  to 
lawyers  who  are  appointed  to  act  before  this  court.  A  lawyer  appointed  to  act  before  the 
Federal Court of Justice is not allowed any more to act in procedures before lower courts.  

the 

Lawyers wishing to be appointed at the Federal Court of Justice must be at least 35 years old 
lawyer.  The  Federal  bar  association 
and  have  5  years  of  experience  as  a 

43 Press release IP 16/323 - http://europa.eu/rapid/press-release_IP-16-323_en.htm  

68 

 
 
                                                            
(Bundesrechtsanwaltskammer) and the bar association for the lawyers at the Federal Court of 
Justice  (Rechtsanwaltskammer  bei  dem  Bundesgerichtshof)  establish  a  list  of  candidates 
which,  after  a  pre-selection  through  a  commission,  is  presented  to  the  minister  of  justice 
which decides on the appointments. All lawyers at the Federal Court of Justice must become 
member of the bar at the Federal Court of Justice. Concerning legal form and shareholding 
requirements, lawyers at the Federal Court of Justice can only form a law practice with other 
lawyers  at  the  Federal  Court  of  Justice  and  these  practices  can  only  be  composed  of  two 
members. The seat has to be in the city of Karlsruhe. 

On  the  other  hand,  there  are  no  particular  rules  for  lawyers  acting  before  the 
Bundesverfassungsgericht. 

Patent agents 

Federal law, which reserves the following activities to patent agents, regulates the profession 
of  patent  agent:  Providing  advice  and  acting  as  counsel  in  the  field  of  commercial  legal 
protection (patent law, utility-model law, design law, trademark law, inventor's rights). 

It  takes  usually  7  years  of  university  or  comparable  studies,  even  if  different  kinds  of 
university  studies  are  possible.  In  addition  the  law  requires  at  least  one  year  of  practical 
technical  training  as  well  as  a  training  of  at  least  34  months,  out  of  which  26  months  by  a 
patent attorney. 

Every  patent  attorney  is  a  compulsory  member  of  the  professional  chamber  and  has  to 
subscribe  professional  indemnity  insurance.  Admission  to  the  profession  is  upon  request, 
which can only be refused for reasons explicitly stated in the law and becomes effective with 
a  certificate  obtained  after  having  taken  an  oath  before  the  professional  association 
("Patentanwaltskammer"). 

And while all company forms with limited liability are possible, there are very strict rules that 
only  other  legal  or  accounting  professionals  might  become  partner.  In  any  case  patent 
attorneys have to hold more than 50 % of the shares and the voting rights. 

The  law  also  provides  for  detailed  rules  on  professional  cooperation:  Joint  exercise  of 
activities is only allowed with other legal or accounting professionals (tax advisers, auditors, 
certified accountants). Rules on incompatibilities are strict and the non-respect can lead to a 
ban on professional practice ("Versagung der Berufstätigkeit"). 

The decisions of the Constitutional Court of 2014 and 2016 (see above concerning lawyers) 
and  the  subsequent  modifications  to  be  adopted  by  the  German  legislator  will  also  concern 
patent agents. 

Concerning  the  cross-border  provision  of  services,  it  has  to  be  noted  that  Directive 
2013/55/EU 44  has  not  yet  been  transposed  into  national  law  concerning  patent  agents. 
Following a complaint, the German authorities admitted that the law on patent agents still had 
to be modified and adapted. In the meantime Directive 2013/55/EU is being applied directly. 

Real estate agents 

The profession of real estate agents is not regulated in Germany.  

In order to be able to act as a real estate and property agent a general commercial licence is 
required  as  for  any  other  commercial  activity  in  accordance  with  the  German  Trade 

44  Directive  2013/55/EU  of  the  European  Parliament  and  of  the  Council  of  20  November  2013  amending  Directive 
2005/36/EC  on  the  recognition  of  professional  qualifications  and  Regulation  (EU)  No  1024/2012  on  administrative 
cooperation through the Internal Market Information System ( ‘the IMI Regulation’ ) 

69 

 
 
                                                            
Regulation. The prerequisite for a licence is a clean criminal record and no insolvency. The 
authority  responsible  for  granting  the  licence  carries  out  ex-post  checks.  There  is  also  a 
voluntary certification system in place for real estate agents. 

However,  it  appears  that  there  are  intentions  to  regulate  the  profession.  Already  during  the 
mutual evaluation exercise, Germany indicated that there was a debate about the introduction 
of  qualification  requirements  (state  exam)  and  maybe  mandatory  professional  liability 
insurance for real estate agents.  

Tourist guides 

The profession of tourist guides is not regulated in Germany.  

The  National  Tourist  Guide  Association  offers  voluntary  certification  for  tourist  guides 
according to DIN EN 15565 in cooperation with regional and municipal training providers. 
Courses  are  subject  to  a  fee  and  the  certificate  obtained  is  valid  for  three  years  and  can  be 
extended if preconditions are met.  

70 

 
 
   GREECE   
_______________________ 

I. 

Overview 

On  1  November  2016  Greece  had  submitted  information  about  153  regulated  professions. 
Among those professions, 22,2% concern business services and 7,2% the construction sector.  

According  to  a  recent  EU  wide  survey45,  22%  of  Greek  labour  force  can  be  considered  as 
working in regulated professions. This is slightly higher than the EU average (21%). No data 
available on business churn rates for the sectors analysed. 

Greece was not active in the  mutual  evaluation  exercise. It has not submitted any general 
information regarding its regulated professions and has not provided any assessment on their 
professions as to their proportionality. On the other hand Greece has been subjected to a MoU 
by the troika, and a review and opening of their regulated professions has been on the agenda 
for a number of years, with varying success.    

Greece has not submitted any national action plan.  

II. 

Situation concerning the analysed professions  

The level of restrictiveness is lower in Greece compared to the EU weighted average for all 
professions  analysed  with  the  exception  for  the  professions  of  tourist  guide,  civil  engineer 
and  patent  agent  where  it  is  higher.  Amongst  the  professions  analysed,  restrictiveness  is 
highest for lawyer and patent agent.  

Chart  1  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 1: Restrictiveness indicator, 2016, Greece and the EU  

Source: European Commission services 

45 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 

71 

 
 
   
 
                                                            
Architects 

Architects  are  regulated  by  means  of  title  protection  and  exclusive  and  shared  reserves  of 
activities. Activities are reserved mainly through rules dealing with construction services and 
standards. Since graduates of architectural schools in Greece are architects/engineers, most of 
the services are shared with engineers and, in most cases, with civil engineers. Architects do 
have  an  exclusive  role  in  relation  to  architectural  works  in  relation  to  specific  protected 
buildings and monuments. 

In order to qualify as an architect in Greece, a professional has to undertake a 5 year Universi
ty training, followed by a post-graduate exam by the Technical Chamber of Greece, and subs
equent membership to the Chamber..  No architect is allowed to provide services if not a mem
ber of the Chamber. Post-licensing requirements, categorisation and additional authorisation i
s imposed by Greek law on architects wishing to undertake public works and studies. 

Greek law does not provide for general restrictions on corporate forms, shareholdings/voting 
rights or regarding the joint exercise of architects with other professions. However, there exis
ts a specific register with categories of entities allowed to obtain public works (design and co
nstruction works). Inclusion in this register and the listing in specific categories depend on th
e fulfilment of specific requirements of legal form (for some companies), experience and avai
lability of qualified personnel. 

Civil engineers 

Civil engineers are regulated by means of title protection and exclusive and shared reserves 
of activities. Activities are reserved mainly through rules dealing with  construction services 
and  standards.  While  most  of  these  services  are  shared  with  architects  and  other  engineers, 
civil  engineers  have  an  exclusive  role  as  regards  structural  and  seismic  calculations  and 
responsibilities for specific complex structures. 

In order to qualify as a civil engineer in Greece, a professional has to undertake a 5-year Univ
ersity training, followed by a post-graduate exam by the Technical Chamber of Greece and su
bsequent membership to the Chamber. No civil engineer is allowed to provide services if not 
a member of the Chamber. Post-licensing requirements, categorisation and additional authoris
ation are imposed by Greek law on civil engineers wishing to undertake public works and stu
dies. 

Greek law does not provide for general restrictions on corporate forms, shareholdings/voting 
rights or regarding the joint exercise of civil engineers with other professions. However, there
 exists a specific register with categories of entities allowed to obtain public works (design an
d construction works). Inclusion in this register and the listing in specific categories depend o
n the fulfilment of specific requirements of legal form (for some companies), experience and 
availability of qualified personnel.  

Accountants/Tax advisers 

The profession is regulated in Greece by way of a protected title and distinguishes between 
two  categories  of  accountants.  Access  to  the  entry  category  of  accountants  (category  B 
accountants) is available to (a) holders of secondary school certificate together with 7 years 
of  work  as  assistant  accountant,  graduates  from  technical  secondary  schools  (economy 
branch)  with  6  years  of  work  as  assistant  accountants,  and  graduates  of  Accountancy 
Institutes  (IEK)  or  from  ELKEPA  with  a  5  years  of  work  as  assistant  accountant,  (b) 
University  graduates  (AEI  and  TEI)  of  economy  branches,  and  (c)  persons  who  obtained 

72 

 
 
recognition  of  their  foreign  qualifications  under  Greek  law  transposing  the  Professional 
Qualifications Directive. )  

The  higher  category  of  accountants  (category  A),  is  open  to  those  category  B  accountants 
belonging to categories (b) and (c ), with a post-licensing experience in accounting of 3 years 
(with some exceptions), and completion of specific training courses on tax and accountancy 
issues leading to relevant attendance and evaluation certificates. Since 1 January 2014 there is 
no compulsory membership obligation to a Chamber. The highest category has a continuous 
professional development obligation of 40 hours on a yearly basis.  

Greek law describes the activities that Accountants A and B can provide respectively, with no 
clear  indication  on  whether  some  or  all  of  them  are  reserved.  However,  when  read  in 
conjunction  with  fiscal  and  company  law  provisions,  it  appears  that  certain  activities  are 
reserved to licenced accountants. Thus category A and B accountants may sign "single-entry 
books", category A accountants can also sign "double-entry books" and to co-sign financial 
statements  of  double-entry  companies.  Accountants  may  also  engage  in  non-reserved 
activities, such as providing advice, preparing and submitting tax returns. 

No  restrictions  exist  on  corporate  forms,  shareholdings/voting  rights  or  regarding  the  joint 
exercise of the profession. 

Lawyers 

The  legal  profession  is  regulated  by  way  of  a  protected  title  and  a  number  of  reserves  of 
activities,  some  of  which  are  exclusive  and  the  others  are  shared.  Representing  clients  in 
court and the provision of legal advice are the most prominent exclusive ones.  

The  education  requirement  is  4  years  of  legal  training  and  a  supervised  traineeship  of  
18 months. A state exam needs to be passed before appointment by the minister of Justice.  

Lawyers have to register with a local Bar Association in the district they intend to hold office. 
In order to get an authorisation to practice, lawyers also have to demonstrate a clean criminal 
record  and  take  an  oath.  There  is  no  obligation  to  collect  continuous  professional 
development points per year.  

Lawyers  can  either  work  independently,  as  sole  practitioners  or  in  a  partnership  with  other 
lawyers in law firms. Liability and responsibility cannot be restricted and equity in a law firm 
needs to be held by lawyers.    

Lawyers are not required to obtain professional indemnity insurance.  

Patent agents 

The  profession  of  patent  agent  does  not  exist  in  Greece  as  such.  However,  Greek  law 
expressly reserves the submission of patents and trademarks solely to lawyers who also have 
the exclusive right to provide legal advice, including on issues relating to patents and trade 
mark  law.  In  that  respect,  the  conditions  in  Greece  for  accessing  and  for  exercising  the 
activities  which  correspond  to  those  of  a  patent  agent,  are those  that  apply  to  lawyers.  The 
assessment therefore of the regulatory regime applicable to patent agents should be the one 
applicable to lawyers.  

Real estate agents 

The profession of real estate agent is not a regulated profession in Greece. With the adoption 
of  Laws  4072/2012  and  4093/2012,  the  profession  has  been  fully  liberalized,  in  alignment 
with the provisions Law 3919/2011. 

73 

 
 
 
Tourist guides 

Tourist  guides  are  a  regulated  profession.  Tourist  guides  enjoy  exclusive  activities 
accompanying  tourists  and  travellers  to  sights,  ancient  and  historical  monuments  of  all 
periods,  explaining  them  and  in  general  providing  information  on  ancient  and  modern 
Greece.  Certain unlicensed persons may provide services in certain circumstances and under 
certain limitations and strict conditions. Foreign tourist guides providing temporary services 
benefit  expressly  from  the  provisions  of  PD  38/2010  (and  its  title  II)  transposing  PQD  in 
Greece. 

Access  to  the  profession  is  currently  limited  in  practice  to  holders  of  specific  generic 
diplomas,  such  as  diplomas  in  Archaeology,  History,  Social  anthropology,  Ethnology  etc., 
(normally  of  a  University  level).  These  persons  have  to  follow  a  short  training  course  of  
2 months duration. The law also provides for a more targeted training to be provided by State 
Tourist Guide Schools of a 2,5 years duration. Such training would in principle be opened to 
a wider audience but these schools seem no longer to be in operation. 

74 

 
 
 
   HUNGARY   
_______________________ 

I. 

Overview 

On 1 November 2016 Hungary had submitted information about 545 regulated professions. 
Among those professions, 11,2% concern business services, 9,4% the construction sector and 
0,7% the real estate sector.  

According to a recent EU wide survey46, 26% of Hungarian labour force can be considered as 
working in regulated professions. This is higher than the EU average (21%). 

As indicated in chart 1, for accounting and legal activities business churn (or turnover) rate47 
is  lower  in  Hungary  than  in  the  EU  on  average  as  well  as  compared  to  the  average  for  the 
total  Hungarian  economy.  This  may  be  interpreted  as  an  indication  of  the  relatively  low 
dynamism and competition within regulated professions present in these sectors in Hungary.  

Chart 1: Business churn rate in selected occupations, Hungary and the EU, 2013-14 (%) 

Hungary  has  been  participating  relatively  actively  in  the  mutual  evaluation  exercise. 
However  on  10  October  2016,  Hungary  still  needs  to  submit  about  15%  of  the  general 
information on different regulated professions and more than half of the 633 professions still 
need to be assessed as to the proportionality of their regulation.  

Moreover, until this date Hungary has not submitted its national action plan. 

In  2016,  the  European  Commission  addressed  a  country  specific  recommendation  to 
Hungary in the area of services: 

46 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
47 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

75 

 
 
 
 
                                                            
Improve the regulatory environment in the services sector and in the retail sector by 
addressing restrictive regulations and ensuring predictability. 

II. 

Situation concerning the analysed professions  

The level of restrictiveness is higher in Hungary compared to the EU weighted average for all 
professions analysed except for the professions of architect and accountant where it is lower 
and  for  lawyer  where  it  is  similar.  Amongst  the  professions  analysed,  restrictiveness  is 
highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Hungary and the EU  

Source: European Commission services 

Architects/Engineers 

Both generic professions are covered by the same law and by reserves of activities. For the 
generic category  of civil  engineers, Hungary has  notified 3 separate activities: designing  of 
bridge  structures  as  a  specialty,  designing  of  load-bearing  structures  as  a  specialty  and 
designing of constructed objects for the water management sector. It is important to note that 
there are 18 other reserved activities concerning the civil engineer profession. 

Both  professions  require  higher  education  training  and  traineeships  as  well.  The  required 
state  exam  is  organised  by  the  Chamber.  In  addition  there  is  a  continuous  professional 
development obligation organised and administrated by the Chamber with a 5 years' cycle. 

The relevant national Act ('Building Act') reserves activities for Chamber Members who hold 
a relevant professional qualification. Most of the activities are shared between architects and 
engineers.  The  authorisation  is  valid  in  the  entire  territory  of  Hungary.  There  is  only  one 
exception mentioned in the legislation, when chamber membership is not required:  creating 
designs for own purpose or for close relatives. 

The Hungarian regulation of these two professions is rather liberal concerning shareholding 
requirements,  voting  rights,  restrictions  on  corporate  forms  or  on  the  joint  exercise  of  the 

76 

 
 
 
profession. Moreover, there is no legal obligation to have professional indemnity insurance, 
but the contract with the client might foresee one. 

Accountants 

Hungary regulates two professions under the generic name accountant: chartered accountants 
and  tax  advisers,  both  by  way  of  reserves  of  activities.  This  chapter  focuses  on  chartered 
accountants  (mérlegképes  könyvelő).  For  chartered  accountants  the  following  activities  are 
reserved: Drawing up annual statements/payroll services/representation and assistance before 
administrative authorities. The latter is shared with tax advisers. 

Entry for the specific training of chartered accountants is rather flexible  (either a vocational 
financial  qualification  or  an  economist  BsC/MA).  The  specific  training  is  320-480  hours, 
without any specific traineeship requirement. 

The  national  registration  obliges  chartered  accountants  to  be  registered  (this  authorisation 
requirement also involves fees and clear criminal record). Once an authorisation is obtained it 
is  valid  for  the  entire  territory  of  Hungary.  Professionals  have  to  follow  compulsory 
continuous professional development activities on an annual basis. 

The  Hungarian  regulation  of  this  profession  is  rather  liberal  concerning  shareholding 
requirements and voting rights (the only condition is to have at least one qualified employee 
or  partner)  and  also  on  restrictions  on  corporate  forms  or  on  the  joint  exercise  of  the 
profession.  

Lawyers 

Lawyers are regulated in Hungary by reserves of activities and title protection. The relevant 
Hungarian legislation differentiates between exclusive reserves and activities that are shared 
with other professionals (e.g. notaries, tax advisers, real estate agents). 

The  education  requirement  is  a  minimum  5  years  university  study  followed  by  a  3  years 
traineeship and a series of state exams (in practice it takes at least takes 9 months or rather a 
year to complete the different modules of the state exam). 

Professionals  afterwards  have  to  register  with  the  Bar  and  take  an  oath  there.  To  get  an 
authorisation lawyers also have to demonstrate a clear criminal record and they need to prove 
that  their  premises  are  in  conformity  with  the  requirements.  Once  the  authorisation  is 
obtained a lawyer can work in the entire territory of Hungary. The  Bar is organising different 
continuous  professional  development  activities  but  they  are  usually  voluntary  to  attend. 
However, there is a general, rather "ethical" obligation on lawyers to keep their knowledge up 
to date.  

Lawyers can only establish law firms which are not limited liability companies according to 
the Civil code.    Law firms can only be established by one or more lawyers (with an exception 
allowing that a former partner might keep his shares in the company even if he loses his right 
to  practice  the  legal  profession).  As  regards  incompatibilities  of  activities  the  Hungarian 
legislation lists a number of conflict of interests (e.g. lawyers cannot be employed or be civil 
servants,  or  they  cannot  represent  clients  in  the  same  district  where  they  were  previously 
judges, attorneys or police detectives for 2 years). 

Lawyers are required to obtain professional indemnity insurance. 

77 

 
 
 
Patent agents 

The profession is regulated by exclusive reserves of activities  (counselling and representation 
before  the  Patent  Office  or  other  administrative  authorities/drawing  up  legal  documents  in 
intellectual  property  matters/representation  before  the  courts  in  intellectual  property 
matters/Performing  research  in  connection  with  industrial  property  rights,  providing  expert 
opinion, advice and information). A patent agent can be selected by the client or they can also 
been attributed with the mandate by Courts. 

Patent  agents  need  to  follow  a  minimum  5  years  (Master  level)  university  training  in  a 
number of natural sciences, afterwards they need to complete a specific postgraduate training 
and have at least 3 years professional experience as a trainee. Finally the trainee agents also 
need to pass a specific exam of the Patent Office.  

The  agents  need  to  be  members  of  the  Chamber  in  order  to  be  able  to  carry  out  their 
activities.  To  obtain  their  authorisations,  similarly  to  lawyers,  a  clean  criminal  record  is 
required  and  the  agents  also  need  to  meet  the  requirements  on  their  premises.  There  is  no 
obligation  to  follow  continuous  professional  development  activities  in  order  to  keep  their 
authorisation. 

As regards potential company forms the Hungarian legislation is quite flexible: activities of 
patent  agents  might  be  carried  out  by  sole  professionals,  by  a  patent  firm  (liable),  as  a 
company  (potentially  with  limited  liability)  or  by  employed  professionals  (only  in 
exceptional  cases  as  provided  by  the  legislation).  However,  a  patent  firm  can  only  have 
members who are patent agents. In case of a company at least 75% of the shares have to be 
owned by the patent agent member(s). 

As regards personal conflict of interests, a professional cannot be registered as a patent agent 
if  he/she  is  employed  by  a  Patent  court/office.  Agents  are  required  to  obtain  professional 
indemnity insurance. 

Real estate agents 

Hungary regulates two separate professions under the generic category of real estate agents: 
'real  estate  property  value  assessor  and  agent'  and  'estate  agent'.  The  former  has  more 
activities linked to assessing the value of the property. Some of the activities are shared with 
lawyers. 

For  both  professions,  professionals  need  to  follow  an  up-to  6  months  vocational  program 
(including  theory  and  practice),  with  slightly  higher  requirements  for  the  value  assessors. 
Afterwards agents can get on a national register of natural/legal persons who are eligible to 
provide the activities. For this purpose a clean criminal record is required and agents cannot 
have outstanding public dues.  

As  regards  legal  persons,  the  requirement  is  to  employ  at  least  one  qualified  and  licensed 
professional.  There  is  no  continuous  professional  development  obligation  after  obtaining 
authorisation. 

The  Hungarian  regulation  of  these  two  professions  is  fully  liberal  concerning  shareholding 
requirements,  voting  rights,  restrictions  on  corporate  forms  or  on  the  joint  exercise  of  the 
profession. Moreover,  there  is  no  legal  obligation  to  have  professional  indemnity  insurance 
either. 

78 

 
 
 
Tourist guides 

Hungary exclusively reserves the activities of tourist guides for qualified professionals. As a 
further condition professionals can only provide these activities in languages that they have 
passed  a  language  exam  or  can  prove  otherwise  that  they  are  mastering  the  language.  The 
relevant statute specifically deals with the activities of travel agents (linked to hotel services, 
travel agent activities and horse tourism). There is a special decree containing the details on 
the regulation of activities of tourist guides. 

The legislation requires the professionals to be registered with the relevant authority (not pre-
authorization, only a notification). When the notifications are appropriate, the tourist guides 
get specific cards (professional card with a photo and a number) issued by the authority and 
listing the languages that the professional can work in. 

The competent authority can prohibit from practice any professional providing tourist guide 
services  without  such  notification  until  he  proves  the  legitimacy  to  pursue  the  activities 
concerned. The authority can also prohibit providing services in the related language(s) until 
proven otherwise, if a professional practices without a verification of language skills. In case 
of non-compliance with a requirement to prove language skills, a professional can be banned 
from providing tourist guide services for 3 years and removed from the online register of the 
relevant authority. 

At the moment there is no legal obligation to have professional indemnity insurance or other 
additional requirements. 

79 

 
 
 
   IRELAND   
_______________________ 

I. 

Overview 

On  1  November  2016  Ireland  had  submitted  information  about  144  regulated  professions. 
Among those professions, 26,4% concern business services, 1,4% the construction sector and 
0,7% the real estate sector. 

According  to  a  recent  EU  wide  survey48,  29%  of  Irish  labour  force  can  be  considered  as 
working in regulated professions. This is significantly higher than the EU average (21%). 

As  indicated  in  chart  1,  for  all  professions  selected,  business  churn  (or  turnover)  rate49 is 
lower in Ireland than in the EU on average. This may be interpreted as an indication of the 
relatively low dynamism and competition within regulated professions in Ireland. 

Chart 1: Business churn rate in selected occupations, Ireland and the EU, 2013-14 (%) 

Ireland  has  had  some  difficulties  in  giving  its  full  participation  to  the  mutual  evaluation 
exercise  but  database  notifications  have  made  good  recent  progress.  On  10  October  2016, 
Ireland  had  transmitted  almost  60%  of  the  general  information  concerning  its  regulated 
professions  as  well  as  the  assessment  of  the  proportionality  of  the  regulation  of  those 
professions.  

No national action plan has yet been submitted.  

48 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
49 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

80 

 
 
 
 
 
 
                                                            
II. 

Situation concerning the analysed professions  

The level of restrictiveness is higher in Ireland compared to the EU weighted average for the 
real estate agent and architect professions. It is lower than the EU average for patent agents 
and  accountants  and  at  a  similar  level  for  lawyers  and  civil  engineers.  Amongst  the 
professions analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Ireland and the EU  

Note: for the professions of accountant and patent agent the indicator for Ireland measures the restrictiveness to carry the protected title  
Source: European Commission services 

Architects/Civil engineers 

These professions are regulated by both reserves on activities and a protected title. 

In 2007 a register was introduced for architects and civil engineers alongside title protection. 
Further  in  2014,  they  also  underwent  regulatory  changes  to  introduce  reserves  on  activities 
which  they now  share  and  include: building  design;  mandatory  certification  of  compliance; 
design  and planning  feasibility  studies;  the  preparation  submission  and  signing  of technical 
compliance  documents;  construction,  monitoring  and  supervision  of  projects  /  other 
professionals and; urban/landscape planning.  

For architects, 5 years education plus 2 years postgraduate practical professional experience 
is required.  For Chartered Engineers 5 years of education and minimum 3 years of practice is 
required.  Alternative  routes  are  available  to  applicants  based  on  further  learning  and 
professional practice.  

Continuous professional development has also been  introduced  but at 40 hours operated by 
the  Royal  Institute  of  Architects  Ireland  (RIAI  –  the  registration  body)  and  for  Civil 
Engineers, starting 2017, an annual minimum of 35 hours will be required. This also will be 
operated by the registration body.  

The Commission is aware of issues many 'Architectural Technologists' have had to be able to 
continue  to  operate  in  their  profession  since  the  introduction  of  reserves  and  especially  the 

81 

 
 
 
 
difficulties  they  have  faced  to  enter  the  register  as  an  architect  or  civil  engineer  through 
various grandfathering provisions.  

Accountants 

The profession is regulated by reserves of activities (statuary auditor, examiner and liquidator 
–  shared).  Title is  protected, but  not  on a statutory basis: is  conferred by the Accountancy 
Body.  

Ireland applies many cumulative measures, including exercise restrictions, high membership 
fees for registration and particularly high continuous professional development requirements 
which vary across the Designated Accountancy Bodies (e.g. 120 hours required over 3 years 
with a minimum requirement of 30 hours in any one year). 

Concerning shareholding requirements, Ireland requires at least 50 % of the shares to be held 
by professionals. 

Lawyers 

The legal profession in Ireland is divided between solicitors and barristers, regulated by both 
reserves of activities and a protected title. 

No database information has been submitted for the professions of barrister or solicitor.  

Ireland  implements  title  protection  and  a  high  range  of  reserves  on  activities  as  well  as  a 
number of other measures.  

A  barrister  is  a  specialist  advocate  focusing  primarily  on  court  proceedings,  but  also 
providing  legal  advice  and  opinions  on  complex  areas  of  law.  Barristers  also  appear  as 
advocates in arbitration and statutory tribunals and other forms of dispute resolution. 

On  the  other  hand,  solicitors  provide  legal  advice  and  they  may  in  addition  handle  clients’ 
funds, provide safe custody of original documents, or administrative services. 

For  instance,  to  qualify  as  a  solicitor,  one  must  pass  the  entrance  examination  in  law  in 
several  legal  subjects,  carry  out  2  years  period  of  training  in  a  solicitor’s  office,  follow 
vocational  training  courses  and  pass  an  examination,  organised  by  the  Law  Society  of 
Ireland. 

Registration with the relevant professional body is compulsory. 

The relevant professional bodies are the Law society (for solicitors) and the Bar Council (for 
barristers). The Legal Services Bill 2011 introduced a Legal Services Regulatory Authority to 
oversee solicitors and barristers. 

Ireland also implements continuous professional development at 10 hours.  

Of note in particular is the use of restrictions on corporate forms. For example, as a condition 
of  their  membership  of  the  Law  Library  (Professional  Body),  Barristers  are  presently 
permitted to be sole traders only. Unlike barristers, solicitors are allowed to join together to 
form  partnerships  or  companies.  There  are  also  incompatibilities  of  activities.  Legal 
practitioners must have professional indemnity insurance 

Patent agents 

Patent agents are regulated by way of a protected title.  

82 

 
 
Ireland does request a qualification period of 6 years, consisting of 3 years of education, and 
completion  of  a  minimum  3  years  traineeship  within  an  office  of  a  Patent  Agent,  and  only 
offers  this  one  route  into  the  profession.  The  education  period  must  be  in  a  scientific 
discipline.  

Ireland does not impose any insurance requirements. 

Real estate agents 

This profession has been regulated since 2011 through a reserve of activities. 
Ireland implements a high level of reserves (the possibility to provide 'a property service'50 is 
reserved only to license holders). 

There are 3 routes to obtain a licence: (i) Academic achievement measured through the study 
of  seven  specific  subjects  (Valuations;  Marketing/Practice  Knowledge;  Economics;  Law; 
Property  Management;  Building  Construction/Technical;  Business  Studies/  Professional 
Development)  with  a  specific  minimum  number  of  ECTS  required  for  each  subject  (ii)  3 
years'  experience  of  lawfully  providing  the  property  service  in  the  5  years  preceding  the 
making of licence application or (iii) a combination of education and experience. 

Registration in a professional body is compulsory.  

There are continuous professional development requirements.  

There are no restrictions on corporate form, but the company must be licensed as must each 
person who provides property services within the business. Real estate agents are prohibited 
from giving financial advice unless a waver is signed by buyer and vendor. 

Tourist guides 

The profession is not regulated in Ireland. 

50 “property service” means the provision, for consideration, in the State, in respect of property located within or outside the 
State, of any of the following— (a) the auction of property other than land, (b) the purchase or sale, by whatever means, of 
land,(c) the letting of land (including a letting in conacre or for the purposes of agistment), or (d) property management 
services, 

83 

 
 
                                                            
   ITALY   
_______________________ 

I. 

Overview 

On  1  November  2016  Italy  had  submitted  information  about  176  regulated  professions. 
Among those professions, 26,1% concern business services, 2,8% the construction sector and 
0,6% the real estate sector.  

According  to  a  recent  EU  wide  survey51,  19%  of  Italian  labour  force  can  be  considered  as 
working in regulated professions. This is lower than the EU average (21%). 

As  indicated  in  chart  1,  for  accounting,  legal  and  real  estate  activities  business  churn  (or 
turnover) rate52 is lower in Italy than in the EU on average as well as compared to the average 
for the total Italian economy. This may be interpreted as an indication of the relatively low 
dynamism and competition within regulated professions present in these sectors in Italy.  

Chart 1: Business churn rate in selected occupations, Italy and the EU, 2013-14 (%) 

Italy  has  participated  actively  in  the  mutual  evaluation  exercise  and  has  completed  the 
submission of information on the regulated professions.  

In the national action plan (NAP), Italy defined three horizontal lines of action: the revision 
of training courses and adaptation of state exams for certain technical professions (engineers, 
technical  consultants)  to  clarify  the  scope  of  reserved  activities  and  competences;  the 
establishment  of  a  technical  working  group  to  identify  minimum  national  standards  for 
professions where training is devolved to the regions and to identify all professions regulated 
at regional level to assess if the regulation is justified and has added value. 

51 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
52 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

84 

 
 
 
 
                                                            
In  addition  to  these  horizontal  measures,  the  NAP  contains  concrete  measures  for  some 
professions, for instance for professions in the tourism sector (although not always going into 
the direction of less barriers) and beauticians.  

In  addition  to  the  NAP,  on  15  September  2016,  Italy  submitted  to  the  Commission  its 
analysis of the National Action Plans & the proportionality assessments prepared and carried 
out by other Member States announcing that, similar to the NAP from France, Italy was about 
to review the crafts professions "through the inventory of regional qualifications and creation 
of  a  national  list  to  define  characterising  and  specific  reserved  activities  of  a  determined 
profession." 

In 2016, the European Commission addressed a country  specific  recommendation to Italy 
in the area of regulated professions:  

Swiftly adopt and implement the pending law on competition. Take further action to increase 
competition in regulated professions, the transport, health and retail sectors and the system 
of concessions. 

II. 

Situation concerning the analysed professions  

In Italy, certain professions come under the shared competence of the State, the Regions and 
the Autonomous Provinces. Regions are competent for the professional training required for 
some  regulated  professions  and  for  the  concurrent  regulation  of  professions  alongside  the 
State. 

For  the  professions  organised  by  orders  or  colleges  (liberal  professions  like  architects, 
engineers,  accountants,  lawyers),  reforms  are  planned  for  lawyers  through  the  Competition 
Law  2015  and  for  certain  technical  professions  (engineers,  technical  consultants)  with  the 
revision of training courses to clarify the scope of reserved activities and competences which 
currently overlap in many cases.  

The  level  of  restrictiveness  is  higher  in  Italy  compared  to  the  EU  weighted  average  for  all 
professions analysed with the exception of the lawyer profession where it is less restrictive. 
Amongst the professions analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Italy and the EU  

Source: European Commission services 

85 

 
 
 
Architects/Engineers 

The  professions  of  architect,  civil  engineer  and  technical  consultant  (architetto,  ingegnere, 
geometra, perito industriale (building)) are regulated by way of reserves of activities. Given 
the broad range of reserved activities, no other provider can use the title. 

Depending  on  the  complexity  and  size  of  the  construction,  the  reserved  activities,  for 
instance, construction cost management or monitoring of construction /execution, are shared 
between  five  professions  (Architetto,  Architetto  iunior,  Ingegnere  Civile-ambientale, 
Ingegnere  Civile-ambientale  iunior,  Perito  industriale  (Building)  and  Geometra).  For 
instance, the constructions with significant artistic character or renovation and restoration of 
buildings  protected  for  antiquity  and  fine  art,  are  exclusively  reserved  to  the  architect; 
however,  the  technical  part  of  it  can  be  executed  by  the  engineer  as  well.  The  "junior 
professionals"  have  a  role  of  support  and  co-operation  during  the  whole  building  process, 
starting from the project to the final testing, that remains reserved to architects and engineers. 

In  its  NAP,  Italy  declares  that  it  is  often  difficult  to  trace  a  clear  distinction  between  the 
competencies of each profession based on the existing provisions. This is the reason why a 
revision of training courses for engineers and technical consultants will be undertaken.  

Following the Bologna process Italy introduced 3+2 years training programmes (bachelor and 
master) and the profession of junior architect and junior engineer for graduates of the 3 year 
cycle. 

Accountants 

Two professions have been considered as covered by this chapter: Chartered Accountant and 
Accounting  Expert,  both  of  them  regulated  by  way  of  reserved  activities.  Following  the 
Bologna process introducing a university training programme of 3+2 years, the profession of 
accounting expert was created for graduates of the 3 year cycle.  

The  authorisation  to  practice  the  professions  is  obtained  with  passing  a  State  exam  after 
completion of an internship of 18 months.  

Registration with a regional order is mandatory. Orders are divided into two sections: A) if 
enrolled  as  Chartered  Accountants  and  B)  for  the  registration  as  Accounting  Experts.  The 
activities reserved by law are wide for both professions, but only a Chartered Accountant can, 
e.g, defend the client in front of the Tax Court. Some activities are shared with other specific 
professions (e.g. the appointment as curator of bankruptcy procedures is shared with lawyers, 
appointment as referee for judicial sales can also be for lawyers and notaries). Assistance in 
matters  of  social  security  and  social  assistance  of  employees  is  reserved  to  Labour  law 
Experts  (Consulenti  del  lavoro)  but  also  shared  with  Accountants  and  Lawyers.  Given  the 
broad range of reserved activities, no other provider can use the titles.  

Until  2010,  the  Chartered  Accountant  could  enrol  in  the  Register  of  "Statutory  Auditors". 
Under  the  new  legislation,  the  chartered  accountant  must  have  done  a  specific  three-year 
traineeship  with  a  statutory  auditor.  Moreover,  he  must  pass  a  State  exam  with  extra 
examinations on subjects typical of the auditing profession.  

The  profession  of  Accountant  is  incompatible  with  the  profession  of  notary,  journalist, 
entrepreneur, public service contractor and merchant banker. 

Lawyers 

The  legal  profession  in  Italy  is  regulated  by  way  of  reserves  of  activities  covering  the 
representation of clients before courts. The level of qualification required is Master's degree 

86 

 
 
in  law,  18-month  professional  traineeship,  successful  completion  of  a  State  exam  and 
enrolment to the Bar.   

To be admitted to plead before the Supreme Court ("Avvocato cassazionista"), a lawyer shall 
be  enrolled  in  a  special  register,  which  is  kept  by  the  National  Bar  Council.  To  this  end, 
he/she has to prove that he has worked for twelve years at least as a lawyer before the Courts 
of Appeal and Tribunals.  

From 2017, it will be necessary for these lawyers: 

-  to  have  passed  an  exam,  not  before  the  expiry  of  a  five-year  period  of  exercise  of  the 
profession  before  the  courts  of  first  and  second  degree,  together  with  a  creditable  and 
profitable practice for the same period, with an "Avvocato cassazionista"; 
- Or alternatively, having passed a final verification of eligibility at the end of the school 
of advocacy (access subject to at least 8 years of registration with a bar), as well as for the 
effective exercise of the profession. 

In 2012, continuous professional development obligations were introduced. 

Although  a  Ministerial  Decree  of  2013  states  that  there  is  the  possibility  to  constitute 
companies between professionals with no restriction on the corporate form/type of entity to 
be used to exercise related activities and also no prohibition on joint practices, the National 
Bar  considers  that  this  does  not  apply  to  lawyers  because  it  does  not  respect  all  guiding 
principles of the 2012 lawyers' reform (Law 247/2012).  

The  draft  competition  law  2015  (at  the  moment  in  discussion  at  the  Senate  for  the  final 
adoption  process)  proposes  to  eliminate  the  constraint  for  lawyers  to  belong  to  only  one 
professional  association,  to  enable  multi-professional  companies  and  to  open  shareholding 
requirements  to  non-lawyers.  The  draft  law  would  reduce  the  acts  for  which  a  notary 
authentication is required and where acts could be established by other professionals such as 
lawyers and accountants. The bill also would allow other professionals to prepare acts for real 
estate transactions which are limited in size and do not relate to property units for residential 
purposes. However, this possibility, apparently, has been taken out from the draft law. 

Following a new decree  from  February  2016, the District  Bar Council will check that each 
lawyer registered exercises the profession continuously, regularly and prevailing. One of the 
indicators  to  measure  it  is  at  least  five  businesses  each  year,  even  if  the  professional 
assignment is  given by another trader”. It seems that through this  decree the intention is  to 
avoid the "parking" effect of many inactive professionals in the Bar registry (in Italy there is 
a huge number of lawyers compared to the demand).  

There  is  a  significant  number  of  Italian  citizens  going  abroad  after  their  studies  in  Italy  to 
finalise their training and obtain a professional title in another Member State, in particular in 
Spain,  to  then  ask  for  recognition  based  on  the  Professional  Qualifications  Directive.  This 
might be one of the indications that Italian graduates find it particularly difficult to obtain full 
access to the profession in Italy.  

Patent agents 

The Profession is regulated through reserves of activities. Given the broad range of reserved 
activities, no other provider can use the title. 

Professionals must be members of the "Ordine dei Consulenti in Proprietà Industriale".  

The reserves of activities cover counselling and representation before the Italian Patent and 
Trademark Office and the Board of Appeal. This reserved activity is shared with lawyers.  

Enrolment in the register of Patent Agents is obligatory. 

87 

 
 
The  order  gathers  together  2  professions/sections:  (1)  Patent  Section  reserved  for  Agent 
(qualified  to  advise  on  inventions,  utility  models,  designs,  new  plant  variety  rights  and 
semiconductor  topographies  -  usually  chemists  or  engineer),  and  (2)  Trademark  Section 
reserved  for  Agent  (qualified  to  advise  on  trademarks,  distinctive  signs,  geographical 
indications and designs).  

Based on the assessment, needs of reforming have being detected for the profession of Patent 
Agent  /  Trademark  agent.  This  is  under  analysis  of  a  Commission  at  the  Ministry  for 
Economic Development. 

Real estate agents 

The  profession  of  Real  Estate  Agent  in  Italy  is  regulated  by  way  of  reserves  of  activities.  
Given the broad range of reserved activities, no other provider can use the title. 

There is no legal definition of the activities but rather of the real estate agent as a professional 
who  brings  together  two  or  more  parties  to  conclude  a  deal  concerning  a  property,  without 
being tied to any of them through working relationships, employment or representation. This 
reserved  activity  is  shared  with  the  “Agent  with  undisclosed  agency  agreement”  (with 
mandate/delegation  for  pecuniary  interest),  but  the  latter  operates  as  a  representative,  acts 
upon  a  mandate  for  one  of  the  parties  involved  from  which  he  receives  commissions. 
Registration in a specific list in the general Chamber of Commerce is compulsory. Everyone 
exercising  the  activity  of  brokering  without  being  registered  shall  be  punished  with  an 
administrative sanction.  

The professional requirements are:  

- to have a secondary school diploma, have completed a training course of minimum 80 
hours with the Chamber of Commerce or at training institutions accredited by the Regions 
and  have  passed  an  examination  designed  to  ensure  aptitude  and  professional  ability;  or 
- to have obtained a secondary school diploma and have carried out a practical period of at 
least  twelve  consecutive  months  with  the  compulsory  attendance  of  a  specific  training 
course (though this method of access is not yet applied). 

Recent  reforms  introduced  the  obligation  to  provide  appropriate  insurance  covering 
professional  risks.  It  has  also  been  established  that  the  practice  of  brokering  sales  is 
incompatible with: 1) any public or private employment, except in enterprises or companies 
whose  purpose  is  brokering;  2)  the  exercise  of  business  and  professional  activities,  not 
including  mediation  activities  in  sales  still  exercised;  3)  legal  representation  of  companies 
whose activity is incompatible with the mediation in sales. The incompatibility is supposed to 
guarantee the operator's impartiality.  

Tourist guides 

Tourist  guides  are  regulated  by  means  of  reserves  of  activities.  In  Italy  there  also  exists  a 
regulated  profession  of  Tour  Manager  (accompagnatore  turistico)  who  accompanies 
individuals  or  groups  of  people  on  journeys  through  the  country  or  abroad,  and  provides 
significant news and information concerning transit zones which are interesting from touristic 
point of view and do not belong to the scope of competence of the tourist guide. 

To  become  a  tourist  "licensed"  guide  in  Italy,  one  has  to  pass  a  public  examination.  Some 
Regions organise vocational training courses to prepare for it. The call for the exam is usually 
published  every  two  years  by  the  province  or  municipality.  The  degree  in  Arts  (with 
specialization  in  archaeology,  art  history)  or  equivalent  degree  exonerates  from  the  public 
examination when requesting the licence. 

88 

 
 
It has to  be noted that, since the entry into force of the European  Law 2013, tourist guides 
from other Member States could exercise their activities in the whole territory whereas tourist 
guides  established  in  Italy  were  limited  by  the  regional  validity  of  their  authorisation  to 
exercise  the  profession.  A  transitional  rule  was  introduced  in  2015  to  remedy  the  lack  of 
recognition  of  tourist  guide  license  on  the  whole  national  territory  for  the  Italian  tourist 
guides already authorized at regional level. In 2015 a new decree was adopted establishing a 
list of sites of special historical, artistic or archaeological interest, reserved to tourist guides 
having acquired a specific authorisation. This decree affects tourist guides established in Italy 
as well as the cross-border provision of services.  

89 

 
 
   LATVIA   
_______________________ 

I. 

Overview 

On  1  November  2016  Latvia  had  submitted  information  about  267  regulated  professions. 
Among those professions 4,1% concern business services, 4,1% the construction sector and 
0,4% the real estate sector.  

According to a recent EU wide survey53, 15% of Latvian labour force can be considered as 
working in regulated professions. This is significantly lower than the EU average (21%). 

As  indicated  in  chart  1,  for  all  professions  selected,  business  churn  (or  turnover)  rate54 is 
significantly  lower  in  Latvia  than  in  the  EU  on  average.  This  may  be  interpreted  as  an 
indication  of  the  relatively  low  dynamism  and  competition  within  regulated  professions  in 
Latvia. 

Chart 1: Business churn rate in selected occupations, Latvia and the EU, 2013-14 (%) 

Latvia  has  provided  all  the  requested  information  in  the  context  of  the  mutual  evaluation 
exercise.  In  its  national  action  plan,  Latvia  presented  a  comprehensive  overview  of  the 
regulatory framework announcing a limited number of changes.  

General  actions  focus  on  ensuring  cooperation  in  policy  planning,  quality  control  through 
independent accreditation of study programmes, raising public awareness, identifying data for 
evidence-based  policy  planning,  evaluating  the  scope  of  Law  on  Regulated  Professions  (to 
the  extent  that  it  includes  professions  covered  by  other  sectoral  EU  directives  and/or 
international conventions); clarification (in 2016-2017) of the scope of activities, certification 

53 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
54 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

90 

 
 
 
 
                                                            
and registration requirements for certain professions55, development of professional standards 
for  certain  regulated  professions  and  maintenance  of  classification  of  occupations,  and 
increase in quality of certification/recognition of qualifications. 

For  a  few  professions,  new  regulation  is  under  review  (e.g.,  psychologists,  downhill  ski 
instructors)  or  the  regulation  has  been  abolished  (i.e.,  teacher  of  security  advisers, 
hydrographers). 

II. 

Situation concerning the analysed professions  

There  is  significant  number  of  specialties  regulated  in  Latvia,  especially  in  the  health  and 
transport areas.  

In order to start independent activities generally there is a requirement to obtain a certificate 
or  to  undergo  a  certification  process  with  the  professional  organisation  in  the  sector 
concerned  (or  the  state  authority,  as  relevant).  The  use  of  titles  of  regulated  professions  is 
protected by Section 5 of the Law on regulated professions. Where validity of certificates is 
limited in time, the professionals are usually required to re-certify every 5 years. 

The level of restrictiveness is lower in Latvia compared to the EU weighted average for the 
profession of lawyer. It is however higher in the case of the civil engineers and at a similar 
level for architects. Amongst the professions analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Latvia and the EU  

Source: European Commission services 

Architects/Engineers 

In the area of construction, Latvia regulates architects, civil engineers and site managers.  

The  legislation  lays  down  the  requirements  for  obtaining  certificates  for  construction 
specialists  in  the  areas  of  architecture  and  construction.  Certification  for  construction 
specialists  covers  around  80  different  types  of  certifications  in  the  area  of  construction, 

55 Medical practitioners, sworn auditors, security employees, expert for protection of species and biotypes, surveyor, welder 
of metal materials, and non-destructive testing specialists. 

91 

 
 
 
                                                            
namely  16  certifiable  areas  of  activity  within  each  of  the  following  specialties:  design, 
construction work management, and construction supervision; 32 certifiable areas of activity 
within  the  specialty  of  construction  expert  examination.  A  person  may  obtain  a  right  to 
professional  practice  in  one  or  more  of  the  certifiable  areas.  However,  construction  expert 
examination can be carried out only in such fields in which the professional has also obtained 
a right to practice.  

Evaluation  of  competencies  and  supervision  of  construction  specialists  is  entrusted  with 
accredited private legal entities (“personnel certification bodies”). Information about certified 
construction specialists is entered in the register of the state construction information system. 

Professional  activities  of  construction  specialists  are  grouped  into  the  following  areas: 
architect practice, design, building, construction work management, construction supervision, 
and construction expert examination.  

Most  certifiable  activities  appear  to  be  shared  amongst  the  certified  specialist  having 
education  in  architecture,  civil  engineer  (or  a  related  engineering  program)  and  required 
professional experience. The activities are shared especially for large scale projects, including 
preparation of feasibility studies, construction cost management, monitoring of construction, 
examination  of  design  and  related  documentation,  preparation  of  technical  control  and 
compliance documentation etc. The activity exclusively reserved to architects is leadership of 
development  of  architectural  design,  and  the  activity  reserved  only  for  civil  engineers  is 
construction  expertise.  Interior  design  is  not  regulated  (i.e.  not  subject  to  qualification 
requirements). 

Training  requirement  for  civil  engineers  is  generally  4  years  of  education,  i.e.,  either  level  
1  (non-university)  or  level  2  (university  education)  in  a  study  programme  in  construction 
engineering,  followed  by  at  least  3  years  of  professional  experience,  and  an  exam.  Level  
1 engineer can obtain certificates only in certain fields (construction work management and 
construction supervision). Certification procedure is carried out by the Latvian Association of 
Civil Engineers. 

Training  requirement  for  architects  consist  of  architectural  studies  at  university  level 
(generally 5 years) and professional experience of at least 3 years under direct supervision of 
an  architect,  and  the  competence  test  (on  3  theoretical  issues  and  a  practical  task). 
Certifications  are  organised  by  the  Certification  Board  of  the  Latvian  Association  of 
Architects . 

Construction  specialists  have  a  duty  to  raise  their  professional  expertise  each  year  in 
accordance with the list of topics and the scope of expertise-raising events published on the 
website  of  the  relevant  expertise  inspection  body.  This  can  be  done  by  participating  in 
continuous  professional  development  programmes,  attending  informational  seminars  and 
carrying  out  any  other  continuous  professional  development  activities  in  the  area  of 
certification. In the event of non-compliance with this requirement, institution evaluating the 
expertise may suspend validity of the certificate or even revoke it. 

Professional indemnity insurance is required in cases of permanent establishment. 

Accountants 

The  profession  of  accountant  is  not  regulated  in  Latvia.  Only  the  profession  of  “sworn 
auditor” is regulated in the area of accounting and auditing.  

92 

 
 
 
 
 
Lawyers  

The activities of sworn advocates (as well as assistant sworn advocates) are regulated by the 
Advocacy Law by way of reserves of activities and the protected title. 

An  advocate  is  an  independent  and  professional  lawyer  who  provides  legal  assistance  in 
defending and representing the lawful interests of persons in court proceedings and pre-trial 
investigations,  provides  legal  consultations,  prepares  legal  documents  and  performs  other 
legal activities. Advocates are persons belonging to the court system for conducting cases in 
any  court  and  in  pre-trial  investigation  institution  of  the  Republic  of  Latvia  upon  being 
commissioned  and  chosen  by  the  parties, the accused  and other  participants (clients)  of  the 
case,  as  well  as  in  cases  specified  in  the  Law  upon  being  commissioned  by  court  judges, 
chairpersons  of  pre-trial  investigation  institutions  and  the  Latvian  Council  of  Sworn 
Advocates.  Advocates  shall  also  provide  other  legal  assistance  in  accordance  with  the 
procedures specified by law. 

A number of activities are shared with other related professions: drawing up legal documents 
(prosecutor, judges, notaries, legal advisers, bailiffs), legal advice (including in tax matters), 
representation before administrative authorities (including tax authorities) is shared with legal 
advisers. 

Mandatory  qualification  requirements  consist  of  state-recognised  diploma  of  second-level 
higher education in law science and have obtained the professional qualifications of a lawyer 
and professional experience of 3 years (as judge), 5 years (as prosecutor, sworn bailiff, sworn 
notary,  or  an  assistant  to  sworn  advocate)  or  7  years  (as  academic  personnel  specialised  in 
law  at  an  institution  of  higher  education  or  in  any  other  position  with  juridical  specialty), 
followed by an advocate examination (Holders of Doctors’degree in Law Science are exempt 
from the exam). 

Advocates are required to comply with the following: faultless reputation, age of at least 25 
years, fluency in Latvian at the highest level, absence of trusteeship established over them, no 
declaration  by  court  as  insolvency  debtors,  clean  criminal  record  (not  being  suspects  or 
defendants  in  the  criminal  proceedings  for  committing  an  intentional  crime,  etc.);  no 
disciplinary sanctions in the last 5 years of being dismissed from the position of judge, sworn 
bailiff,  assistant  to  a  sworn  bailiff,  sworn  notary  or  assistant  to  a  sworn  notary,  etc.;  no 
occupations that are incompatible with the position of sworn advocate (due to ethical reasons 
as  regarded by the Council of Sworn Advocates) or  being employed in  state administrative 
institution, except for teaching staff and duties of legal adviser. 

Sworn advocates must practice individually or in collaboration exclusively with other sworn 
advocates.  Sworn  advocates  may  establish  offices  of  sworn  advocates,  registered  in  the 
Latvian  Council  of  Sworn  Advocates.  It  is  permitted  to  employ  other  non-legal  staff 
(technical, administrative, financial) under employment contracts.  

Latvian national action plans provides that in February 2015 a working group has been set up 
for  improving  the  quality  of  the  institute  of  advocacy.  The  working  group  has  pointed  to  a 
need  for  amendments  to  the  Advocacy  law  to  address  the  following  matter:  legal  status  of 
lawyer’s  offices,  clarify/raise  the  quality  and  education  requirements  (review  of  advocate 
examination),  provide  for  liability  for  non-compliance  with  continuous  professional 
development requirements, introduction of mandatory indemnity insurance. 

Patent agents 

The profession is not regulated in Latvia.  

93 

 
 
Real estate agents 

The  profession  of  real  estate  agent  is  not  regulated  in  Latvia.  The  proposal  to  regulate  real 
estate agents was rejected as it was widely criticised by the professional organisations. 

Latvia  has  notified  regulation  of  profession  “real  estate  appraiser”  regulated  by  way  of 
reserve of activities. As from September 2014 real estate appraisers determine a market value 
of  real  estate  in  all  real  estate  property  in  accordance  with  the  Latvian  National  standard 
"Property  valuation"  (LVS  401:  2013),  the  European  and  International  Valuation  Standards 
and the requirements of the regulatory enactments of the Republic of Latvia. This is a recent 
change  to  prior  regulation  where  appraisals  were  only  required  for  deals  with  pledged 
mortgage  loans.  Such  extension  of  reserved  activities  was  aimed  at  solving  the  problem  of 
real  estate  market  distortion.  Professionals  are  certified  by  the  Latvian  Association  of 
Property Appraisers. 

Qualifications required consist of 3-4 year academic course (at postsecondary level), one year 
of  postgraduate  studies  in  the  field  of  real  estate  appraisal  (only  if  post-secondary  studies 
were  not  in  real  estate  filed,  but  rather  in  technical  sciences  or  economics),  and  at  least  3 
years of traineeship; typically the time necessary to obtain these qualifications is 6 to 7 years. 

Tourist guides 

There are no regulated professions in the tourism sector in Latvia. 

94 

 
 
   LITHUANIA   
_______________________ 

I. 

Overview 

On  1  November  2016  Lithuania  had  submitted  information  about  76  regulated  professions. 
Among those professions, 9,2% concern business services, 1,3% the construction sector and 
1,3% the real estate sector.  

According to a recent EU wide survey56, 18% of Lithuanian labour force can be considered as 
working in regulated professions. This is lower than the EU average (21%). 

As  indicated  in  chart  1,  for  accounting,  legal,  architectural  and  travel  agency  activities 
business churn  (or turnover) rate57 is  slightly or significantly lower in  Lithuania than in  the 
EU  on  average  as  well  as  compared  to  the  average  for  the  total  Lithuanian  economy.  This 
may be interpreted as  an indication of the relatively  low dynamism and competition within 
regulated professions present in these sectors in Lithuania.  

Chart 1: Business churn rate in selected occupations, Lithuania and the EU, 2013-14 (%) 

Lithuania  was  active  in  the  mutual  evaluation  exercise  and  has  provided  the  requested 
information.  On  10  October  2016,  Lithuania  had  submitted  all  the  general  information 
concerning  regulated  professions  and  has  also  assessed  all  the  professions  as  to  the 
proportionality of their regulation. 

In its national  action  plan, Lithuania presents an overview of the regulatory framework of 
the  regulated  professions.  The  action  plan  is  largely  supported  by  the  findings  of  an 
independent  screening  study  commissioned  by  the  government  and  suggests  overall  little 
need for major reforms. While the number of regulated profession is relatively low, over the 
introduced  (i.e.,  bankruptcy 
last  five  years  three  new  regulated  professions  were 

56 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
57 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

95 

 
 
 
 
                                                            
administrators,  restructuring  administrators,  and  property  or  business  appraisers).  More 
regulation  has  also  been  foreseen  in  health  care  and  education  sectors.  Since  2013,  no 
profession has benefitted from a reduction in regulatory requirements. 

II. 

Situation concerning the analysed professions  

The  list  of  professions  regulated  in  the  Republic  of  Lithuania  is  approved  by  order  of  the 
Minister of Economy; it includes the following professions covered by the present document: 
architect, civil engineer, advocate, property and business valuator, and a tourist guide. 

The level of restrictiveness is lower in Lithuania compared to the EU weighted average for all 
professions  analysed  except  for  tourist  guide  where  it  is  higher.  Amongst  the  professions 
analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Lithuania and the EU  

Source: European Commission services 

Architects/Engineers 

Both professions are covered by the same law and can be grouped into two main categories: 
“unattested”  architects  (or  civil  engineers)  and  “attested”  architects  (or  civil  engineers). 
While unattested professionals need to comply with established qualification and professional 
experience requirements in order to pursue the activities reserved to them, attested architects 
and  civil  engineers  shall  undergo  a  mandatory  certification  procedure  and  obtain  a 
qualification certificate. 

The Law on Construction defines the following key areas of technical construction activities: 
construction  investigation,  building  design  and  building  project  supervision,  construction 
project  expertise  and  building  expertise,  construction  works,  and  technical  supervision  of 
building construction. 

Managing  these  key  areas  of  construction  activities  in  the  structures  of  exceptional 
significance  (as  well  as  activities  in  territorial  planning)  is  reserved  to  “attested”  architects 
and/or civil engineers. Managing key areas of construction activities in the structures of non-
exceptional significance can be carried out by both unattested and attested professionals. 

96 

 
 
 
Certain activities are exclusively reserved. In particular, only architects can be in  charge of 
architectural part of the design documentation and of its supervision, and only civil engineers 
may act as a head construction works of buildings/engineering structures. 

The activities in the interior design/interior decoration as well as those concerning tender and 
contract administration are not reserved. 

The  Law  on  Construction  defines  the  architect  as  a  natural  person  who  is  a  graduate  of 
university  studies  of  the  study  area  in  architectural  field  and  has  a  higher  university  or 
equivalent  education.  Unattested  architects  shall  obtain  a  Bachelor  degree  and  3  years  of 
professional experience, or a Master's degree and 1 year of professional experience. 

Civil  engineers  shall  hold  a  qualification  degree  in  civil  engineering  or  construction 
technologies,  or  other  compliant  qualification  degree  or  any  other  education,  and  the  work 
experience  established  by  legal  acts,  corresponding  to  no  less  than  Level  VI  of  Lithuanian 
Qualifications Framework and allowing to engage in the activities comprising one, several or 
all  the  main  areas  of  technical  construction  activities.  In  general,  3  years  of  training  is 
required (higher education either at a university or college level). For managerial functions in 
key construction activities there are also professional experience requirements (2-3 years). 

Mandatory attestation procedure for architects applies with respect to managing key areas of 
construction  activities  in  the  buildings  of  exceptional  significance  as  well  as  in  the  objects 
related  to  the  nuclear  energy.  In  addition  to  general  qualification  requirements,  more 
professional  experience  is  necessary  for  attested  architects  (3-5  years).  Depending  on  the 
functions to be performed, there might be further professional experience requirements or a 
need  to  prove  specific  professional  knowledge  (such  as  on  knowledge  on  fire  safety).  For 
civil engineers (mostly for activities with structures of exceptional significance) a mandatory 
attestation  procedure  covers  education  and  additional  professional  experience  requirements 
(in the range of 3-5 years). Both attested architects and civil engineers as well as the holders 
of EU qualifications shall pass the test of legal knowledge (the holders of EU qualifications 
may  be  exempted  from  this  requirement  only  in  case  they  want  to  be  in  charge  of 
architectural part of the design documentation and of its supervision). 

The Law on Construction that comes into force on 2017-01-01 requires mandatory attestation 
procedure for architects and civil engineers carrying activities in respect of structures of non-
exceptional significance.  

Mandatory  attestation  for  civil  engineers  is  carried  out  by  the  Construction  Production 
Certification Center (SPSC), while the Chamber of Architect is in charge of the certification 
of  architects  (membership  in  Chamber  of  Architects  is  voluntary  and  open  to  attested 
architects. The draft law is under preparation envisaging extending mandatory membership in 
Chamber of Architects to attested architects). 

Attested  architects  and  civil  engineers  must  update  their  professional  knowledge  at  least 
every 5 years (min. 20 hours of training and test of legal knowledge, if relevant. Since 2017-
01-01 under the Law on Construction the test of legal knowledge is not required). 

Civil  liability  insurance  is  required  only  in  a  few  instances  specified  in  the  Law  on 
Construction,  namely  for  being  a  designer  of  construction  works  and  being  a  technical 
supervisor of the construction. Compliance with insurance requirement is verified at the stage 
of  issuing  construction  permits  and  at  the  stage  of  completion  of  construction  works,  as 
relevant, depending on the activity concerned. The municipality in charge of issuing building 
permits would typically check compliance with this requirement for designing activities. The 
Construction Completion Commission would verify if other participants of construction have 

97 

 
 
the required insurances. Insurance is not mandatory for simple constructions and repairs, and 
in cases of "self-dependent/own" constructions. 

The  Law  on  Construction  sets  out  some  key  requirements  for  civil  liability  insurance  (e.g., 
insurance  can  cover  each  construction  project  separately  or  it  can  be  based  on  the  overall 
extent  of  construction  works  per  year  of  a  company).  However,  there  are  no  provisions  on 
mutual  recognition  in  place  and  no  comparability  mechanisms  established  to  assess  the 
equivalence of insurance from another Member State. 

Accountants 

The  profession  is  not  regulated  in  Lithuania.  The  Law  on  Accountancy  contained  a 
requirement  for  state  examination  for  chief  accountants,  which  had  to  enter  into  force  on 
1.1.2016. This was eventually abolished after the stakeholder consultation carried out by the 
Ministry  of  Finance,  demonstrating  that  intended  mandatory  certification  would  not  have 
improved  qualifications,  but  would  have  rather  increased  company's  costs  and  the 
administrative burden. 

Lawyers  

The profession is regulated by reserves of activities and protection of the title ("Advokatas"). 
The requirements to practice as “Advokatas” are set out in the Law on Advocacy. There is a 
two-step  procedure  before  an  attorney  can  exercise  a  profession  under  the  Lithuanian  title 
"Advokatas": (1) recognition and award of the title of "Advokatas" (this step consists of check 
of  qualifications,  reputation,  language,  Bar  exam,  and  fitness  of  health),  (2)  provision  of  a 
licence to practice as "Advokatas" (this step involves check of compliance with the legal form 
requirements, indemnity insurance, and a solemn declaration/oath). 

The  university  level  education  (Bachelor  and  Master’s  degree  in  law,  or  Law  degree  of  5 
years)  followed  by  5  years  of  professional  experience  in  the  field  of  law  or  2  years  as  an 
assistant  attorney  are  required  qualifications  to  become  “Advokatas”.  Multiple  other 
qualifications are also accepted: 7 years as a judge, 10 years as a public prosecutor or a Phd 
in Law. The acceptance to the Bar is subject to passing the Bar exam. It should be noted, that 
examination of such persons does not cover all legal fields, but rather subjects particular to 
activities  of  practice  of  “Advokatas”,  for  example:  subjects  of  professional  ethics,  work 
organisation and etc. 

Exclusive reserved activities of “Advokatas” include: (i) appearing in front of criminal courts, 
(ii) signing a cassation appeal in civil matters; (ii) participation in a certain civil cases (i.e., 
cases concerning investigation of activities of a juridical person and cases concerning forced 
sale  of  shares).  Other  activities  (such  as  providing  legal  advice,  drafting  of  documents, 
representation  on  legal  matters)  do  not  appear  to  be  reserved.  In  addition,  “Advokatas"  is 
allowed  to  provide  some  specific  regulated  activities  (acting  as  bankruptcy  administrator, 
restructuring  administrator  or  patent  agent)  after  having  complied  with  the  specific 
requirement set out  in the relevant laws (there is  no automatic access to these activities for 
“Advokatas”). 

“Advokatas” is subject to mandatory continuous professional development requirements of 3 
or  6  continuous  professional  development  points  per  year,  depending  on  the  professional 
experience  acquired.  The  points  are  attributed  depending  on  the  type  of  training  activity 
undertaken, e.g. 1 point for a training of less than 4 academic hours, 2 points for training of 
more than 4 academic hours, etc. Costs are fixed only for the trainings organised by the Bar 
Association (e.g., 14,48 EUR for a seminar of less than 6 academic hours). 

98 

 
 
There  are  three  permitted  legal  forms:  (i)  individual  activity;  (ii)  partnership  without 
establishing a  juridical person; (iii) establishment  of an attorney’s partnership  as  a juridical 
person. The partners in the latter form of enterprise enjoy unlimited liability only with respect 
to  obligations  that  are  not  related  to  the  provision  of  legal  services  of  “Advokatas”. 
Membership  and  voting  rights  in  attorney's  partnerships  are  exclusively  reserved  to 
“Advokatas”. Joint practices of advocates and other professionals are not allowed. 

“Advokatas”  must  be  ensured  for  damages  to  clients  over  290  EUR.  Mutual  recognition 
clause  to  assess  the  equivalence  of  insurance  from  another  Member  States  is  in  place.  The 
Lithuanian Bar Association evaluates the sum of insurance and the insurance period. 

Patent attorneys 

The profession is regulated by way of reserve of activities.  

Patent  attorney  shall  be  a  natural  person  representing  at  the  State  Patent  Bureau  of  the 
Republic  of  Lithuania  foreign  natural  persons  who  are  not  permanently  residing  in  the 
Republic  of  Lithuania  nor  in  any  other  EEA  Member  State,  and  representing  foreign  legal 
persons  who  have  no  subsidiaries  nor  representations  registered  in  Lithuania,  nor 
headquarters, subsidiary nor representation in any other EEA Member State. Patent attorney 
may provide to Lithuanian and foreign natural and legal persons other services in the area of 
intellectual property protection and in implementing rights to objects of industrial property. 
There are no special provisions on the rights to represent clients in courts (general rules on 
Civil  Code  apply)  as  well  as  no  specific  rules  apply  regarding  representation  before  other 
administrative national authorities. 

Patent attorneys are required to register in the Register of Patent Attorneys of the Republic of 
Lithuania (hereintafter – the Register). To be registered in this Register, they must meet these 
conditions:  to  have  a  citizenship  of  the  Republic  of  Lithuania  or  another  country  of  the 
European  Union;  to  hold  at  least  the  university  degree  in  technical,  nature  sciences, 
mathematics,  computer  science,  or  law  and  demonstrate  5  years  of  practical  experience  in 
industrial  property  field  and  also  pass  a  qualification  exam.  The  calculation  of  practical 
experience  whereof  cannot  start  earlier  than  the  date  when  the  person  has  been  awarded  a 
university  degree.  In  general,  continuous  performance  of  functions  in  carrying  out 
assignments  related  to  industrial  property  protection,  work  at  a  state  institution  or  an 
international organisation registering objects of industrial property is treated as practical work 
experience in the sphere of industrial property protection. 

Persons  having  gained  the  qualification  of  a  patent  attorney  in  another  Member  State  are 
allowed to pursuit the activities in Lithuania without any procedures of recognition, but they 
also are required to be registered in the Register if they want to provide the services of patent 
attorneys. 

Real estate agents 

The  profession  of  real  estate  agents  is  not  regulated.  The  activities  of  real  estate  agents 
consist  of  voluntary  mediation  between  the  seller  and  the  buyer;  real  estate  agents  do  not 
determine the value of the property nor approve sale and purchase agreements. 

The  activities  of  real  estate  agents  are  subject  to  the  general  legal  norms,  such  as  those 
concerning the contract with clients set out in the Civil Code as well as consumer protection 
laws. The applicable laws provide for both judicial and non-judicial possibilities (mediation) 
to protect the rights of service recipients. In addition, voluntary membership in the Lithuanian 
Association  of  Real  Estate  Agencies  implies  compliance  with  professional  standards. 
Lithuania  has  also  transposed  the  international  standard  “Services  of  Real  Estate  Agents. 

99 

 
 
Requirements for the provision of Services of Real Estate Agents” (EN 15733:2009)”, which 
are of voluntary application. 

In  the  past,  the  stakeholder  associations  have  suggested  regulating  the  profession  of  real 
estate agents by the way of licencing and qualification requirements. However, in view of the 
Government  such  mandatory  licencing  system  would  not  have  met  the  principles  of 
proportionality, as less restrictive means (such as self-regulation and education of consumers) 
were found to be sufficient to remedy the problems in this area. 

Property or business valuator 

In  the  context  of  transparency  screening,  in  2015  Lithuania  has  included  in  the  list  of 
regulated professions the profession of property or business valuator, which is regulated by 
way  of  reserve  of  activities.  Valuators  can  carry  out  valuations  only  in  the  certain  fields 
reflecting  their  qualifications,  i.e.  real  estate,  immovable  property,  or  business  evaluation. 
Valuators  evaluate  the  property  (in  some  specific  cases  property  valuation  is  required  by 
law),  while  purchase  and  sale  transactions  are  approved  by  the  notaries  (who  also  ensure 
compliance with legislative and property registration requirements). 

The Law requires that property or business valuator is of good repute; has a university degree 
(4  years)  in  various  specified  areas  (e.g.,  mathematics,  statistics,  informatics,  engineering, 
economics,  business  managements  for  immovable  property  valuators);  has  experience  of  at 
least three years as an assistant property valuator or as an assistant business valuator; and has 
passed  a  qualification  examination  of  a  property  or  business  valuator.  Valuators  shall  also 
obtain  professional  indemnity  insurance  and  shall  comply  with  continuous  professional 
development obligations (every 3 years, minimum 35 h of training). 

According  to  Lithuanian  authorities,  these  requirements  were  established  to  ensure  the 
necessary level of knowledge (including practical skills), the high quality of services, and to 
reduce  possible  risk of errors and damages. The activities  of  property or business valuators 
require  particular  training,  expertise,  experience  and  thorough  knowledge  of  valuation 
methodology. 

Tourist guides 

The profession of tourist guide is regulated by way of reserved activities and title protection.  

The  reserved  activities  focus  around  the  listed  tourism  objects,  where  only  official  travel 
guides  are  permitted  to  provide  tourist  information  services  (the  list  includes  various 
museums, national parks, historical old towns). Other types of excursions are not exclusively 
reserved to licenced tourist guides. Tourist guide is understood as a natural person, they can 
work on the basis of employment contract or on the basis of individual activity licence. 

Professional qualification of a tourist guide is awarded to persons who have completed higher 
education having attended a special guide training course totalling no less than 250 academic 
hours and covering methods of preparing and conducting a tour, rhetoric, professional ethics, 
communication,  psychology,  Lithuanian  culture,  history,  and  geography  disciplines  and 
having passed a practical tour guidance exam. 

Tourist  guides  may  be  awarded  second,  first,  or  highest  category  (similar  to  a  professional 
title) taking into account their professional experience, ability to work in different languages, 
and the number of tour routes they are able to guide. 

100 

 
 
   LUXEMBOURG   
_______________________ 

I. 

Overview 

On  1  November  2016  Luxembourg  had  submitted  information  about  105  regulated 
professions. Among those professions, 8,6% concern business services. 
According  to  a  recent  EU  wide  survey 58 ,  21%  of  Luxembourg’s  labour  force  can  be 
considered  as  working  in  regulated  professions.  This  is  just  as  much  as  the  EU  average 
(21%). 

As indicated in chart 1, for all professions selected with the exception of real estate activities, 
business  churn  (or  turnover)  rate59 is  lower  in  Luxembourg  than  in  the  EU  on  average  and 
also  lower  than  the  average  churn  rate  for  the  total  Luxembourgish  economy.  This  may  be 
interpreted as an indication of the relatively low dynamism and competition within regulated 
professions in Luxembourg. 

Chart 1: Business churn rate in selected occupations, Luxembourg and the EU, 2013-14 (%) 

Concerning  the  mutual  evaluation  exercise,  on  10  October  2016,  Luxembourg  had  only 
submitted information on 67 of their 162 regulated professions and only one  profession has 
so far been assessed as to its proportionality. Moreover, Luxembourg has still not introduced 
in  the  database  of  regulated  professions  more  than  a  hundred  of  professions  in  the  area  of 
craft, commerce and industry. 

In its national  action  plan, Luxembourg only refers to the 12 professions discussed during 
the  mutual  evaluation  meetings  for  which  there  are  no  plans  to  adapt  existing  regulation. 
Furthermore  it  announces  some  simplification  measures  for  the  recognition  of  professional 
qualifications,  in  particular  for  the  access  to  the  teacher  profession.  It  also  refers  to  the 

58 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
59 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

101 

 
 
 
 
                                                            
 
foreseen  adoption  of  measures  to  ease  SMEs’  administrative  burdens  as  well  as  to  the 
preparation  of  a  programme  to  simplify  and  improve  the  regulation,  although  no  specific 
deadlines are given. 

interior  designer, 

However,  it  is  interesting  to  note  that  Luxembourg  conducted  already  in  2011  a  reform  to 
facilitate  access  to  the  professions  of  arts,  craft  and  industry  as  well  as  to  some  liberal 
professions  (architect, 
landscape  engineer, 
engineering construction, independent engineer (discipline other than construction), surveyor, 
planner, accountant, chartered accountant, economic council, council, council in intellectual 
property)  which  resulted  in  the  adoption  of  the  law  of  2  September  2011.  This  law  brings 
changes  to  facilitate  the  access  to  the  professions  covered  with  simplified  administrative 
procedures and also to enlarge the scope of activities of the professions. 

landscape  architect  or 

Comparing  the 15 months after the reform with  the 15 months  preceding the reform it was 
found that the number of permits issued for new businesses increased by 19% and the number 
of permits issued for existing businesses due to the broadening of activity increased by 172%. 
A total of 30 to 40% of companies have benefited from the reform. 

In  2016,  the  European  Commission  addressed  a  country  specific  recommendation  to 
Luxembourg  in  the  area  of  professional  services  which  was  to  reduce  administrative  and 
regulatory  barriers  for  investments,  such  as  restrictive  authorisation  requirements  and 
restrictions on legal form and shareholding, and impediments to setting up interdisciplinary 
companies, in particular in the area of services.  

II. 

Situation concerning the analysed professions  

The  conditions  of  access  to  and  exercise  of  regulated  professions  are  defined  by  the  State. 
One  particularity  of  the  Luxembourg  Higher  Education  system  is  that  a  number  of 
professional  training  courses  giving  access  to  regulated  professions  are  not  available  in  the 
Luxembourg territory (e.g. for architects). 

The level of restrictiveness is higher in Luxembourg compared to the EU weighted average 
for all the professions analysed except for the profession of patent agent where the opposite is 
true  and  for  the  profession  of  tourist  which  is  not  regulated.  Amongst  the  professions 
analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

102 

 
 
 
 
Chart 2: Restrictiveness indicator, 2016, Luxembourg and the EU  

Source: European Commission services 

Architects/Engineers 

Both professions benefit from a reserve of activities and a title protection. The Luxembourg 
authorities  justify  the  regulation  by  the  need  to  guarantee  the  quality  and  safety  of 
constructions. 

Only  architects  may  establish  architectural  projects.  Anyone  wishing  to  undertake  work 
subject  to  a  building  permit  or  plans  or  urban  design  and  planning  work  must  call  on  the 
services of an architect to draw up an architectural project. This concerns namely "residential, 
administrative,  education,  research  and  healthcare  buildings  and  any  other  current 
construction  not  presenting  any  specific  technical  issues.  The  architect's  scope  of  activity 
includes that of landscape architect and interior designer. 

Concerning civil engineers, anyone wishing to undertake work subject to a building permit or 
urban  design  or  landscaping  plans  must  call  on  the  services  of  an  engineer  to  draw  up  a 
technical project. The law does not define "civil engineer" as a profession, but it defines the 
work of a "consulting engineer", within which it makes a distinction between “construction 
consulting  engineers"  and  "other  engineers".  The  activities  reserved  for  construction 
consulting  engineers  consists  of  "the  design  of  a  technical,  urban  design  or  landscaping 
project, drawing up the associated plans and coordinating the various activities taking part in 
the realisation of the project. This applies in particular to projects relating to "roads, railways, 
bridges, tunnels, barrages, dams, supporting structures, reservoirs, water supply, removal and 
treatment works, river management and energy and telecommunications projects. " 

Architects  and  civil  engineers  (construction  consulting  engineer)  share  some  activities  like 
those  concerning  works  on  industrial  facilities  such  as  factories,  power  plants,  halls  and 
agricultural buildings, as well as works and territory organisation. 

For both professions a Master degree of 5 years in the discipline is required, followed by a 
professional practice of 2 years with respectively an architect or a civil engineer. 

The  Association  of  Architects  and  Consulting  Engineers  organizes  the  professions. 
Registration is mandatory for both professions. 

103 

 
 
 
 
Accountants 

Two professions are regulated in Luxembourg: Chartered accountant (Expert comptable) and 
accountant. Both professions benefit from reserves of activities but only the title of Chartered 
accountant  is  protected.  The  reserved  activities  of  accountants  are  shared  with  Chartered 
accountants  and  company  auditors.  However,  the  activities  of  Chartered  accounts  are 
reserved exclusively to Chartered accountants. 

Chartered  accountants  organize,  assess  and  adjust  the  accountings  of  all  kinds  of  accounts, 
establish balance sheets and analyse, by the methods of accounting techniques, the position 
and  operation  of  companies  and  organizations  in  their  various  economic  and  financial 
aspects.   

Accountants achieve, within the limits imposed by law on the public accounting profession, 
to  third  parties,  the  organization  of  accounting  services  and  advice  in  these  matters.  They 
ensure the opening, keeping, centralization and the closure of accounting records necessary to 
the preparation of accounts, determination of results and they draft the financial statements in 
the form required by the legal provisions on the matter.   

To  become  accountant,  secondary  education  general  or  technical  is  required.  A  Bachelor 
degree in economics, financial studies, management, business law, or equivalent is required 
to  qualify  as  Chartered  accountant.  The  academic  training  must  be  completed  by  a 
professional  practice  of  3  years,  one  of  the  3  years  being  with  an  authorised  chartered 
accountant.  Then  there  is  a  final  examination  on  some  Luxembourg  legislation  for 
accountants. 

Registration with a professional body is mandatory for chartered accountants. 

Chartered accountants must hold the majority of voting rights in a professional company. The 
majority of directors must be chartered accountants.   

Only  joint  practices  composed  of  accountants,  chartered  accountants  and  economic 
consultants  are  possible.  The  chartered  accounting  profession  is  incompatible  with  any 
activity having an impact on the professional independence.  

No such restrictions have been identified for accountants. 

Lawyers 

Lawyers benefit from a reserved of activities and a protected title. Only lawyers can assist or 
represent  parties  and  plead  before  the  courts  of  any  kind,  receive  their  parts  and  titles  to 
represent them before the judges, and sign the acts necessary for the regularity of the process 
and  put  the  matter  in  a  state  to  receive  judgment.  No  person  shall,  directly  or  through  an 
intermediary  give,  on  a  regular  basis  and  against  remuneration,  legal  advice,  or  write  on 
behalf of a third party private deeds, if this person is not authorized to exercise as a lawyer 

To become a lawyer it is required to hold a diploma attesting end of legal studies + 6 months 
theoretical  courses  in  Luxembourg  legislation.  This  academic  training  must  then  be 
completed by a professional practice of 2 years attested by an examination at the end. 

Membership  in  the  Bar  is  compulsory.  The  professional  body  also  organises  continuous 
professional development conference cycles.  

The profession can be exercised through a legal person.  However, shares can only be held by 
lawyers. The exercise of the profession is incompatible with salaried employment, notarial or 
bailiff functions, as well as with the professions of chartered accountant or accountant, trade 
or craft, as well as any activity undermining the independence of the profession. 

104 

 
 
Professional indemnity insurance is mandatory. Other requirements have not been identified. 

Patent agents 

Patent agents (conseil en propriété industrielle) benefit from reserved activities and protected 
title. They have to be registered with the Office of Intellectual Property. 

They have exclusive reserved activity for guiding, assisting and representing constituents in 
the  field  of  industrial  property,  in  particular  in  obtaining,  maintaining,  defending  and 
contesting private rights consisting of patents, trademarks and designs. 

A  Master  degree  in  legal,  scientific  or  technical  studies  or  equivalent  is  required  for  the 
exercise  of  the  profession.  This  academic  training  must  be  completed  by  a  professional 
practice of 3 years with a patent agent attested by a national examination on the Luxembourg 
legislation  relating  to  patents  and  the  Benelux  Convention  on  Intellectual  Property 
(Trademarks and Designs) of 25 February 2005. 

Joint exercise of activities does not appear to be allowed. Other requirements have not been 
reported. 

Real estate agents 

The  profession  of  real  estate  agent  is  regulated  by  way  of  reserved  activities  and  title 
protection.  The  reserve  covers,  in  particular,  the  exclusive  activity  of  acting  as  agents  in 
transactions involving properties. This intermediation is usually performed as a broker in the 
sense  that  the  real  estate  agent  connects  two  people  for  the  conclusion  of  a  contract  for 
properties. The Luxembourg authorities justify the regulation by the complexity of operations 
involved and the financial issues at stake which require consumers’ protection. 

In  order  to  have  access  to  the  profession,  it  is  required  to  hold  either  a  qualification, 
consisting of 3 years professional education including practical training of at least 12 weeks, 
or a professional experience of 3 years or to have followed an accelerated training of more or 
less 40 hours delivered by the Chamber of Commerce. This initial training must be completed 
by  a  training  of  around  50  hours  on  some  Luxembourg  legislation  in  relation  to  real  estate 
attested by an examination. 

In an analogous way Luxembourg regulates access to the activities of property managers and 
"syndics" of common properties.  

Professional  indemnity  insurance  is  mandatory.  There  are  also  general  conditions  for  good 
repute.  

Tourist guides 

This profession is not regulated in Luxembourg 

.  

105 

 
 
 
   MALTA   
_______________________ 

I. 

Overview 

On  1  November  2016  Malta  had  submitted  information  about  138  regulated  professions. 
Among those professions, 8,7% concern business services and 1,4% the construction sector. 

According to a recent EU wide survey60, 17% of Maltese labour force can be considered as 
working in regulated professions. This is lower than the EU average (21%). 

As  indicated  in  chart  1,  for  all  professions  selected,  business  churn  (or  turnover)  rate61 is 
significantly  lower  in  Malta  than  in  the  EU  on  average.  This  may  be  interpreted  as  an 
indication  of  the  relatively  low  dynamism  and  competition  within  regulated  professions  in 
Malta. 

Chart 1: Business churn rate in selected occupations, Malta and the EU, 2013-14 (%) 

As regards the mutual evaluation exercise, while Malta has submitted some information, on 
10  October  2016,  Malta  still  needs  to  submit  70%  of  the  transparency  and  screening 
information on the different regulated professions and almost all professions still need to be 
assessed  as  to  the  proportionality  of  their  regulation.  Comprehensive  information,  was, 
however,  submitted  for  the  selected  professions  of  accountant,  architect/civil  engineer, 
lawyer,  patent  agent, 
following  ad  hoc 
information/verification requests by the Commission during the second and third quarters of 
2016. 

real  estate  agent  and 

tourist  guide 

60 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
61 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

106 

 
 
 
 
 
                                                            
Malta  also  has  not  yet  submitted  its  national  action  plan  on  reform  needs  regarding  its 
regulatory framework for regulated professions.  

II. 

Situation concerning the analysed professions  

The level of restrictiveness is higher in Malta compared to the EU weighted average for all 
the professions analysed except for lawyer where it is slightly lower and for real estate agents 
and patent agents, not regulated in Malta. The profession of lawyer is also the profession with 
the highest restrictiveness level. 

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Malta and the EU  

Source: European Commission services 

Architects/Civil engineers  

Both professions are covered by the same law on 'Periti' and they are regulated by way of a 
protected title and a reserve of activities such as aspects of technical control and valuation of 
buildings and land. The reserved activities are not listed in one act. Instead, references to the 
‘Periti’  as  the  only  professional  that  can  perform  and  assume  responsibility  for  certain 
activities can be found in different legal acts. 

There is a 6 years education requirement composed of 4 years of study and 2 years of training 
or 5-years' study and 1 year of training followed by a state examination.  

There is no mandatory registration obligation with the professional body, no limitation to the 
number  of  licences  granted  and  the  current  Periti  Act  does  not  require  continuous 
professional  development  although  amendments  envisaged  foresee  to  include  such  an 
obligation. 

A  restriction  on  the  use  of  a  corporate  form  by  the  profession  exists  in  the  sense  that  a 
company cannot carry the liability as a legal person; the warranted professional needs to be 
identified within the corporate structure at all times in order to carry the professional liability. 
Concerning shareholding, voting rights and joint exercise of the profession, it has to be noted 

107 

 
 
 
that  civil  partnerships  can  only  be  formed  by  professionals  and  have  to  have  as  exclusive 
object to practice the profession. No other shareholders are allowed.  

The Periti is not required to take out professional indemnity insurance although amendments 
envisaged to the main Act foresee to include such an obligation. There is a certain limitation 
to the joint exercise of different professional activities to avoid potential conflict of interests.   

Accountants 

The  profession  of  accountant  is  regulated  by  way  of  a  protected  title  and  a  reserve  of 
activities such as the drawing-up of financial  statements and issuing  of independent  reports 
on share valuations or valuation of businesses.    

The required education is 5 years of study and a mandatory traineeship of 3 years without the 
need  to  pass  a  state  exam.  Registration  with  the  professional  body  is  voluntary  and  no 
restrictions exist on the use of corporate forms.  

Concerning  shareholding  and  voting  requirement,  more  than  50%  of  the  shares  of  an 
accountancy firm need to be held by licenced accountants. There are no restrictions on joint 
exercise  of  professions  or  professional  activities  as  long  as  the  provisions  on  conflicts  of 
interest found in the Code of Ethics are followed. 

All holders of a licence to practise the profession must spend at least 40 hours per calendar 
year  on  continuous  professional  development  activities  and  the  majority  of  the  voting 
rights/shares in an accountancy firm need to be held by those licenced accountants.   

There is a mandatory professional indemnity insurance that needs to be taken out according 
to national professional indemnity rules.  

Lawyers 

The  legal  profession  is  regulated  by  way  of  a  reserve  of  activity  for  the  representation  of 
clients in court. The title of 'Advocate' and 'Legal Procurator' are as such not protected. 

The education for Advocates is composed of 6 years of study and one year of training at the 
office of a practising advocate at the Bar of Malta and sittings of the superior courts. Legal 
Procurators  need  to  follow  3  years  of  study  and  one  year  of  training  at  the  office  of  a 
practising advocate. Both professions need to pass a state examination.    

Lawyers can only engage in a professional partnership with other lawyers and can only form 
civil partnerships. Accordingly voting rights are limited to lawyers as well.  

There are restrictions on the joint exercise of the profession of lawyer and the compatibility 
of professional activities where conflict of interests may arise. 

There  is  no  obligation  for  lawyers  to  be  registered  with  the  professional  body,  to  take  out 
professional  indemnity  insurance  or  to  follow  continuous  Professional  Development 
activities.  

Patent agents 

Patent agents are not regulated in Malta. 

Real estate agents 

Real estate agents are not regulated in Malta.  There are no requirements to open up or engage 
in  this  professional  activity.  No  rules  of  conduct  or  professional  liability  insurance  apply 
except  those  requirements  which  apply  to  general  businesses.  Consumer  protection  is 
guaranteed under the consumer -and civil law provisions and jurisprudence. 

108 

 
 
Tourist guides 

Tourist  guides  are  regulated  by  means  of  a  protected  title  and  a  reserve  of  activity  for 
"guiding and interpreting the cultural and natural heritage of Malta". 

The education is composed of a 2 years' course provided by the Institute of Tourism Studies. 
No  mandatory  traineeship,  state  examination,  registration  with  the  professional  body  exists 
for tourist guides. However a continuous professional development requirement needs to be 
satisfied otherwise the licence can be suspended or revoked.  

No restrictions exist on the use of corporate forms, holding of shares/voting rights, the joint 
exercise of professions/professional activities and there is no obligation to have a professional 
indemnity insurance.  

109 

 
 
 
 
   THE NETHERLANDS   
_______________________ 

I. 

Overview 

On  1  November  2016  the  Netherlands  had  submitted  information  about  147  regulated 
professions.  Among  those  professions,  19%  concern  business  services  and  4%  the 
construction sector.  
According  to  a  recent  EU  wide  survey62,  25%  of  Dutch  labour  force  can  be  considered  as 
working in regulated professions. This is higher than the EU average (21%). 

As indicated in chart 1, for accounting, construction, architectural and to a lesser extend legal 
activities  business  churn  (or  turnover)  rate63 is  lower  in  the  Netherlands  than  in  the  EU  on 
average  as  well  as  compared  to  the  average  for  the  total  Dutch  economy.  This  may  be 
interpreted as an indication of the relatively low dynamism and competition within regulated 
professions present in these sectors in the Netherlands.  

Chart 1: Business churn rate in selected occupations, The Netherlands and the EU, 2013-14 (%) 

The Netherlands have participated very actively in the mutual evaluation exercise by having 
submitted the general information regarding all its regulated professions and having assessed 
all professions as to their proportionality.  

In  its  national  action  plan,  the  Netherlands  presents  the development  of  a  new instrument 
for  the  proportionality  assessment  of  every  new  legal  act  aiming  at  additional  occupational 
regulation.  The  action  plan  however  only  announces  changes  for  a  limited  number  of 
professions  on  the  account  that  no  serious  access  restrictions  to  regulated  professions 

62 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
63 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

110 

 
 
 
 
 
                                                            
currently  exist  in  the  Netherlands.  The  professions  for  which  reforms  are  planned  are 
accountants, lawyers and architects.  

II. 

Situation concerning the analysed professions  

The level of restrictiveness is lower in the Netherlands compared to the EU weighted average 
for all the professions analysed. Highest restrictions were found for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Netherlands and the EU  

Note: for the professions of accountant and architect the indicator for the Netherlands measures the restrictiveness to carry the protected title  
Source: European Commission services 

Architects 

Architects are regulated by means of title protection without reserving certain activities to the 
professional.  In  addition  to  the  generic  title,  the  Netherlands  regulates  the  professions  of 
garden/landscape/urban planning architect and interior design architect.  

Architects require 7 years of higher education training of which 5 years of study and 2 years 
of traineeship. There is no state exam, no obligation to be member of a professional body or 
to  have  professional  indemnity  insurance.  Also,  no  restrictions  exist  on  corporate  forms, 
shareholdings/voting rights or regarding the joint exercise of professions. There is however a 
continuous professional development obligation of 16 hours per year of which the fulfilment 
must be clearly communicated to the client.  

Civil engineers 

The Netherlands does not regulate the profession of civil engineering although safeguards are 
in  place  to  protect  the  general  interest  objective  at  stake  through  5  year  training  courses  at 
Master  level,  a  system  of  construction  quality  standards  and  a  system  of  voluntary 
certification systems usually applicable to the engineering profession at large. 

Accountants 

The  profession  is  regulated  in  the  Netherlands  by  way  of  a  protected  title  and  requires 
minimum  3  years  practical  training  concluded  by  an  exam.  There  is  a  compulsory 
membership obligation of the professional body and a  continuous professional development 

111 

 
 
 
obligation  of  40  hours  on  a  yearly  basis.  No  restrictions  exist  on  corporate  forms, 
shareholdings/voting rights or regarding the joint exercise of professions. 

Lawyers 

The legal profession in the Netherlands is regulated by way of a protected title and a reserve 
of activity for representing clients in court.  

The education requirement is 8 years of training composed of a bachelor of 3 years, a master 
of 2 years and a traineeship of 3 years and it seems that a state exam needs to be passed.  

Lawyers  have  to  register  with  the Dutch  Bar  Association in  the  district  they  intend  to  hold 
office. In order to get an authorisation to practice, lawyers also have to demonstrate a clean 
criminal record and take an oath. There is an obligation to collect 20 continuous professional 
development points per year which can be earned by way of attending 20 hours of courses, 
teaching  10  hours,  writing  academic  articles  or  doing  other  activities  eligible  for  earning 
credits.  

Lawyers  can  either  work  independently,  as  a  sole  practitioner  or  in  a  partnership  but  the 
liability and responsibility cannot be restricted and almost all shares of a legal practice need 
to  be  held  by  lawyers  or  practitioners  of  an  authorised  profession64.  Although  there  are  no 
restrictions on the compatibility of activities, except for general provisions to avoid conflict 
of interests, lawyers may only enter into a partnership with a closed list of professions such as 
registered notaries, tax advisers, patent attorneys and members of the tax registry.    

Lawyers  are required to obtain  professional  indemnity insurance which can  be taken out  in 
the Netherlands or another Member State on the condition that it has the necessary minimum 
and  territorial  coverage.  The  Dutch  legislation  has  no  specific  mutual  recognition  clause  or 
procedures in place.  

Patent agents 

Patent agents are regulated by way of a protected title and reserved activities. Together with 
lawyers, patent agents are the only ones that can represent clients before the Patent Office.  

In terms of education, patent agents need to follow 8 years of training composed of a 5 years' 
master training and 3 years of traineeship. After having passed the state exam, patent agents 
need to be registered at the Dutch Bar association of patent agents in order to act before the 
Patent Office.  

There is no obligation to have professional indemnity insurance and no restrictions exist on 
corporate  forms,  shareholdings/voting  rights  or  the  joint  exercise  of  professions.  There  is 
however a mandatory continuous professional development program whereby 16 points need 
to be collected per year through several activities such as teaching, attending courses, writing 
articles, acting as a mediator. A general restriction exists on the compatibility of activities for 
patent agents in the Netherlands in order to avoid conflict of interests.  

Real estate agents 

Since  2001,  the  profession  of  real  estate  agent  is  no  longer  a  regulated  profession  in  the 
Netherlands because of new developments in the real estate market. The rise of internet and 
new  technologies  made  it  possible  to  offer  more  real  estate  services  online  providing 
information  on home sales/purchases to  the  customer directly. The traditional role of a real 
estate  agent  who  brings  together  supply  and  demand  therefore  changed  significantly  no 

64 Persons  working  at  a  legal  practice  who  are  not  lawyers  or  practitioners  of  an  authorised  profession  can  collectively 
acquire an economic entitlement to the profits of the legal practice to a maximum of 10% without the right to any voting 
rights.  

112 

 
 
                                                            
longer  justifying  the  protection  of  this  professional  title  on  the  basis  of  a  reason  of  public 
interest.  The  market  is  now  in  charge  for  developing  certification  schemes  and  applicable 
dispute resolution systems. There are 3 professional associations who have developed private 
certification schemes which include a certain quality check of professional qualifications. 

Tourist guides 

In  the  Netherlands,  tourist  guides  are  not  a  regulated  profession  as  it  was  considered  that 
sufficient safeguards exist for the protection of customers through consumer protection law, 
contract law and the voluntary certification of tourist guides. 

113 

 
 
   POLAND   
_______________________ 

I. 

Overview 

On  1  November  2016  Poland  had  submitted  information  about  350  regulated  professions. 
Among those professions, 9,1% concern business services, 11,4% the construction sector and 
0,3% the real estate sector.  

According  to  a  recent  EU  wide  survey65,  21%  of  Polish  labour  force  can  be  considered  as 
working in regulated professions. This is just as much as the EU average (21%). 

As indicated in chart 1, for all sectors reviewed, with the exception of the construction sector, 
business churn (or turnover) rates66 in Poland are similar to those in the EU on average. This 
may be interpreted as an indication of the relatively high dynamism and competition within 
regulated professions present in these sectors in Poland.  

Chart 1: Business churn rate in selected occupations, Poland and the EU, 2013-14 (%) 

Poland  was  very  active  in  the  mutual  evaluation  exercise.  In  particular  Poland  provided 
detailed  information  on  proportionality  of  its  national  regulation  with  regard  to  all  the  350 
regulated professions. 

In  its  national  action  plan,  Poland  described  the  wide-ranging  reforms  of  professional 
regulation that it undertook as from the end of 2011. It has assessed 260 professions which 
equals  1  million  employees  (6%  of  workforce).  The  subsequent  reforms  covered  248 
professions.  For  70  of  them,  barriers  have  been  completely  abolished,  while  for  others  the 
existing barriers have been partially abolished (e.g. by lowering educational requirements or 
shortening  the  certified  professional  experience  period  or  lifting  the  professional  entry 

65 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
66 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

114 

 
 
 
 
                                                            
examination). Polish authorities estimate that a complete deregulation will affect professions 
and activities accounting for almost 0.5 million professionals. The reforms were divided into 
three  steps:  1st  adopted  in  June  2013  (51  professions  incl.  lawyer,  legal  adviser,  notary, 
bailiff,  land  surveyor,  sport  instructor  and  coach,  driving  instructor,  real  estate  professions: 
agent,  manager  and  valuer,  taxi  driver,  tourist  guide,  physical  and  technical  protection 
workers),  2nd  adopted  in  May  2014  (96  professions,  incl.  architects,  urban  planners,  civil 
engineers,  tax  advisers,  auditors),  3rd  adopted  in  August  2015  (101  professions,  incl.  patent 
attorneys,  geologists,  stockbrokers).  The  reform  has  already  started  showing  some  positive 
results  in  terms  of  employment  and  entrepreneurship  in  certain  professions.  The  National 
Action  Plan  submitted  to  the  Commission  in  January  2016  does  not  indicate  any  major 
actions going beyond the recent reform.  

II. 

Situation concerning the analysed professions  

The  level  of  restrictiveness  is  higher  in  Poland  compared  to  the  EU  weighted  average  for 
lawyers, civil engineers and accountants/tax advisers. It is slightly lower in the case of patent 
agents  and  architects  and  significantly  lower  for  tourist  guide.  Amongst  the  professions 
analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Poland and the EU  

Source: European Commission services 

Architects/Engineers 

The professions of architect and engineer are regulated by way of reserves of activities. 

There  are  4  regulated  professions  in  the  category  architect:  1)  Architect  with  full  licence 
(magister  inżynier  architect);  2)  Technician  Architect  (technik  architekt)  having  a  building 
license  in  speciality  of  architecture;  3)  Architect  having  a  building  license  in  speciality  of 
structure  and  construction  and    4)  Architect  having  a  building  license  in  speciality  of 
architecture.  There  are  6  regulated  professions  in  the  category  engineer  1)  Civil  engineer 
having building license in speciality of architecture; 2) Civil engineer having building license 
in  speciality  of  structure  and  construction;  3)  Civil  engineer  having  building  license  in 
speciality of railway engineering with regard to railway construction work; 4) Civil engineer 

115 

 
 
 
having  building  license  in  speciality  of  railway  engineering  with  regard  to  railway  traffic 
control;  5)  Civil  engineer  having  building  license  in  speciality  of  engineering  of  roads;  6) 
Civil engineer having building license in speciality of engineering of bridges. 

The access to the regulated professions in the category of architect is subject to the following 
conditions: from 4 years secondary education to 5 years university education, depending on 
the regulated profession; from 1,5 year to 4 years of professional training, depending on the 
regulated profession and on the length of the education, followed by a state exam. 

The access to the regulated professions in the category of engineer is subject to the following 
conditions: from 3,5 to 5 years university education, from 1,5 to 3 years professional training, 
depending on the length of education, followed by a state exam. 

Registration  in  the  respective  professional  chambers  is  required  for  both  categories  of 
professions. 

Both architects and engineers are obliged to regularly update their professional competences 
(continuous  professional  development).  There  seem  to  be  no  restrictions  with  regard  to 
corporate form, shareholding and voting rights.  

Accountants/Tax advisers 

The  profession  of  tax  adviser  ("doradca  podatkowy")  is  regulated  by  way  of  reserves 
activities and title protection.  

The  activities  of  tax  adviser  consist  of  1)  providing  advice,  opinions  and  explanations  to 
taxpayers,  tax  remitters  and  tax  collectors  (also  third  parties  liable  for  tax  arrears  and 
universal  tax  successors),  commissioned  by  them  or  for  them,  on  their  tax  and  customs 
obligations and in administrative execution matters relating to these obligations, 2) providing 
bookkeeping services, on behalf and on account of taxpayers, tax remitters and tax collectors, 
and providing assistance in this regard, 3) preparing tax declarations on behalf of taxpayers, 
tax  remitters  and  tax  collectors  or  providing  assistance  in  relation  to  it,  4)  representing 
taxpayers,  tax  remitters  and  tax  collectors  (also  third  parties  liable  for  tax  arrears  and 
universal  tax  successors)  in  tax  proceedings  before  public  administrative  bodies  and 
regarding judicial control of decisions and other administrative acts in their tax and customs 
obligations and in administrative execution matters relating to these obligations.  

Only the first and fourth activity is reserved to persons with certain qualifications and can be 
exercised by tax advisers, legal advisers and advocates. Furthermore, all the activities apart 
from the representation can be exercised by statutory auditors ("biegły rewident"). 

In  this  regard,  it  should  be  noted  that  the  profession  of  tax  adviser  was  recently  subject  to 
reforms. The changes in regulation of this profession included limitation of activities reserved 
to  tax  advisers,  lightening  of  entry  examination  requirements,  and  shortening  of  obligatory 
professional practice from 2 years to 6 months. 

Thus,  the  access  to  the  profession  of  tax  adviser  is  currently  subject  to  the  following 
conditions: 3 years university education, a state exam, and 6 months professional training. 

Registration  in  the  professional  chamber  is  required,  provided  the  candidate  has  legal 
capacity, clean criminal record and takes an oath. 

Tax  advisers  can  exercise  the  profession  in  different  corporate  forms  in  multidisciplinary 
teams. However, in  case of limited liability  companies,  at least 51%  of  the board members 
must be tax advisers, and if the management board consists of no more than 2 people, one of 
them must be a tax adviser. 

116 

 
 
Lawyers 

The  access  to  legal  professions  of  advocate  (adwokat)  and  legal  adviser  (radca  prawny)  is 
regulated by means of reserves of activities and title protection. 

The  reserved  activities  shared  by  both  professions  are  the  following:  1)  drawing  up  legal 
documents  (such  as  contracts,  and  preparing  statements  of  legal  opinions);  2)  legal  advice 
(including  in  tax  matters);  3)  representation  before  administrative  authorities  (including  tax 
authorities); 4) representation before courts; 5) counselling and representation in proceedings 
before the Patent Office in relation to trademarks. With regard to industrial property matters, 
the  following  activities  are  shared  with  the  patent  agent:  drawing  up  legal  documents, 
representation  before  administrative  authorities,  courts  (except  for  penal  procedure)  and 
Patent  Office  (only  regarding  trademarks).  Furthermore,  provision  of  legal  opinions  and 
assistance  in  tax  matters  as  well  as  representation  in  tax  matters  is  also  shared  with  the 
profession of tax adviser. 

The  access  to  the  professions  of  advocate  and  legal  adviser  is  in  principle  subject  to  the 
following  conditions:  5  years  university  education  in  law  and  3  years  of  training  under 
supervision, followed by a state exam. 

The  requirement  of  3  years  training  under  supervision  and  state  exam  is  not  applied,  inter 
alia, to: professors and holders of a doktor habilitowany nauk prawnych degree; persons with 
3 years of experience as bailiff or (senior) lawyer at State Treasury Solicitors’ Office (STSO); 
persons  that  have  worked  as  a  judge,  prosecutor,  advocate  or  legal  adviser,  notary;  persons 
that  have  at least 2 years of  work experience as assessor  in court  (asesor  sądowy); persons 
that  have  passed  examination  to  become  judge,  prosecutor  or  notary,  under  certain 
conditions, and have 3 years out of 5 of professional experience in law as further specified, or 
hold  doktor nauk  prawnych  degree and have  3  years out  of 5 of professional  experience  in 
law as further specified in the Polish legislation. 

Mandatory registration in the professional chamber is conditioned upon legal capacity, clean 
criminal record and taking an oath. 

Advocates  and  legal  advisers  are  obliged  to  follow  continuous  professional  development 
training organized by the respective chambers, financed from the annual membership fees. 

The professions of legal adviser and advocate have been covered by the recent reforms. The 
changes in regulation of these professions included: extending the number of professions in 
association  or  partnership  with  whom  advocates  and  legal  advisers  can  exercise  their 
profession  (currently  advocates  and  legal  advisers  not  only  can  create  a  multi-disciplinary 
company  with  other  advocates  and/or  legal  advisers  but  also  with  patent  attorneys  and  tax 
advisers); opening of the advocate and legal adviser profession to other professions (such as 
judges,  public  prosecutors)  and  also  to  holders of  academic  degrees  of  profesor  and  doktor 
habilitowany  nauk prawnych; opening a possibility for legal advisers to represent clients in 
criminal trials (under the condition that they are not employed). 

Advocates and legal advisers can exercise the profession as sole practitioners or in different 
corporate  forms  including  civil  partnership,  registered  partnership,  professional  partnership, 
limited partnership and limited–joint stock partnership but not in a limited liability company 
and  joint-stock  company.  Advocates  and  legal  advisers  can  create  multidisciplinary 
companies only with patent agents, tax advisers and foreign lawyers and there seem to be no 
limits with regard to minimum shares that must be held by those professionals.  

117 

 
 
 
 
Patent agents 

industrial  property  matters  (except  for 

The  profession  of  patent  attorney  is  regulated  by  means  of  reserves  of  activities  and  title 
protection.  The  activities  reserved 
to  patent  attorney  consist  of:  counselling  and 
representation before the Patent Office or other administrative authorities, drawing up legal 
and technical documents in intellectual property matters and representation before the courts 
in 
the  penal  procedure).  The  counselling, 
representation before the Patent Office as well as drawing up legal documents in relation to 
trademarks only is shared with professions of advocate and legal adviser. For other aspects of 
industrial  property,  this  activity  is  exclusively  reserved  to  patent  agent.  The  representation 
before courts is shared with advocates and legal advisers for all matters regarding industrial 
property. 

The  access  to  the  profession  of  patent  attorney  is  subject  to  the  following  conditions:  
university  diploma  in  an  area  relevant  for  exercising  this  profession,  in  particular  law  or 
engineering (5 years), 3 years training, followed by a state exam. 

Mandatory  registration  in  the  Chamber  is  conditional  upon  legal  capacity,  clean  criminal 
record and taking an oath. 

Patent agents can exercise the profession as sole practitioners or in different corporate forms: 
1)  in  civil  partnership,  registered  partnership,  professional  partnership,  limited  partnership 
and limited–joint stock partnership, in multidisciplinary teams with advocates, legal advisers, 
foreign lawyers and tax advisers provided that at least half of partners are patent agents; 2) in 
limited liability company and joint-stock company  provided that, inter alia, the majority of 
shares and voting rights belongs to patent agents.  

The  profession  of  patent  agent  was  covered  by  the  reform  of  2015.  The  changes  included 
inter alia reduction of fees for state exam and obligatory training, broadening of conditions 
on which one can be dispensed from the 3 years training, removal of oral exam. Furthermore, 
it brought changes with regard to representation before the Patent Office, allowing advocates 
and  legal  advisers  to  exercise  this  activity  along  with  the  patent  agent  with  regard  to  cases 
concerning trademarks. 

Real estate agents 

The profession of real estate agent is not regulated. 

The  profession  has  been  covered  by  the  recent  reforms  and  qualification  requirements  for 
access to the profession have been abolished.  

The security of real estate transactions is ensured by the notary; under Polish law, the transfer 
of  real  estate  property  must  be  done  in  form  of  a  notarial  act  (with  few  exceptions). 
Furthermore, real estate agents (and persons acting under their supervision) must be covered 
by  professional  indemnity  insurance.  Finally,  the  deregulation  of  the  profession  prompted 
some umbrella organisations to introduce voluntary certification schemes. 

Tourist guides 

The profession of tourist guide is not regulated. The activities of tourist guide are exercised 
by city and country guides as well as by mountain guides. Only the profession of mountain 
guide is regulated in Poland.  

Furthermore, the activity of tourist guides might be limited in museums (and areas belonging 
to  museums  such  as  excavation  areas)  and  similar  facilities  where  usually  the  museum's 
employees guide tourists. 

118 

 
 
The profession of tourist guide, as well as the profession of guiding tours operator, has been 
covered  by  the  recent  reforms  and  the  qualifications  requirements  for  access  to  these 
professions  have  been  abolished.  The  requirements  for  access  to  these  professions  are 
secondary level education and a clean criminal record. These requirements are not verified by 
any public administration body but only by the employer/person ordering the service. 

119 

 
 
 
   PORTUGAL   
_______________________ 

I. 

Overview 

On  1  November  2016  Portugal  had  submitted  information  about  239  regulated  professions. 
Among those professions, 23% concern business services, 8,8% the construction sector and 
0,4% the real estate sector.  

According to a recent EU wide survey67, 17% of Portugal's labour force can be considered as 
working in regulated professions. This is lower than the EU average (21%). 

As indicated in chart 1, for all the professions selected with the exception of legal activities, 
business churn (or turnover) rate68 is higher in Portugal than in the EU on average. This may 
be  interpreted  as  an  indication  of  the  relatively  high  dynamism  and  competition  within 
regulated professions present in these sectors in Portugal. In the case of legal activities, the 
churn rate is on the contrary lower than the one for the EU average and for the Portuguese 
economy in general. 

Chart 1: Business churn rate in selected occupations, Portugal and the EU, 2013-14 (%) 

Portugal  has  been  participating  relatively  actively  in  the  mutual  evaluation  exercise.  On  
10 October 2016, Portugal had submitted almost  all of the general  information  on different 
regulated  professions.  However  30%  of  the  professions  still  need  to  be  assessed  as  to  the 
proportionality of their regulation.  

In its national action plan (NAP), Portugal explains that, as major reforms and review of the 
regulated professions have been done since 2011, they do not expect major modifications in 
the  coming  years.  Since  2011,  188  professions  have  been  deregulated.  The  NAP  gives  a 

67 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
68 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

120 

 
 
 
 
                                                            
succinct presentation of regulated professions distinguishing between those regulated only by 
law  (non-highly  regulated)  (139  in  total)  and  those  regulated  also  under  professional 
organisations  (highly  regulated)  (100  in  total).  The  latest  legislative  developments  are  the 
horizontal  law  for  professional  associations  (2013),  new  horizontal  law  for  non-highly 
regulated professions in 2015 and new law on professional companies (2015).  

In  2016,  the  European  Commission  addressed  a  country  specific  recommendation  to 
Portugal in the area of professional services: 

By  the  end  of  2016,  improve  and  accelerate  administrative  and  licensing  procedures, 
accelerate tax litigations and reduce regulatory barriers, especially in business services.  

II. 

Situation concerning the analysed professions  

Regarding professions regulated by law (non-highly regulated) there is a legal mechanism for 
the  implementation  of  the  principle  of  proportionality  of  regulation  of  professions.  It 
prescribes  that  professional  requirements  must  be  evaluated  periodically  to  ensure  the 
removal of barriers which are unjustified, inadequate or unnecessary to access and exercise a 
certain  profession  or  activity.  This  general  law  will  be  applicable  only  to  new  laws  and 
regulations governing access and exercise of professions.  

Regarding professions regulated by professional organisations (highly regulated), a horizontal 
framework  was  adopted  in  2013  establishing  the  legal  framework  for  the  creation, 
organisation and functioning of public professional organisations and access and exercise to 
the  professions  in  question.  Further  to  the  adoption  of  the  law,  by-laws  of  professional 
organisations  were  supposed  to  be  adopted  to  ensure  compliance  with  this  legislative 
framework.  

The  law  on  professional  companies  from  2015  implements  the  possibility  to  establish 
professional  companies,  introduced  for  most  of  the  highly  regulated  professions  by  the 
framework law, in parallel with regular companies, and in accordance with any legal form of 
types  of  companies  available  under  Portuguese  Law.  However,  the  professional  companies 
need to ensure that 51% of the shares are owned by professionals and that one manager is a 
professional  as  well.  Additionally  the  law  introduces  also  a  restriction  on  legal  persons 
owning shares in more than one professional company. 

The level of restrictiveness is higher in Portugal compared to the EU weighted average except 
for  all  professions  under  review  except  for  real  estate  agents  and  patent  agents  where  it  is 
lower  and  for  lawyers  which  is  similar  to  the  EU  level.  Highest  restrictiveness  level  is 
observed for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

121 

 
 
 
 
Chart 2: Restrictiveness indicator, 2016, Portugal and the EU  

Source: European Commission services 

Architects 

The profession of architect is regulated by way of reserves of activities and protected title.  

The  activities  of  architectural  design  and  planning,  and  of  feasibility  studies  are  reserved 
exclusively  to  architects.  The  activities  of  construction  control  surveyors,  project/work 
director,  project  author  and  project  coordinator  are  shared  with  other  professionals 
(engineers). 

The length of the training is of 5 years plus a professional traineeship of 12 months, without 
State exam. 

In order for the company to be registered in “Ordem dos Arquitectos”, bearer or endorsable 
stock  are  not  allowed  for  51%  of  "professionally  held"  shares  with  voting  rights.  If  the 
company is not registered in "Ordem dos Arquitectos” a responsible Architect is required. 

Engineers 

The  following  professions  coexist  in  the  construction  and  civil  engineering  sector:  control 
surveyors,  project/work  director,  project  author  and  project  coordinator  can  be  performed 
either by civil engineers (and engineers from other specialties) or by civil technical engineers 
(and  other  specialties),  as  well  as  architects,  depending  on  the  nature  of  unlicensed 
technicians  in  construction.  The  profession  of  civil  engineers  is  regulated  by  way  of  title 
protection and reserves of activities and that of civil  technical engineers by title protection. 
The  protection  of  title  for  civil  engineers  is  done  through  registration  with  the  professional 
order. 

The  length  of  the  training  for  all  engineers  is  5  years  plus  traineeship  (between  12  and  18 
months)  without  State  exam,  except  for  civil  technical  engineer  (3  years  plus  traineeship). 
The professions of construction control  surveyors, project/work  director, project author and 
project coordinator may require a qualification as engineer (not necessarily civil engineer) or 
as architect, in which case the training requirements referred to above apply. 

In  order  to  become  a  member  of  the  Engineers  Order,  i.e.  in  order  to  obtain  the  title  of 
Engineer, a candidate must fulfil the following obligations: 

122 

 
 
 
- holding a first cycle degree in Engineering from a Portuguese Institution of Higher 
Education,  or  its  equivalent  (Level  N1  member)  plus  6  months  traineeship 
(traineeship - exemption for those who have 5 years of professional experience); 

-  holding  a  second  cycle  degree  or  an  Integrated  cycle  in  Engineering  from  a 
Portuguese Institution of Higher Education, or its equivalent (Level N2 member) plus 
18  months  traineeship  (traineeship  -  exemption  for  those  who  have  6  years  of 
professional experience). 

Regarding the scope of the reserves of activities, it seems that the professions of construction 
control  surveyors,  project/work  director,  project  author  and  project  coordinator  are 
complementary.  Some  of  them  are  also  compatible:  one  could  qualify  both  as  project/work 
director  and  construction  control  surveyor,  but  cannot  exercise  both  titles  for  the  same 
building,  for  instance.  However  as  certain  activities  are  exclusively  reserved  to  civil 
engineers,  one  could  not  perform  as  project/work  director  and  perform  those  activities 
without  having  the  title  of  civil  engineer.  The  same  applies  also  for  other  engineering 
specialities. 

Professional companies providing civil engineering need to be owned for least 51% of capital 
by professionals and the manager needs to be established in Portugal. No restrictions as such 
for  the  other  professions;  however  if  the  qualifications  of  architect  or  civil  engineer  are 
required then the restrictions related to these professions would apply. 

Accountants 

The profession of accountant is regulated by way of reserves of activities and protected title.  

Certain activities are reserved only to accountant (for instance, signing of financial statements 
or  representation  before  tax  authorities  for  certain  specific  issues)  while  other  are  being 
shared with other professionals (tax advice is shared with lawyers and auditors).  

The  qualification  requires  a  3-year  secondary  education  and  a  maximum  18-month 
professional  internship  (commonly  8  to  12  months  duration)  finalised  with  an  exam.  No 
alternative  pathways  to  obtain  this  qualification  are  possible.  As  regulated,  professional 
internship can be substituted by minimum three years relevant professional experience or by 
specific  higher  education  course  units,  accepted  under  agreement  between  professional 
organization and the school/university. 

Accountants can perform in commercial company or professional companies. For the latter at 
least 51% of the capital has to be owned by accountants, the purpose of the company should 
also  be  the  provision  of  accounting  services  and  one  manager  needs  to  be  established  in 
Portugal. 

Joint provision of legal services and accounting services is prohibited. 

Legal professions 

  Lawyers 

The  profession  of  Lawyer  (attorney-at-law)  has  reserved  activities  and is  protected by  title. 
The  enrolment  at  the  Portuguese  Bar  Association  is  mandatory.  In  order  to  use  the  title  of 
Lawyer the membership must be active.  

The activities, reserved to attorneys are: 1. Drawing up legal documents; 2. Legal advice; 3. 
Representation before administrative authorities (including tax authorities); 4. Representation 
of clients before all courts (judicial courts – civil and criminal, administrative, appeal courts, 
Supreme Court of justice, constitutional court) 

123 

 
 
Part  of  legal  activities  is  shared  with  legal  agents.  Other  activities,  such  as  practice  simple 
recognition  and  special  mentions  for  authentication  of  private  documents,  as  well  as  make 
and certify translations of documents under the notarial law are also shared with notaries. 

The  level  of  qualifications  for  attorney  is  Bachelor  degree  in  law  (4  years),  plus  18-month 
professional traineeship, followed by successful completion of a national exam organized  – 
prepared and corrected - exclusively by the Bar Association. 

Professional companies – law firms, may be incorporated in accordance with any legal form 
of types of companies available under Portuguese Law. Every law firm has to be registered in 
the Bar Association. All the partners Law firms are entities with the exclusive object/purpose 
of  joint  exercise  of  the  legal  profession;  all  the  partners  must  be  Lawyers  or  law  firms. 
Multidisciplinarity  is  not  allowed,  this  means  the  joint  exercise  of  professions  within  a 
company is forbidden in order to protect clients' interests and guarantee professional secrecy.  

The  establishment  of  European  professional  companies  –  European  law  firms  is  allowed 
under the condition that 51% of the shares are owned by lawyers, who must also have vote 
majority All the managers and partners have to be established in Portugal, being enrolled has 
“Advogados”  or  simple  being  register  in  the  Portuguese  Bar  Association  using  their  own 
home titles. 

  Legal Agents 

Solicidador (legal agent) is regulated by way of reserves of activities and protected title. 

The level of qualification for legal agents is Bachelor degree in law (4 years) or solicitadoria 
degree (3 years) followed by 12 to 18 months internship finalised with an exam. 

Professional companies may be incorporated in accordance with any legal forms or types of 
companies available under Portuguese Law. The establishment of professional companies is 
allowed under the condition that 51% of the shares are owned by lawyers, and 100% by legal 
agents. For lawyers, only one manager needs to be established in Portugal. For legal agents, 
all managers need to be established in Portugal. Non-professional companies are barred from 
providing  legal  agent  services.  The  joint  exercise  of  professions  within  a  company  is 
forbidden for lawyers and legal agent. 

Patent agents 

The profession of patent agent is regulated by way of reserves of activities and protected title. 
The  reserved  activities  are  counselling  and  representation  before  the  Patent  Office  or  other 
administrative authorities and representation before the courts in intellectual property matters. 
Both activities are shared with lawyers. There is no obligation to be member of a professional 
organisation. 

Real estate agents 

The  profession  of  real  estate  agent  has  been  deregulated  in  Portugal  in  2013,  following  an 
assessment  of  the  proportionality  of  the  legislation  in  force.  It  was  thus  decided  that  the 
protection of consumer’s interests cannot justify keeping this profession as regulated. 

Tourist guides 

Portugal considers that the profession of tourist guide is not regulated. However, according to 
the  information  available,  two  regions  established  regulation  of  access  and  exercise  of  this 
profession (Madeira and Azores regions). 

124 

 
 
   ROMANIA   
_______________________ 

I. 

Overview 

On 1 November 2016 Romania had submitted information about 189 regulated professions. 
Among those professions, 22,2% concern business services, 4,8% the construction sector and 
0,5% the real estate sector.  

According to a recent EU wide survey69, 22% of Romanian labour force can be considered as 
working in regulated professions. This is slightly higher than the EU average (21%). 

As indicated in chart 1, for all the professions selected, business churn (or turnover) rate70 is 
higher  or  similar  in  Romania  than  in  the  EU  on  average.  This  may  be  interpreted  as  an 
indication  of  the  relatively  high  dynamism  and  competition  within  regulated  professions 
present in these sectors in Romania.  

Chart 1: Business churn rate in selected occupations, Romania and the EU, 2013-14 (%) 

Romania  has  been  participating  relatively  actively  in  the  mutual  evaluation  exercise. 
However on 10 October 2016, Romania still needs to submit 20% of general information on 
different regulated professions and about 1/3 of the professions still need to be assessed as to 
the proportionality of their regulation. 

In  its  national  action  plan  (NAP)  Romania  gives  an  overview  of  the  evaluation  exercise 
undertaken  by  the  Ministry  of  Education  and  Research  in  cooperation  with  the  competent 
authorities. The Romanian authorities indicate that compared to 2004 the number of regulated 
professions  has  grown  from  45  to  156  in  2015,  the  greatest  number  being  registered  in  the 
transport sector. However the authorities explain that in this specific sector the regulation was 

69 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
70 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

125 

 
 
 
 
                                                            
imposed based on EU and international obligations. The NAP gives a clear overview of the 
legislative  framework  of  the  regulated  professions,  but  only  announces  limited  changes  for 
certain professions. 

II. 

Situation concerning the analysed professions  

The list of regulated professions and corresponding competent authorities is annexed to Law 
200/2004  on  the  recognition  of  diplomas  and  professional  qualifications  for  regulated 
professions in Romania as last amended in 2015 to incorporate the transposition of Directive 
2013/55/EU.  

The  level  of  restrictiveness  is  higher  in  Romania  compared  to  the  EU  weighted  average 
except for all professions under review except for patent agent where it is lower and lawyer 
which  is  similar  to  the  EU  level.  Real  estate  agents  are  not  regulated  in  Romania.  Highest 
restrictiveness level is observed for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Romania and the EU  

Source: European Commission services 

Architects 

The  regulation  of  the  profession  of  architect  is  done  by  protection  of  title  and  reserves  of 
activities. While architects can provide a wide range of reserved activities, in general they are 
shared  with  other  professionals.  Architects  maintain  however  the  exclusivity  for  certain 
activities. For instance, architectural design and planning, and provision of feasibility studies 
are  shared  with  structural  and  mechanical  engineers;  buildings  of  “lower  importance”  can 
also be designed by architectural technologists. On the contrary, for the feasibility studies of 
the  historical  monuments/protected  areas,  the  architectural  component  can  be  done  only  by 
the architects who own also a certificate in this respect, issued by the Romanian Ministry of 
Culture.  While  the  submissions  of  documents  is  not  a  reserved  activity,  the  architectural 
design included in the technical documentation for the building permit are elaborated, signed 
and sealed only by architects. 

126 

 
 
 
The  education  requirement  is  6  years  of  academic  studies  and  2  years  of  mandatory 
traineeship.  The  authorization  (the  right  of  signature)  of  architects  is  given  by  the 
professional chamber after passing an evaluation. 

Registration  with  a  professional  body  is  mandatory  for  architects  with  right  of  signature. 
Registration is also open to architects without right of signature. 

The  continuous  personal  development  national  plan  elaborated  by  the  professional 
organisation,  based  on  Article  22  of  the  Professional  Qualification  Directive,  indicate 
important requirements: 96 hours/year, 5 year cycles, 6 cycles during the career.  The renewal 
of right of signature is pending upon complying with these requirements. 

Architects can work individually or in associative forms (associate office, professional civil 
company, commercial company of design). The individual office, the associate office and the 
professional civil company can be established only by architects with right of signature. The 
commercial company of design should have as main object of activity the architectural design 
and it should include at least one architect with right of signature (or instead have signed a 
contract  with  architectural  office  or  other  commercial  company  of  design  that  includes  an 
architect with right of signature). Professional indemnity insurance has not been indicated as 
being compulsory. 

Civil Engineers 

In the national action plan, Romania justifies the need to regulate the profession in this sector 
by the high environmental risks in the country (one of highest seismic risks in Europe). 

In  Romania,  there  are  four  regulated  professions  covered  by  the  generic  profession  of  civil 
engineer:  1.  Construction  site  coordinator;  2.  Technical  Execution  Responsible;  3.  Quality 
verifier  of  construction  projects;  4.  Certified  technical  expert.  For  all  four  professions  the 
legal  framework  establishes  reserves  of  activities  and  protected  title.  The  mentioned 
professionals can intervene in relation to the same construction: for instance, the activity of 
project management, construction cost management, monitoring of construction/ execution of 
the project has to be done by a Construction Site Coordinator (representing the beneficiary of 
the  construction)  and  by  a  technical  responsible  with  the  execution  (representing  the 
constructor), according to specific tasks stipulated in the procedures and legislation.  

The  education  requirements  for  Construction  Site  Coordinator  and  Technical  Execution 
Responsible  varies  depending  on  the  domain(s)  and  subdomain(s)  of  authorisation  For 
instance, a professional experience between 3 and 10 years is also required depending on the 
classification of construction according to its importance. 

The certification for Construction Site Coordinator and the Technical Execution Responsible 
is done by the State Inspectorate for Construction. 

For  the  other  two  professions,  it  is  required  to  have  an  engineer  or  architect  diploma  plus 
professional experience.  

All professions require passing a certification exam. 

There are no restrictions on the legal form and shareholding of companies. Apart from clean 
criminal record, no additional authorisation requirements have been identified. 

Accountants 

Three  different  professions  are  covered  by  the  generic  profession:  expert  (chartered) 
accountant,  licensed  accountant,  and  tax  consultant,  noting  that  the  expert  and  licensed 
accountant  professions  are  regulated  and  managed  by  the  Body  of  Expert  and  Licensed 

127 

 
 
Accountants  of  Romania  (CECCAR),  while  the  tax  adviser  profession  is  regulated  and 
managed  by  the  Chamber  of  Tax  Advisers.  All  three  professions  are  regulated  through 
protection of title and reserves of activities. 

The distinction of reserved activities between the profession of chartered accountant and tax 
consultant  is  not  very  clear.  For  instance,  the  activity  of  tax  advice  is  an  activity  for  tax 
consultants;  however  the  expert  (chartered)  accountant  can  provide  supervise  and  perform 
accounting and financial record keeping activities, perform economic and financial analyses 
and  asset  appraisals  and  provide  technical  expertise  for  the  creation  and  restructuring  of 
trading  companies.  The  licensed  accountant  shares  all  the  activities  with  the  expert 
accountant  (book-keeping  and  preparing  the  documents  for  financial  statements),  while  the 
latter are exercising also other activities, which are shared with other professionals. 

The  level  of  qualification  is  different  for  the  expert  (chartered)  accountant  and  licensed 
accountant. The certification of the expert (chartered) accountant implies holding a bachelor 
degree in economic field and a 3-year theoretical and practical training completed within the 
CECCAR. For the licensed accountant, certification implies holding a high school graduation 
diploma  and  a  period  of  3-year  theoretical  and  practical  training  completed  within  the 
CECCAR. For the tax consultant the education requirement is of 3 years Bachelor degree, but 
prior experience in the field is required (5 years). 

Membership in a professional association is compulsory. 

Joint exercise with other professions is allowed. 

There  are  no  restrictions  regarding  the  legal  form,  but  the  main  activity  of  the  company 
should be accounting, respectively tax advice, while at least 51% of the shareholders need to 
be  chartered  accountants/licensed  accountant  (while  only  one  shareholder  in  company 
providing tax advice should be tax consultant). Professional liability insurance is compulsory. 

Lawyers 

The regulation of the profession of lawyers is done through protection of title and reserves of 
activities.  The  reserves  of  activities  cover  representation  in  court,  legal  advice,  filing  legal 
requests,  drafting  legal  acts,  mediation,  fiduciary  activities  etc.,  however  none  of  them  is 
exclusively  reserved  to  lawyers.  For  instance,  notaries  can  also  draft  legal  acts  or  perform 
legal  advice.  The  legal  framework  for  provision  of  online  services  and  operation  of  online 
platforms is unclear. However, several online platforms are functioning.  

The  level  of  qualification  required  is:  Law  degree,  exam  to  enter  the  profession,  2  years 
professional traineeship and final exam. Several alternative ways to become lawyer exist. For 
instance,  based  on  the  professional  experience  (e.g.  5  years'  experience  as  a  judge),  an 
attorney having  passed the exam to  enter the profession can be  exempt  of the obligation to 
pass  the  final  exam.  The  exams  are  organised  by  the  competent  authority  which  is  the 
National Union of Romanian Bars (UNBR). 

Registration with the Bar is mandatory. Unclear legislation adopted post-1989 has led to the 
creation of parallel Bars both in Bucharest and at regional level. While those Bars were not 
considered  as  official  by  the  Government,  they  were  however  tolerated.  However,  after 
Romania’s  accession  to  the  EU  in  2007,  the  recognition  of  professional  qualification  of 
lawyers  registered  with  the  parallel  and  unofficial  Bars  have  become  an  issue  and  a 
substantial number of complaints has been received by the Commission in the period 2007-
2015. The legal framework seems to be clear now, especially after decisions of the Supreme 
Court,  declaring  that  members  of  parallel  Bars  are  subject  to  criminal  sanctions  for  illegal 
exercise of the profession.  

128 

 
 
The  regulation  on  legal  form  and  shareholding  requirements  applicable  to  lawyers  is  very 
restrictive. While lawyers can provide services also in companies with limited responsibility, 
the  choice  of  legal  form  is  limited,  shareholding  by  other  professionals  than  lawyers  is  not 
possible  and  joint  exercise  of  professions  is  prohibited.  Professional  liability  insurance  is 
compulsory. 

Patent/trademark agents 

The  profession  is  regulated  through  protection  of  the  title  and  reserves  of  activities.  The 
reserves of activities are shared with other related professionals (lawyers and legal advisors). 

The  qualification  can  be  acquired  through  various  ways,  by  holding  a  Bachelor  degree  and 
then  passing  an  exam  with  the  State  Office  for  Patents  and  Trademarks  and  therefore 
specialising in different fields of patent regulation/industrial property. A prior experience of 
at least 3 years in the field of diploma (technical, legal, scientific) and 3 years in the field of 
patent regulation/industrial property is required but the two periods can coincide. 

Incompatibility rules are also foreseen: in order to avoid conflict of interest, some activities 
cannot  be  performed  (for  instance,  representing  clients  with  opposed  interests;  trade; 
activities that could lead to unfair competition). Only three legal forms of practice seem to be 
allowed. Other requirements include clean criminal record. 

Real estate agents 

The  profession  is  not  regulated  in  Romania.  Consumers’  interests  are  guaranteed  through 
consumer protection and criminal law. The training is regulated. 

Tourist guides 

There are three categories of tourist guide, namely local guide, national and specialized guide 
(e.g. mountain guide).  

The profession is regulated through reserves of activities, which are not shared with any other 
profession.  The  reserves  of  activities  have  a  broad  definition:  “Tourist  Guide  is  the  person 
who leads and guides a group of tourists or visitors, offering the necessary explanations on 
the  places  visited,  and  ensuring  the  performance  in  the  best  conditions  of  the  contracted 
tourist program”. 

While  there  are  no  territorial  restrictions  for  practising  the  profession  of  tourist  guide  in 
Romania,  only  national  tourist  guides  can  accompany  groups  of  Romanian  tourists  outside 
Romania. 

To  become  a  local  tourist  guide  one  should  follow  a  training  of  at  least  1080  hours.  An 
additional training of 180 hours is necessary in order to become national tourist guide. The 
legal framework establishes an age limit of 62 years old for specialised guide and 65 years 
old  for  national  to  subscribe  to  the  qualification  /  training  to  obtain  the  tourist  guide 
certificate, but not for the exercise of the profession. 

Additional requirements include clean criminal record, knowledge of a foreign language and 
medical certificate. 

129 

 
 
 
   SLOVAKIA   
_______________________ 

I. 

Overview 

On 1 November 2016 Slovakia had submitted information about 311  regulated professions. 
Among those professions, 14,1% concern business services, 6,1% the construction sector and 
0,3% the real estate sector.  

According to a recent EU wide survey71, 27% of Slovakia’s labour force can be considered as 
working in regulated professions. This is higher than the EU average (21%). 

As indicated in chart 1, for all the professions selected, business churn (or turnover) rate72 is 
higher  or  similar  in  Slovakia  than  in  the  EU  on  average.  This  may  be  interpreted  as  an 
indication  of  the  relatively  high  dynamism  and  competition  within  regulated  professions 
present in these sectors in Slovakia.  

Chart 1: Business churn rate in selected occupations, Slovakia and the EU, 2013-14 (%) 

Slovakia has been active in the mutual evaluation exercise and has provided the requested 
information. 

On  10  October  2016,  Slovakia  had  submitted  vast  majority  of  the  general  information  and 
information on proportionality of regulation with regard to its regulated professions.  

In  its  national  action  plan,  Slovakia  informs  the  Commission  that  recently  all  relevant 
Slovak competent authorities have reviewed the Slovak regulation of professions in light of 
the definition of a regulated profession and concluded that many professions notified to the 
Commission  in  the  past  do  not  fall  under  Directive  2005/36/EC,  as  amended.  Furthermore, 
Slovakia  has  identified  some  duplication  in  the  professions  notified  to  the  Commission 

71 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
72 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

130 

 
 
 
 
                                                            
before.  Following  this  review,  Slovakia  has  identified  242  professions  that  in  its  view  are 
regulated in this country.  

Furthermore, in its action plan Slovakia presents an overview of the regulatory framework of 
the regulated professions and announces changes in regulation mainly linked to transposition 
of  EU  legislation.  It  also  informs  about  recent  amendment  of  the  Trading  Act  by  which 
certain  requirements  for  access  to  trading  professions  have  been  removed  as  well  as  about 
amendments to the Sport Act that resulted inter alia in merging 20 regulated professions in 
the  field  of  sport  into  two  new  professional  categories.  Finally,  it  announces  plans  to 
introduce regulation for the profession of estate agent. 

II. 

Situation concerning the analysed professions  

The level of restrictiveness is higher in Slovakia compared to the EU weighted average for all 
the professions under review. Restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Slovakia and the EU  

Source: European Commission services 

Architects/Engineers 

Slovak legislation regulates separately the profession of chartered civil engineer, construction 
manager and construction supervisor.  

Around  half  of  reserved  activities  of  architects  and  engineers  are  shared  with  another 
profession.  

For architects, the access to the professions is subject to the following conditions: 5 years of 
university  education  in  architecture or  4  years  of  university education  in  architecture  and  2 
years mandatory traineeship that can start at the earliest after the completion of the 3rd year of 
studies; followed by 3 years traineeship and an exam.  

For chartered civil engineers, the qualification consists in 5 years of university education, 3 
years mandatory traineeship and passing an exam. 

131 

 
 
 
Construction managers and construction supervisors are considered to be fully qualified after 
obtaining:  a)  university  education  of  3  years  in  electro-technics  or  engineering  and  3  years 
professional experience in construction design or b) university technical education of 3 years 
and  5  years  professional  experience,  or  c)  technical  high  school  education  and  5  years 
professional experience as construction supervisor or construction manager. It is compulsory 
to pass an exam.  

Registration  with  the  relevant  professional  chamber  is  compulsory  for  all  the  above-
mentioned professions.   

Architects  and  engineers  are  obliged  to  pass  again  the  state  exam  if  there  was  a  serious 
misconduct in the exercise of the profession, if the profession was not exercised for 5 years or 
if the law has significantly changed.  

Only architects are obliged to follow mandatory training organised by the Chamber and reach 
20 credit points within 5 years. 

Architects and engineers can exercise their profession as sole practitioners or via legal forms. 
Joint  exercise  of  profession  is  limited  to  architects  and  engineers.  Furthermore,  there  are 
shareholding and voting restrictions in Slovakia (at least 51% of shares/votes must belong to 
architects or engineers).  

No  limitations  of  the  licences  granted  or  territorial  restrictions  have  been  identified. 
Professional  liability  insurance  for  architects  and  chartered  civil  engineers  is  compulsory. 
Other authorisation requirements include legal capacity, clean criminal record and taking an 
oath. 

Accountants/Tax advisers 

The profession of tax adviser is regulated by way of reserves of activities. 

The  activities  of  tax  adviser  consist  of  "providing  advice  in  determining  the  tax  base  and 
taxes  and in tax planning"  (not shared with  any other  profession)  and "giving opinions and 
explanations to clients on the application of legislation in the field of taxation" (shared with 
advocate). 

The  access  to  the  profession  of  tax  adviser  is  subject  to  the  following  conditions:  5  years 
university  education  in  Economics  or  Law,  5  years  of  practice  in  economics  or  law  or, 
alternatively, 3 years of practice as Assistant Tax Adviser and a state exam. Registration with 
the Slovak Chamber of Tax Advisers is compulsory. 

The tax adviser is obliged to attend mandatory yearly training. Failure to fulfil this obligation 
may  result  in  suspension  from  practice.  For  2016,  there  is  an  obligation  imposed  by  the 
Chamber to follow at least 3 days of training. 

The  most  recent  reforms  concerning  regulation  of  this  profession  resulted  from  an 
investigation by the European Commission opened in 2012 and concerned Slovak restrictions 
on  corporate  form  and  shareholding/voting  rights.  As  a  result,  Slovakia  revised  the  Tax 
Advisers  Act  and  allowed  tax  advice  services  to  be  provided  in  any  corporate  form.  It  has 
also reduced from 75% to 50% the minimum obligatory shareholding and voting rights in tax 
advice  companies.  Other  authorisation  requirements  include  legal  capacity,  clean  criminal 
record and taking an oath before the President of the Slovak Chamber of Tax Advisers.   

Lawyers 

The profession of advocate is regulated by way of reserves of activities and title protection. 
The activities of advocate consist of drawing up legal documents such as contracts, real estate 

132 

 
 
transactions and wills and preparing statements of legal opinions; legal advice (including in 
tax  matters);  representation  before  administrative  authorities  (including  tax  authorities); 
representation  of  clients  before  courts.  All  four  activities  are  reserved  and  shared  with 
(an)other profession(s).  

The  access  to  the  profession  of  advocate  is  subject  to  the  following  conditions:  5  years 
university  education  in  law;  5  years  of  legal  practice  as  Trainee  Advocate;  completion  of 
special  training  set  by  the  Chamber  to  be  followed  during  the  5  years  Trainee  Advocate's 
training and a state exam. Registration with the Bar is mandatory.  

Advocates  may  practice  only:  as  sole  practitioners,  in  association  with  other  lawyers 
(advocates),  in  a  Partnership  (Public  Limited  Company)  as  a  Partner,  in  a  unlimited 
Partnership  (Commandite  Company),  as  an  unlimited  Partner  (Complementary)  or  in  a 
Limited  Liability  Company  as  an  Administrator.  Shareholders/Partners  in  all  legal  forms 
must be advocates. 

With regard to joint exercise of professions, an advocate may practise either independently or 
in association with other advocates. 

Advocate shall not be employed elsewhere or having similar activity, except for pedagogical, 
literary,  scientific,  artistic  or  sport  activity,  member  of  government  advisery  body  or  other 
activity that is not incompatible with the exercise of advocacy, to be decided by the Chamber.  

Professional  liability  insurance  is  compulsory.  Additional  requirements  include  legal 
capacity,  clean  criminal  record  and  taking  an  oath  before  the  President  of  the  Slovak 
Chamber of Advocates. 

Patent agents 

There are two professions governed by the same legal act: patent attorney and assistant patent 
attorney.  The  first  one  is  regulated  by  means  of  reserves  of  activities,  the  latter  Slovakia 
considers as non-regulated under Directive 2005/36/EC. 

The activities of patent attorney consist of: counselling and representation before the Patent 
Office or other administrative authorities; drawing up legal documents in intellectual property 
matters; representation before the courts in intellectual property matters. All three activities 
are reserved and shared with the profession of advocate. 

The  access  to  the  profession  of  patent  attorney  is  subject  to  the  following  conditions: 
university  diploma  (3  years),  3  years  specialised  practice  as  Assistant  Patent  Attorney  or  4 
years of specialised practice in the area of IPR, followed by a state exam. 

Registration with the Chamber is compulsory 

A patent attorney can practice as a sole practitioner, associated with other patent attorneys or 
in a patent agents' business company. A patent agents' business company is a company where 
the patent agent is a partner, shareholder or employee. Incompatibility rules impose absence 
of conflict of interests. 

Other  authorisation  requirements  for  patent  attorneys  include  legal  capacity,  clean  criminal 
record, absence of disciplinary proceedings, and clean bankruptcy record (5 years) and taking 
an oath. 

Assistant  patent  attorney  is  supposed  to  be  involved  in  the  work  of  patent  attorney  which 
should help in preparing for the state exam to become a patent attorney.  

There  are  certain  requirements  with  regard  to  access  to  the  profession  of  assistant  patent 
attorney:  university  diploma  (3  years),  legal  capacity,  clean  criminal  record,  employment 

133 

 
 
contract with a patent attorney, inscription in the list of assistant patent attorneys list at the 
Chamber  for  Patent  Attorneys.  Holders  of  diplomas  from  other  Member  States  have  to 
undergo an academic recognition procedure instead of recognition for professional purposes 
before  being  able  to  exercise  this  profession  in  Slovakia.  Slovak  legislation  foresees  the 
application  of  the  academic  recognition  procedure  in  case  of  access  to  non-regulated 
professions by foreign diploma holders. 

Real estate agents 

Slovakia considers that the profession of real estate agent is not regulated; however, it defines 
the activities of "Brokering of sale, lease and purchase of property (real estate activities) as 
regulated trade. In its National Action Plan, Slovakia announces that it is currently assessing 
the  possibilities  of  regulating  the  profession  of  real  estate  agent.  Voluntary  certification  is 
also under consideration. 

There  are  the  following  requirements  in  the  Slovak  Trade  Act  with  regard  to  access 
to/exercise of the activities of "Brokering of sale, lease and purchase of property (real estate 
activities)":  minimum  age  of  18,  legal  capacity,  clean  criminal  record,  acquiring  a  trading 
licence  which  results  in  automatic  registration  in  the  Trade  Register,  university  degree  in 
economics, law, engineering or architecture or, a complete secondary education with school-
leaving examination and 5 years' experience in the field. Holders of diplomas from other EU 
Member  States  have  to  undergo  an  academic  recognition  procedure  before  being  able  to 
exercise these activities in Slovakia. It appears that Slovakia does not consider this profession 
as being regulated although, as mentioned above, Slovak legislation foresees the application 
of the academic recognition procedure for foreign diploma holders.  

Tourist guides 

The profession of tourist guide is regulated by way of reserves of activity.  

The  activities  of  tourist  guide  consist  of  accompanying  and  guiding  tourists  on  cruises  and 
sightseeing  tours  and  interpreting  the  cultural  and  natural  heritage  of  a  specific  area.  Both 
activities are reserved and not shared with any another profession. 

The access to the profession of tourist guide is subject to the following conditions: general or 
vocational  secondary  education,  training  of  minimum  300  hours  and  attestation  of 
competence obtained at the end of the training. 

No additional requirements have been reported.  

134 

 
 
 
 
   SLOVENIA    
_______________________ 

I. 

Overview 

On 1 November 2016 Slovenia had submitted information about 264 regulated professions. 
Among those professions, 10,6% concern business services, 6,4% the construction sector and 
0,8% the real estate sector.  

According to a recent EU wide survey73, 20% of Slovakia’s labour force can be considered as 
working in regulated professions. This is very close to the EU average (21%). 

As indicated in chart 1, for accounting, legal, architectural and real estate activities business 
churn (or turnover) rate74 is lower in Slovenia than in the EU on average as well as compared 
to the average for the total Slovenian economy. This may be interpreted as an indication of 
the  relatively  low  dynamism  and  competition  within  regulated  professions  present  in  these 
sectors in Slovenia.  

Chart 1: Business churn rate in selected occupations, Slovenia and the EU, 2013-14 (%) 

As  regards  the  mutual  evaluation  exercise,  there  is  still  a  considerable  amount  of 
information missing. In particular, Slovenia had not yet submitted general information (such 
as qualifications requirements) to the Commission with regard to around 70% of its regulated 
professions while the proportionality of the regulation has not yet been assessed with regard 
to around 90% of its regulated professions. 

Furthermore, Slovenia has not yet submitted its national action plan to the Commission.  

In  2012,  Slovenia  announced  ambitious  plans  for  wide-ranging  reforms  of  its  regulated 
professions and it indeed has reformed its crafts sector (40 professions have been opened up); 

73 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
74 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

135 

 
 
 
 
                                                            
however,  in  the  following  years  the  reforms  did  not  advance  further.  It  seems  that  in  2015 
there has been certain progress. 

II. 

Situation concerning the analysed professions  

The level of restrictiveness is higher in Slovenia compared to the EU weighted average for all 
professions  analysed  except  for  patent  agents  and  accountants  where  it  is  lower  than 
compared to the EU average. Amongst the professions analysed, restrictiveness is highest for 
lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Slovenia and the EU  

Source: European Commission services 

Architects/Engineers 

The  professions  under  the  generic  title  of  architect  are  regulated  by  way  of  reserves  of 
activities  and  title  protection  and  those  under  the  generic  title  of  engineer  are  regulated  by 
way of reserves of activities.  

Slovenia informed the Commission that it regulates three profession in the category architect: 
architect,  landscape  architect  and  spatial  planner  (Arhitekt,  krajinski  arhitekt  in  prostorskih 
načrtovale)  and  four  in  the  category  of  civil  engineer:  responsible  project  designer 
(Odgovorni projektant), responsible supervisor (Odgovorni nadzornik), responsible revisor of 
the  design  documentation  (Odgovorni  revident)  and  responsible  building  contractor 
(Odgovorni vodja del).  

The  access  to  the  professions  in  the  field  of  architecture  is  subject  to  the  following 
conditions: 5 years university education, 3 years mandatory training, and a state exam. The 
access to the engineering professions is subject to the following conditions: education (5 or 3 
years university education or high school), mandatory traineeship (length in years depending 
on the education: 3 years in case of Master’s degree, 7 years in case of Bachelor’s degree and 
10 years in case of high school, followed by a state exam. Additionally there may be further 
requirements depending on the specific engineering profession. 

136 

 
 
 
Registration  with  the  relevant  professional  body  is  compulsory  for  both  architects  and 
engineers. 

An  additional  craft  licence  is  required  for  the  performance  of  construction  activities  by 
SMEs. Clean criminal record and absence of disciplinary sanctions are also required. 

Other requirements have not been reported. 

However,  Slovenia  is  in  the  process  of  preparing  a  new  law  governing  the  professions  of 
architect  and  engineer.  The  draft  law  has  been  subject  to  public  consultation  in  September 
2016. On the basis of the draft text it seems that among other issues some new restrictions in 
access to the profession are being considered. 

Accountants/tax advisers 

The profession of accountant/tax adviser is  not regulated  in Slovenia. Any service provider 
can provide accountancy/tax advice services without any additional authorisations except for 
representation before courts in tax matters which is reserved to the profession of lawyer. 

Lawyers  

The  access  to  the  profession  of  attorney  (Odvetnik)  in  Slovenia  is  regulated  by  means  of 
reserves of activities and title protection. 

The  reserved  activities  are  the  following:  drawing  up  legal  documents,  legal  advice,  
representation  before  administrative  authorities, 
representation  before  courts  and 
representation of parties in their legal relations. These activities are not shared with any other 
profession. 

The  access  to  the  profession  of  attorney  is  subject  to  the  following  conditions:  5  years 
university education in  law or equivalent, 4 years of relevant work experience (of which at 
least one year after passing the state exam), a state exam. 

It seems that according to the law in order to qualify in Slovenia, a Slovenian citizenship is 
required. There is also a possibility for lawyers who obtained a right to practice in the country 
of which they are citizens to be entered in the register of lawyers qualified abroad to practise 
law before State bodies in the Republic of Slovenia, under certain conditions. 

Registration in the professional chamber is compulsory. 

Continuous professional development requirements have not been reported.  

Attorneys  can  exercise  the  profession  as  sole  practitioners  or  in  certain  corporate  forms 
including  limited  liability  company.  Only  attorneys  may  be  shareholders  or  owners  of  an 
attorneys' office which is established in Slovenia. Several activities are incompatible with the 
profession of attorney, such as employment in the civil service or as an employee (except for 
scientific, educational, artistic and publicist area), notarial activities, performing  managerial 
function  in  a  company  the  corporate  form  of  which  is  not  authorised  for  attorneys  and 
performing other tasks which damage reputation and independence of legal profession. 

In  addition,  the  legislation  requires  active  command  of  Slovenian  language,  having  the 
necessary equipment and premises to practise and a clean criminal record. 

Patent/trademark agents 

Slovenia  regulates  two  professions  under  the  category  patent/trademark  agent:  industrial 
design and trademark agent and patent agent. They are both regulated by means of reserves of 
activity and title protection.  

137 

 
 
It seems that the only reserved activity is the representation before the Slovenian Intellectual 
Property Office.  

Industrial  design  and  trademark  agents  represent  parties  to  proceedings  relating  to  the 
acquisition  and  maintenance  of  industrial  designs,  marks  and  geographical  indications  and 
other requests concerning those rights. Patent agents represent parties to proceedings relating 
to  the  acquisition  and  maintenance  of  any  right  under  Industrial  Property  Act  and  other 
requests concerning such rights.  

Industrial design and mark agents can be: (a) persons who have completed university studies 
and  have  passed  the  qualifying  examination  for  industrial  design  and  mark  agents  at  the 
Slovenian  Intellectual  Property  Office;  (b)  lawyers  or  law  firms;  (c)  legal  persons  who 
employ at least one person fulfilling the conditions. 

Patent  agents  can  be:  (a)  persons  who  have  completed  university  studies  in  technology  or 
science  and  have  passed  the  qualifying  examination  for  a  patent  agent  at  the  Slovenian 
Intellectual Property Office; (b) lawyers or law firms, employing on a regular or contractual 
basis a person who fulfils the conditions; (c) legal persons employing at least one person who 
fulfils the conditions. 

Only  those  registered  in  the  corresponding  register  of  representatives  maintained  by  the 
Slovenian Intellectual Property Office are authorised to act before the Slovenian Intellectual 
Property Office. 

Additional information has not been submitted. 

Real estate agents 

The profession of real estate agent is regulated by means of title protection and reserves of 
activity.  

The real estate activities, so called "business brokerage", are reserved to real estate companies 
and cover: 1) establishing and facilitating contacts and negotiations with tenants and owners, 
arranging the sale, purchase, rental and lease of real property; 2) obtaining information about 
properties to be sold or leased, the circumstances of their owner and the needs of prospective 
buyers or tenants 3) showing properties to be sold or leased to prospective buyers or tenants 
and  explaining  terms  of  sale  or  conditions  of  rent  or  lease  4)  arranging  signing  of  lease 
agreements and transfer of property rights. These four activities are not shared with any other 
profession.  The  activity  of  drawing  up  leasing  and  sale  agreements  is  reserved  to  the 
profession of a lawyer.  

Each  real  estate  company  must  have  a  contract  (of  employment  or  other)  with  at  least  one 
fully qualified estate agent and the principal business of the company must be carried out by 
these qualified professionals. 

The  access  to  the  profession  is  conditional  upon  acquiring  of  a  national  vocational 
qualification  either  through  secondary  vocational  training  (4  years),  3  years'  professional 
experience,  positive  opinion  of  responsible  ministry,  state  exam  or  validation  of 
experience/skills  or,  through  post-secondary  vocational  study  (2  years)  and  state  exam  or 
validation of experience/skills. Furthermore, registration in the register of estate agents held 
by the competent Ministry, against a fee, is mandatory. 

It seems that according to the law in order to qualify in Slovenia, a Slovenian citizenship is 
required. There is also a possibility for real estate agents who obtained a right to practice in 

138 

 
 
 
another  EEA  state  to  have  their  qualifications  recognized  in  Slovenia,  under  certain 
conditions. 

Finally, clean criminal record is also required. 

Real  estate  agents  are  obliged  to  follow  continues  professional  training  every  five  years  or 
when  the  legislation  from  the  field  of  real  estate  is  amended,  the  knowledge  of  which  is 
required under the state examination for real estate agent. 

Tourist guides 

The profession of tourist guide is regulated by way of reserves of activity and title protection. 
There  are  two  regulated  professions  in  this  category  in  Slovenia:  tourist  guide  (Turistični 
vodnik/vodič) and tourist guide of a tourist area (Turistični vodnik turističnega območja). 

The scope of the activity reserved to tourist guides is widely defined: guiding visitors on the 
basis  of  a  predetermined  program.  The  activities  reserved  to  the  tourist  guides  of  a  tourist 
area seem to be determined at the level of municipalities. There is a general rule providing 
that  municipalities  are  not  allowed  to  restrict  the  activities  of  Slovene  or  foreign  tourist 
guides. 

The  access  to  the  profession  of  a  tourist  guide  is  subject  to  the  following  conditions: 
secondary level education, knowledge of a foreign language and a state examination. 

The conditions for access to the profession of a tourist guide of tourist area are laid down by 
municipalities and can therefore differ depending on the tourist area. Usually municipalities 
require  secondary  level  education,  knowledge  of  a  foreign  language  and  knowledge  of  the 
tourist area. 

There is no obligation of prior professional experience for practicing the profession of tourist 
guide. 

Other requirements have not been reported. 

139 

 
 
 
 
 
   SPAIN   
_______________________ 

I. 

Overview 

On  1  November  2016  Spain  had  submitted  information  about  182  regulated  professions. 
Among those professions, 20,9% concern business services, 6% the construction sector. 

According to a recent  EU wide survey75, 17%  of Spain's labour  force  can be considered as 
working in regulated professions. This is lower than the EU average (21%). 

As  indicated  in  chart  1,  for  accounting,  legal  and  architectural  activities  business  churn  (or 
turnover)  rate76 is  lower  in  Spain  than  in  the  EU  on  average  as  well  as  compared  to  the 
average  for  the  total  Spanish  economy.  This  may  be  interpreted  as  an  indication  of  the 
relatively  low  dynamism  and  competition  within  regulated  professions  present  in  these 
sectors in Spain.  

Chart 1: Business churn rate in selected occupations, Spain and the EU, 2013-14 (%) 

Spain has been participating relatively actively in the mutual evaluation exercise. However 
on  10  October  2016,  Spain  still  needs  to  submit  almost  50%  of  the  general  information  on 
different regulated professions and half of the professions still need to be assessed as to the 
proportionality of their regulation.  

The  Spanish  national  action  plan  covers  only  a  limited  number  of  professions  (i.e. 
professions  chosen  to  be  discussed  during  the  mutual  evaluation  exercise):  ingenieros  de 
caminos,  canales  y  puertos  (civil  engineers),  architects,  high  voltage  and  low  voltage 
installers/electricians, driving  instructors, hairdressers, psychologists, physiotherapists, sport 
coaches,  tourist  guides and advanced experts  in dental  hygiene.  More specifically, amongst 

75 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
76 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

140 

 
 
 
 
                                                            
actions proposed on ingenieros de caminos, canales y puertos, and architects, we can quote 
the  following:  "to  narrow  the  scope  of  the  mandatory  membership  in  the  professional 
association (the adoption of the law covering this aspect is on hold since 2013); to simplify 
and rationalise the scope of reserved activities of the more than 20 specialities of engineers; 
and measures regarding insurance, continuous personal development and ethics". Regarding 
the  tourist  guides,  Spain  explains  that  "it  is  a  necessary  process  of  reflection  (on  a 
collaborative  basis)  about  the  proportionality  of  the  measures/requirements  imposed  by  the 
regions to access to the activity of guide".  

In 2016, the European Commission addressed a country specific recommendation to Spain 
in the area of professional services: 

Adopt the planned reform on professional services and associations. 

II. 

Situation concerning the analysed professions  

In  Spain  both  the  federal  state  and  the  17  autonomous  communities are  entitled  to  regulate 
the  professional  activities,  because  Article  149(3)  of  the  Spanish  Constitution  does  not 
reserve  this  right  exclusively  to  the  federal  state.  As  a  result,  certain  professions  are  only 
regulated  in  some  autonomous  communities.  In  other  autonomous  communities  the  same 
activities might be exercised by anyone, or even if the activities are reserved the professionals 
concerned are not obliged to be members of a professional college.  

In  a  large  number  of  professions  there  is  an  obligatory  membership  requirement  in  the 
professional  colleges.  Professional  colleges  play  a  key  role  in  the  regulation  of  these 
professions: they are public bodies to which the State delegates the power to control and self-
regulate the professional activities (supervision of the professional register, disciplinary role, 
etc.).  At  the  same  time  professional  colleges  represent  the  interest  of  the  professionals 
concerned.  

The creation of a Professional College must be established by a national or regional law and 
its  scope  of  action  is  circumscribed  to  a  given  geographical  demarcation.  The  laws 
transposing  the  Services  Directive  (Umbrella  and  Omnibus)  adapted  the  national  legal 
framework  modifying  47  national  laws  on  different  matters.  With  respect  to  Professional 
Colleges, the Omnibus Law left pending the reform of reserves of activity and of mandatory 
membership  requirements:  within  a  maximum  of  twelve  months,  the  national  Government, 
upon  prior  consultation  with  the  Autonomous  Communities,  was  to  send  to  the  Spanish 
Parliament  a  draft  for  a  law  determining  the  professions  whose  exercise  would  require 
membership  in  the relevant  Professional  College.  The  purpose  was to  avoid tensions  in  the 
unity  of  the  national  market  that  could  arise  from  divergent  regional  rules.  The  “map”  of 
mandatory  membership  obligations  in  force  at  the  effective  date  of  the  Omnibus  Law  was 
thus  frozen,  and  this  has  produced  a  situation,  supposedly  transitional,  in  which  there  has 
been  de facto acceptance  of  mandatory  membership requirements established  by provisions 
or  by  laws  or  regulations  dictated  by  the  regional  governments  and  the  consequence  is  the 
fragmentation of the market unity for regulated professions in Spain.   

The level of restrictiveness is higher in Spain compared to the EU weighted average for the 
tourist guide, civil engineer and architect professions. It is on the other hand lower than the 
EU  level  for  patent  agents,  lawyers  and  accountants.  Amongst  the  professions  analysed, 
restrictiveness is highest for architects and lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

141 

 
 
 
Chart 2: Restrictiveness indicator, 2016, Spain and the EU  

Source: European Commission services 

Architects/Engineers 

The  professions  of  architect,  technical  architect,  civil  engineer  (ingeniero  de  caminos, 
canales y puertos) and technical engineer in public works are regulated by way of reserves of 
activities  and  protected  title  through  the  same  law  (at  national  level).  The  reserves  of 
activities are distributed between the four professions depending on the type of construction 
and  the  role  of  the  professional.  For  instance,  while  the  design  and  planning  for  important 
buildings  (for  administrative  purposes,  for  healthcare  purposes,  for  religious  purposes  etc.) 
are reserved to architects and civil engineers, the same activity can be performed by technical 
civil  engineers  if  the  building  has  a  lower  importance  according  to  the  law.  The  technical 
architects intervene mostly in the monitoring of the construction. 

The  length  of  the  training  is  6  years  for  architect  and  engineer,  and  4  years  for  technical 
engineer  in  public  works  and  technical  architect.  It  is  mandatory  to  be  member  of  the 
professional  body  (the  chamber)  in  order  to  access  the  profession.  Authorisations  ('visado') 
from the Chamber is necessary for certain projects/works. These obligations were reformed 
in 2010. 

There  are  no  restrictions  regarding  the  legal  form  of  companies.  The  establishment  of 
professional  companies  is  allowed  under  the  condition  that  at  least  50%  of  the  shares  are 
owned by professionals (recently lowered from 75%). 

Accountants 

The profession is not regulated in Spain.  

Lawyers 

Two legal professions have been considered as covered by this chapter: abogado (attorney-at-
law)  and  procuradores.  Both  professions  are  regulated  by way  of  reserves  of  activities  and 
protected title. 

The activities, reserved to lawyers are: 1. Drawing up legal documents, shared with notaries 
and  patent  agents;  2.  Legal  advice  (including  in  tax  matters),  shared  with  different 

142 

 
 
 
professionals  (Labour  law  expert;  Economist...);  3.  Representation  of  clients  before  courts 
(meaning defence of clients in court), not shared. 

Article 543(1) and (2) of the Judiciary Act state: “1. The parties in proceedings of any kind 
may be represented exclusively by Procuradores, unless the law provides otherwise.  2. They 
may carry out communication acts to the parties of proceedings that the law allows”. These 
reserves  of  activities  have  been  specified  further  and  accordingly  only  those  professionals 
may perform the following: 

a) "technical" representation of a party before most courts in most procedures; 

b)  communication  of  court  acts  to  the  party  they  represent  and  to  the  other  parties,  
and of the parties to the court, both on paper and electronically;  

c) auxiliary enforcement acts of court orders and rulings in relation to seized assets. 

These  activities  are  exclusively  reserved  to  procuradores,  although  as  far  as  the  technical 
representation  is  concerned,  this  activity  is  shared  with  other  professionals  in  some  areas, 
such as graduados sociales in labour matters. Lawyers have no access to those activities in 
civil and criminal procedures. 

In Spain, the attorneys-at-law are members of a local Bar Association. There are a total of 83 
bar associations in Spain. There is no quantitative restriction on the number of the attorneys 
in the country. There are around 70 procuradores’ associations. 

The level of qualification for both Procuradores and Abogados is Bachelor degree in law (4 
years), plus 18 months Master (theoretical and practical), followed by successful completion 
of a State exam. The Spanish system of qualification was changed in 2006 and it is in force 
since 2011 (for procuradores since 2014). 

The  European  Commission  received  several  complaints  regarding  the  transitional  period 
2006-2011 and more precisely the case of certain lawyers that obtained their law diploma in 
other EU Member States and afterwards the homologation of their diplomas in Spain, have or 
have  not  managed  to  obtain  registration  with  the  Bar.  From  the  information  provided,  it 
seemed that the Spanish authorities have not clearly addressed the situation of these lawyers 
who have  asked or  obtained the homologation of their foreign  law diplomas  after the entry 
into force of the new law 34/2006. 

There  are  no  restrictions  regarding  the  legal  form  of  companies.  The  establishment  of 
professional  companies  is  allowed  under  the  condition  that  at  least  50%  of  the  shares  are 
owned by professionals. 

Patent agents 

The  profession  of  patent  agent  (agente  de  la  propiedad  industrial)  is  regulated  by  way  of 
reserved  activities  and  protected  title.  The  activity  of  counselling  and  representation  before 
the  Patent  Office  or  other  administrative  authorities  is  reserved  to  patent  agents  but  shared 
with attorneys. 

Real estate agents 

The profession is not regulated in Spain.  

While the Spanish authorities stated that the profession of real estate agent is not regulated in 
Spain,  it  appears  however  that  the  profession  is  regulated  in  certain  regions,  for  instance 
Catalonia, by way of reserves of activities and protected title. For example, new regulations 

143 

 
 
have  been  introduced  in  this  region  imposing  qualification  requirements,  as  well  as  an 
obligation for all real estate agents operating in the region to register. 

Tourist guides 

The  profession  is  regulated  at  regional  level  in  most  of  the  autonomous  regions.  Two 
activities  were  declared  by  the  Spanish  authorities  as  reserved  to  tourist  guides: 
accompanying  and  guiding  visitors  through  specific  places  of  interest  such  as  museums, 
exhibitions,  theme  parks,  factories  and  other  industrial  establishments,  and  interpreting  the 
cultural and natural heritage of a specific area. Territorial restrictions are in place for certain 
regions  which  mean  that  recognition  of  qualification  obtained  in  another  region  is  needed 
prior to exercise of the profession. 

The  length  of  the  training  varies  between  minimum  690  hours  (in  Aragón)  and  2000  h  (in 
most of the Regions). No mandatory traineeship is required but an exam at regional level has 
to  be  passed.  Certain  regions  require  language  skills  (Spanish  plus  two  other  foreign 
languages are required for instance in Andalucía).  

In all concerned regions the professional needs to register with the regional authority. 

144 

 
 
 
 
 
   SWEDEN   
_______________________ 

I. 

Overview 

On  1  November  2016  Sweden  had  submitted  information  about  88  regulated  professions. 
Among those professions, 14,8% concern business services, 1,1% the construction sector and 
1,1% the real estate sector.  

According to a recent EU wide survey77, 15% of Swedish labour force can be considered as 
working in regulated professions. This is lower than the EU average (21%). 

As indicated in chart 1, for all the professions selected, business churn (or turnover) rate78 is 
lower in Sweden than in the EU on average. This may be interpreted as an indication of the 
relatively  low  dynamism  and  competition  within  regulated  professions  present  in  these 
sectors in Sweden.  

Chart 1: Business churn rate in selected occupations, Sweden and the EU, 2013-14 (%) 

Sweden  has  actively  participated  in  the  mutual  evaluation  exercise.  On  10  October  2016, 
Sweden  still  needed  to  submit  12%  of  the  general  information  on  different  regulated 
professions  and  10  professions  still  need  to  be  assessed  as  to  the  proportionality  of  their 
regulation.  

In its national action plan, Sweden announces very limited changes to the existing situation 
concerning  the  professions  of  authorised/approved  auditor  (in  conformity  with  EU  audit 
package), driving instructor and electrical contractor. Overall, Sweden sees very little need to 
adapt the current regulatory framework. 

77 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
78 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

145 

 
 
 
 
                                                            
II. 

Situation concerning the analysed professions  

The level of restrictiveness is lower in Sweden compared to the EU weighted average for the 
professions of patent agent, lawyer, civil engineer and architect. It is on the contrary higher 
than  compared  to  the  EU  average  for  real  estate  agent.  The  most  restrictive  profession 
amongst those analysed is lawyer. Accountants and tourist guides are not regulated.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, Sweden and the EU  

Note: for the profession of patent agent the indicator for Sweden measures the restrictiveness to carry the protected title  
Source: European Commission services 

Architects 

The profession of architect is not regulated in Sweden. 

No formal requirements for establishing an architect's practice exist. The architect education 
is a regulated education (5-years education programme). Four types of architects are defined 
according to the Swedish Association of Architects: “traditional” architect (construction and 
renovation), physical planning, interior design and design of landscapes. Voluntary titles exist 
for  these  different  types  of  architects.  They  are  granted  and  administered  by  the  Swedish 
Association of Architects.  

In Sweden, the responsibility for location and design issues rests with municipalities who are 
duty bound to hold the relevant qualified expertise in-house and with technical requirements 
being supervised through an independent system. Responsibility rests with the project client, 
who  may  be  granted  building  permits  without  the  participation  of  an  architect.  When 
required, the client is responsible to appoint  a certified quality control  manager  (certifierad 
kontrollansvarig)  to  ensure  project  compliance  with  the  plans  agreed  with  the  municipality 
and  with  the  relevant  laws  and  regulation.  The  municipality  can  also  require  that  different 
certified specialists (certifierade sakkunniga) (are involved in the project, in addition to the 
quality  control  manager.  The  certified  specialists  are  divided  into  the  following  categories; 
fire protection, ventilation, access for the disabled and culture preservation.   

Consumer  legislation  protects  consumers  in  cases  of  faulty  or  tardy  provision  of  services, 
“Consumer  Services  Act” 
including 

those  provided  by 

architect..  The 

an 

146 

 
 
 
(konsumenttjänstlagen) contains consumer protecting rules on contractual relationships with 
regard  to  the  construction  of  housing.  The  “Act  on  Contractual  Terms  in  consumer 
relationships” (lagen om avtalsvillkor i konsumentförhållanden) also protects the consumer in 
cases of ambiguous contractual terms. 

Civil engineer 

The profession of civil engineer is not regulated in Sweden. The civil engineering education 
is regulated and consists of a 5-years Master programme.  

As  for  the  architect  profession,  the  client  has  the  responsibility  for  ensuring  that  new 
constructions  correspond  to  the  relevant  legal  requirements.  In  addition  to  the  building 
permit, most constructions projects require a control plan, which has to be approved by the 
municipality.  In  most  cases,  the  involvement  of  an  independent  certified  “quality  control 
manager”  is  mandatory  and  the  municipality  can  also  require  the  involvement  of  other 
certified specialists. If an undertaking employing a civil engineer provides building services 
to  a  client,  this  client  is  protected  by  the  “Consumer  Services  Act”.  Sweden  considers  that 
this  system  which  involves  the  municipalities,  certified  quality  control  manager  and  the 
consumer protection legislation is sufficient to safeguard public interests. 

As  regards  public  constructions  such  as  roads  and  bridges  the  legal  requirements  are 
somewhat different. There are in general few requirements on the professionals participating 
in  the  construction  of  a  road  or  a  bridge.  However,  in  cases  where  the  state  or  the 
municipalities  procure  construction  services  in  this  area,  they  generally  require  that  the 
professionals  participating  in  the  project  have  certain  competences.  These  competences  are 
divided in different categories depending on complexity. 

There is no requirement on a building permit before commencing a construction of a road or 
bridge etc. The “client” has an extensive responsibility for the construction and has to carry 
out self-control on a regularly basis to secure compliance with relevant legislation. Further, 
the  “client”  is  obliged  to  adhere  to  a  control  plan  issued  by  an  independent  quality  control 
manager.  In  some  areas,  for  example  construction  of  road  tunnels,  the  project  requires  an 
accredited  supervisory  body.  This  requirement  has  been  introduced  in  accordance  with  EU 
legislation. 

is 

consumer 

Protection  of 
“Consumer  Services  Act” 
(konsumenttjänstlagen) which contains consumer protecting rules on contractual relationships 
with  regard  to  the  construction  of  housing  and  via  the  “Act  on  Contractual  Terms  in 
consumer relationships” (lagen om avtalsvillkor i konsumentförhållanden) which protects the 
consumer in cases of ambiguous contractual terms. 

through 

ensured 

the 

Accountants 

The  profession  of  accountant  is  not  regulated  in  Sweden.  Only  the  profession  of  statutory 
auditor is regulated. 

Members of the association of Swedish Accounting and Payroll consultants (Srf konsulterna) 
benefit from the title of “authorised accountant” delivered by the association. It is voluntary 
and does  not  prevent  anyone from accessing the profession. Membership  implies  following 
the  Swedish  standard  of  accountancy  (Reko),  respect  ethics  rules  and  go  through  regular 
quality checks organised by the association.  

147 

 
 
 
 
Lawyers 

The profession of advocate (advokat) is regulated by title protection and reserves of activities. 
There  is  a  reserved  activity  for  public  defence  counsels  who  have  the  obligation  to  be 
advocate and member of the Swedish Bar Association. 

The  education  and  training  course  to  become  an  advocate  lasts  7,5  years  including  a 
mandatory  traineeship.    To  become  an  advocate,  a  person  must  demonstrate  three  years  of 
professional experience after having obtained the required degree and become a member of 
the  Swedish  Bar  Association.  Members  have  an  obligation  to  maintain  and  develop  their 
professional  skills.  Only  advocates  may  become  shareholders/member  of  the  Board/  or 
partner  of  a  Swedish  law  firm.  Exceptions  are granted  upon  agreement  of  the  Board  but  in 
any  case  the  shareholding  and  voting  rights  are  limited  to  10%.  Advocates  are  authorised 
only to work with other advocates and they may not exercise any other activity which would 
prejudice  their  independence  or  be  incompatible  with  their  status.  Professional  liability 
insurance is compulsory and is contracted by the Bar on behalf of its members. 

Patent agents  

In  Sweden,  the  profession  of  patent  agent  (patentombud)  is  regulated  under  the  form  of 
protected title without reserved activities. Access to the authorised patent agent is conditional 
upon  the  completion  of  a  specialised  3-year  post-secondary  education  programme  after 
having  completed  a  degree  in  the  field  of  technology/science  or  law  and  having  passed  a 
written  test.  A  prior  professional  experience  of  at  least  4  years  as  assistant  in  patent  law 
matters is necessary to access the protected title of authorised patent agent. Once authorised, 
patent agents have the duty to maintain and develop their professional capability in the area 
of  patent  laws.  No  specific  restrictions  exist  as  regards  corporate  forms  or  professional 
indemnity insurance. 

Real estate agents 

The profession of real estate agent is regulated by reserved activities.  

Swedish authorities consider that the real estate agent plays a key role in the transaction of 
real  estates  in  the  absence  of  notaries  or  independent  evaluators  during  this  phase.  Prior  to 
1984,  a  voluntary  authorisation  scheme  for  real  estate  agents  was  in  place.  However,  this 
proved insufficient in order to meet the objective of consumer protection, as only 30 percent 
of the real estate agents subjected themselves to the voluntary authorisation. 

Qualified  real  estate  agents  have  the  exclusivity  to  establish  contact,  show  properties, 
facilitate  the  negotiations  between  tenants  and  owners,  draw  up  and  arrange  the  signing  of 
lease agreements and transfer of property rights. Candidate real estate agents have to follow a 
two-year  specific  education  programme  as  well  as  professional  experience  in  the  form  of  a 
10-week traineeship. No other pathway exists to obtain the qualifications. Registration with 
the  competent  authority  (Swedish  Estate  Agents  Inspectorate)  is  mandatory  except  for 
members  of  the  Swedish  Bar  Association  and  to  real  estate  agents  that  engage  solely  in 
municipal  procurement  of  rental  tenancies.  Members  of  the  association  have  continuous 
professional development obligations. 

Some restrictions exist concerning the joint exercise of the profession:  property development 
and  brokerage  cannot  be  exercised  within  the  same  company  and  the  activities  of 
banking/insurance  must  be  clearly  separated  from  those  of  real  estate  brokerage  when 
belonging  to  a  same  business  group.  Qualified  real  estate  agents  have  the  obligation  to 
possess professional indemnity insurance.  

148 

 
 
Tourist guides 

The profession of tourist guides is not regulated in Sweden.  

Legislation  in  place  to  protect  consumers  mainly  cover  risks  related  to  the  travel  agency 
business and is not directly aimed at damages which could be caused by tourist guides. The 
largest  Swedish  organisation  of  tourist  guides  “Sveguide”  provides  training  (in  cooperation 
with  training  institutes)  and  authorisation  of  tourist  guides.  The  authorisation  requires  200 
hours of supervised training and a successfully completed examination. 

149 

 
 
   UNITED KINGDOM   
_______________________ 

I. 

Overview 

On  1  November  2016  the  UK  had  submitted  information  about  216  regulated  professions. 
Among those professions, 32,4% concern business services, 5,1% the construction sector and 
0,5% the real estate sector.  

According  to  a  recent  EU  wide  survey79,  19%  of  British  labour  force  can  be  considered  as 
working in regulated professions. This is slightly lower than the EU average (21%). 

As indicated in chart 1, for all the professions selected with the exception of legal activities, 
business  churn  (or  turnover)  rate 80 is  higher  in  the  United  Kingdom  than  in  the  EU  on 
average.  This  may  be  interpreted  as  an  indication  of  the  relatively  high  dynamism  and 
competition within regulated professions present in these sectors in United Kingdom. In the 
case of legal activities, the churn rate is on the contrary lower than the one for the EU and the 
British economy in general. 

Chart 1: Business churn rate in selected occupations, United Kingdom and the EU, 2013-14 (%) 

The UK was an active contributor during the mutual evaluation exercise and submitted all 
its sectoral reports to time. On 10 October 2016, the UK had  submitted most of the general 
information  on  different  regulated  professions,  whereas  15%  of  the  assessment  of  the 
proportionality of regulation still needs to be done.  

According to its national action plan (NAP) the UK set up a challenge group to support the 
government in  identifying reform opportunities. The NAP covered 62 professions, many of 
which  have  yet  to  draw  conclusions  following  further  stakeholder  discussions,  in  particular 
with their competent authorities. However, the UK has proposed taking reform steps in their 

79 Koumenta M. and M. Pagliero (2016), "Measuring Prevalence and Labour Market Impacts of Occupational Regulation in 
the EU".  See: http://ec.europa.eu/DocsRoom/documents/20362 
80 Business churn rate is calculated as the ratio of the sum of newly founded and closed enterprises to the total number of 
enterprises in year t. No data available for patent agent related activities. 

150 

 
 
 
 
                                                            
legal  professions,  including  entry  barriers  to  alternative  business  models  (especially  in  the 
area of home buying) and to further distance professional regulators from their representative 
bodies;  enquiring  into  the  scope  for  simplification  of  their  building  regulations  and; 
announced partnering with the Netherlands to review competencies in the engineering sector. 
The  UK  reviewed  its  many  uses  of  chartered  titles  but,  given  that  in  most  instances  the 
application  for  a  chartered  title  is  voluntary,  they  generally  concluded  that  they  did  not 
represent a market barrier, so would take no further action. 

II. 

Situation concerning the analysed professions  

The level of restrictiveness is  higher in  the United Kingdom compared to  the EU weighted 
average for the patent agent profession. The level of regulation is lower in the case of civil 
engineers,  architects  and  accountants.  It is  similar to  the  EU  average  for  lawyers. Amongst 
the professions analysed, restrictiveness is highest for lawyers.  

Chart  2  presents  the  results  of  the  quantification  made  by  the  Commission  on  the 
restrictiveness level in the selected professions. 

Chart 2: Restrictiveness indicator, 2016, United Kingdom and the EU  

Note:  for  the  professions  of  accountant,  architect  and  civil  engineer,  the  indicator  for  the  UK  measures  the  restrictiveness  to  carry  the 
protected title  
Source: European Commission services 

Architects 

The UK regulates architects through title protection.  

Architectural  training  takes  7  years  to  complete  (5  years  education,  followed  by  2  years 
practical  training  followed  by  the  'part  III'  state  exam).  Membership  into  the  Architects 
Registration  Board  is  mandatory.  The  UK  has  no  formal  obligation  for  continuous 
professional development but rather issues guidance which is not monitored. 

Engineers 

Engineers in the UK are regulated by protected title.  

There  is  the  opportunity  to  apply  for  a  Chartered  title  which,  although  not  necessary  to 
exercise the profession, may confer a competitive advantage.  

151 

 
 
 
There does however appear to be one area reserved in Scotland where only those who have 
been  members  of  either  the  Institution  of  Structural  Engineers  or  the  Institution  of  Civil 
Engineers for 5 years, may act as Approved Certifier of Design (Building Structures).  

There is no prescribed education or training for civil engineers but those wishing a Chartered 
title  may  typically  expect  to  have  completed  4  years  of  education  as  well  as  3  years  of 
professional  practice  /  training.  On  application  to  an  Institute  such  experience  will  be  peer 
reviewed.  Membership  with  a  chartered  body  is  obligatory.  Such  bodies  will  expect 
continuous professional development which in the case of the Institute of Civil Engineers this 
is set at 30 hours annually. There are no other measures applied to Chartered professionals. 

Accountants 

Similar  to  civil  engineers,  the  UK  regulates  accountants  by  protected  title.  There  is  the 
possibility  to  request  the  'chartered'  title  as  having  such  a  title  gives  holders  a  competitive 
advantage  insofar  as  the  consumer  may  not  be  aware  of  the  risks  or  opportunities  in 
employing a non-chartered professional. 

For Chartered accountants there are two routes into the profession; either through education 
(5  years)  or  'qualified  by  experience'  and  require  a  3  year  mandatory  traineeship  for  those 
taking  the  education  route.  Access  to  the  chartered  title  requires  3  years  of  practical 
experience, obligatory membership with the Chartered Body and typically 40 hours of annual 
continuous professional development.  

There  are  limits  on  ownership  or  control  of  corporate  form  by  non-locally  licensed 
professionals  for  Member  Firms  of  the  chartered  bodies:  50-75%  of  votes  must  be  held  by 
members. 

Lawyers 

The  UK  consists  of  three  separate  legal  jurisdictions,  England  and  Wales,  Scotland  and 
Northern  Ireland.  Each  of  those  has  two  main  types  of  lawyer:  solicitor  and  barrister 
(advocate  in  Scotland).  Other  practitioners  such  as  legal executives,  licensed  conveyancers, 
trade  mark  and  patent  attorneys,  notaries  and  law  cost  draftsmen  are  also  recognised  in 
legislation and have more limited rights to practice law. 

All of the UK’s lawyer professions are regulated through a combination of title protections 
and  reserved  activities,  which  vary  depending  on  the  profession  in  question.  The  reserved 
activities  are:  rights  of  audience;  the  conduct  of  litigation;  reserved  instrument  activities; 
probate activities; notarial activities and; the administration of oaths. Some of these reserved 
activities,  such  as  probate,  are  not  reserved  exclusively  for  legal  practitioners  (i.e.  others, 
such as accountants, may be authorised to provide these services).  

Nonetheless there are a lot of commonalities across the UK legal professions. Legal training 
generally consists of 5 years of University level education and 2 years of practical training. 
Lawyers  must  register  and  renew  this  registration  annually  with  one  of  the  six  main  UK 
regulators  of  the  legal  profession  (the  Solicitors  Regulation  Authority  and  Bar  Standards 
Board in England and Wales, the Law Society of Scotland and the Faculty of Advocates in 
Scotland and the Law Society and Bar Council in Northern Ireland).  

In  addition  to  annual  renewal  of  practising  certification,  all  UK  lawyers  must  complete 
continuous  professional  development  during  the  year,  obtain  professional  indemnity 
insurance  (although  the  level  of  protection  required  varies  depending  on  the  activities  the 
different  professions  are  permitted  to  undertake),  and  they  must  contribute  to  a  consumer 
compensation fund.  

152 

 
 
The  authorisation  of  solicitors  and  barristers,  or  advocates,  to  provide  reserved  activities  is 
limited to the specific legal jurisdiction in which they are licensed and does not apply across 
the UK. UK lawyers wishing to switch between professions or jurisdictions may be required 
to undertake additional examinations or training. 

There  is  significant  variation  in  the  rules  governing  the  form  of  practice  and  ownership 
restrictions which apply to the various UK legal professions. English solicitors, for example, 
are  permitted  to  co-own  legal  businesses  with  non-lawyers  and  law  firms  may  list  on  the 
stock  exchange.  At  the  other  end  of  the  spectrum,  barristers  in  Northern  Ireland  must  be 
independent professionals and cannot share fees with each other.  

As noted in the introduction the UK is continuously monitoring the need for reform, e.g. in 
the interaction between their legal regulators  and professional bodies  or relating  to opening 
up legal activities to allow greater market access and innovation, such as through an on-going 
review by the Solicitors Regulation Authority. 

Patent agents  

Patent attorneys are regulated through title protection and reserves of activities although the 
filing and prosecution of UK patent applications are not reserved. 

Those  wishing  to  practice  the  profession  must  first  have  a  relevant  undergraduate  degree 
before  undergoing  further  mandatory  training  and  education  over  a  period  of  around  4  –  5 
years.  There are only a small  number of courses approved by the registration authority and 
this authority also requires that insurance providers commit to minimum terms as well as that 
its members perform annual continuous professional development.  

There  is  no  restriction  on  shareholding  but  instead  at  least  one  director/manager  (other 
owners and directors/managers requiring only approval) needs to be patent agent. 

Professional insurance is required. 

Concerning  the  cross-border  provision  of  services  and  the  transposition  of  Directive 
2013/55/EU81, the UK has established a limited list of qualifications to be recognised. 

Real estate agents 

The UK does not regulate this profession, although sales of property must be overseen by a 
notary / solicitor.  

Tourist guides 

The UK does not regulate this profession. 

81  Directive  2013/55/EU  of  the  European  Parliament  and  of  the  Council  of  20  November  2013  amending  Directive 
2005/36/EC  on  the  recognition  of  professional  qualifications  and  Regulation  (EU)  No  1024/2012  on  administrative 
cooperation through the Internal Market Information System ( ‘the IMI Regulation’ ) 

153 

 
 
 
                                                            
V.  

Explanations on the methodology used for the restrictiveness 
indicator 

154 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Explanations on the methodology used for the restrictiveness indicator 

1.  Introduction 

2.  Data sources – Thorough review of national legislation validated by national 

authorities  

a.  Sources for the analysis of restrictions  

b.  Information validated by national authorities  

c.  Multiple professions in a sector 

3.  Sectors under review  

a.  Seven professions 

b.  Multiple professions in a sector 

4.  Scope of the restrictions analysed 

5.  Quantification of restrictions - The scoring system 

6.  Comparability with the OECD PMR indicator and assessment of barriers in 

business services indicator of 2015 

a.  Professions under review 

b.  Scope of restrictions analysed 

c.  Weighting of the restrictions 

d.  Process and consultation with national authorities 

e.  Periodicity of the indicator 

155 

 
 
 
 
1.  Introduction 

This  composite  indicator  has  been  developed  by  the  European  Commission  services  in  the 
context  of  the  initiative  "guidance  on  reform  needs  in  regulated  professions"  which  was 
announced in the Single Market Strategy adopted in October 2015. 

The  purpose  of  the  indicator  is  to  measure  the  intensity  of  restrictiveness  of  national 
regulation  as  regards  access  to  and  exercise  of  regulated  professions  through  the  use  of  a 
standardised  approach.  It  is  a  composite  indicator  because  it  looks  at  a  large  number  of 
restriction types, from regulatory form and qualification requirements to exercise restrictions 
such  as  limitations on multidisciplinary activities, corporate structure restrictions, and  other 
entry  restrictions  such  as  the  compulsory  membership  to  professional  organisations,  and 
brings  them  into  one  figure.  The  level  of  restrictiveness  of  every  measure  is  assessed  and 
quantified. The composite indicator gives an assessment of the cumulative restriction level of 
all these measures taken together. 

The indicator should not be looked at or used in isolation. It has to be read together with the 
qualitative  assessment  made  for  every  profession  in  every  Member  State.  Although  the 
indicator  takes  into  account  the  large  majority  of  the  restrictions  affecting  the  professions 
analysed, it does not quantify non-regulatory barriers. It is also crucial to consider the overall 
legal framework specific to each Member State which may justify or explain differences in 
regulation between some Member States.  

The indicator facilitates the comparison of Member States' situations for a given profession as 
well as the comparison of professions within a Member State. It will facilitate the assessment 
of national reforms on the level of restrictiveness over time. 

It  is  not  the  first  attempt  to  quantify  the  level  of  regulation  imposed  on  professions.  The 
OECD has been running since 1988 the Product Market Regulation indicators (PMR) project 
which analyses the regulatory situation in a wide range of economic sectors for its members. 
Although much larger in scope, it contains a sub-indicator which looks into the regulation of 
professional  services,  by  focusing  on  4  professions:  architects,  lawyers,  accountants  and 
engineers. The Commission, as part of its Single Market Strategy, has published in 2015 the 
results of its analysis of levels of barriers for the same 4 professions focusing on the impact 
of the regulation on the provision of cross-border services. While the professions analysed in 
these two exercises are also covered in the present analysis, the focus and the scope are quite 
different and naturally this has led to differences regarding the relative restrictiveness in the 
comparison between Member States. In particular, a key difference with the 2015 analysis is 
the focus on restrictions to establishment of a services provider in a Member State, and not on 
the restrictions to the cross-border provision of services which was also analysed in the 2015 
indicator. Additional explanations are given below in section 6. 

Apart from the differences highlighted above, this new restrictiveness indicator measures the 
intensity of regulation in professional services from a different and novel angle: the intensity 
of the restrictiveness of regulation is dependent for a great part on the existence and scope of 
the activities which professionals have the monopoly over, i.e. what is referred to as "reserves 
of  activities".  The  weight  attributed  to  that  requirement,  as  part  of  the  regulatory  approach 
category (see below), within the composite indicator, reflects its importance in the model..  

156 

 
 
 
2.  Data  sources  –  Thorough  review  of  national  legislation  validated  by  national 

authorities  

a.  Sources for the analysis of restrictions  

Between  November  2013  and  January  2016,  Member  States  took  part  in  the  mutual 
evaluation of regulated professions, the transparency exercise introduced in Article 59 of the 
modernised Professional Qualifications Directive.82  

The  information  submitted  by  Member  States  in  this  context  into  the  database  of  regulated 
professions  constitutes  a  primary  source  for  this  work.  For  each  profession  notified  by  a 
Member State, information is provided on the type of regulation, the legal basis that applies, 
the  list  of  activities  reserved  where  relevant;  information  on  the  qualification  requirements, 
the compulsory nature or not of being a member of a professional organisation; the existence 
of  specific  restrictions  on  corporate  forms  and  shareholding  requirements  and  whether  a 
professional indemnity insurance is mandatory.  All  this information  is  publicly  available in 
the  database  of  regulated  professions. 83  This  information  has  been  provided  directly  by 
national authorities, in most cases by the competent authorities and validated by the national 
coordinator for the Professional Qualifications Directive.  

On  this  basis,  the  Commission  has  compiled  for  each  of  the  7  professions  under  review  a 
description of the regulatory situation in every Member State. In addition to the database, the 
Commission  has  checked  directly  in  the  national  legislation  the  information  communicated 
by Member States and has completed its analysis when no information had been given. Other 
sources have also been used, including the sector reports produced by Member States during 
the mutual evaluation exercise84 and the analysis performed by the Commission in 2014-15 in 
the context of the assessment of barriers in business services.85 

b.   Information validated by national authorities  

The data collected through the database and the other sources were submitted a first time to 
national authorities to check their accuracy in June 2016. Member States have supported the 
Commission by completing and correcting the information when it was missing or incorrect. 
A second validation  process with  Member States was conducted through the submission  of 
the draft country analysis to Member States for their review.  

3.  Sectors under review 

a.  7 sectors 

The following 7 groups of professional services are assessed in this exercise: 

  Accountancy  (including  tax  advisors  but  excluding  the  profession  of  statutory 

auditor); 

  Architecture; 

  Civil engineering; 

82 Directive 2005/36/EC as amended by Directive 2013/55/EU 
83 http://ec.europa.eu/growth/tools-databases/regprof/  
84 Of the 7 professions analysed for the guidance, the following were also discussed during mutual evaluation meetings: 
architect, civil engineer, real estate agent and tourist guide. 
85 Four professions covered: accountant, architect, engineer and lawyer. 

157 

 
 
 
                                                            
  Legal services (Lawyer/Barrister/Solicitor); 

  Patent Agent / Trademark agent; 

  Real Estate agent /Real estate agency manager; 

  Tourist guide (to be distinguished from travel agents or tour operators). 

These  sectors  cover  the  following  activities  which  may  be  exercised  by  one  or  several 
professions in the Member States: 

Accountancy 

Book-keeping  /Drawing  up  annual  financial  statements  and  consolidated 
financial statements for undertakings 

Tax advice 

Representation  and  assistance  before  administrative  authorities  (Tax 
authorities) 

Payroll services 

Others 

To be noted: In the 2015 indicator, tax advice activities were not included in the analysis. 

Architecture 

Architectural Design and planning, feasibility studies 

Examination of design and related documentation 

Preparation/  submission/  signing  of  technical  control  and  compliance 
/permit  related  documentation  or  certification  of  project  and  adhering  to 
building legislation / standards of performance, quality, cost and safety 

Construction  cost  management,  monitoring  of  construction  /execution 
including supervision of other related professionals/ inspection of execution 

Urban/ territorial planning/ design 

Landscape architecture 

Interior design / preparation of documentation for interior decoration 

Others 

To  be  noted:  In  the  2015  indicator,  landscape  architecture  and  interior  design  activities  were  not 
included in the analysis. 

Civil engineering 

Design and planning, feasibility studies 

Representation for obtaining permits (signature of designs) 

Tender and contract administration 

Project  management  including  monitoring  of  execution  and  construction 
cost management 

158 

 
 
Planning and management maintenance; survey of sites 

Others 

Legal services 

Representation  of  clients  before  courts  -  (this  covers  cases  where 
representation  of  clients  before  courts  is  reserved  in  general  or  only  before 
some specific courts.  

Legal advice (including in tax matters) 

Drawing up legal documents (such as contracts, real estate transactions and 
wills and preparing statements of legal opinions) 

Representation before administrative authorities (including tax authorities) 

Others 

Patent agents 

Counselling  and  representation  before  the  Patent  Office  or  other 
administrative authorities 

Representation before the courts in intellectual property matters 

Others 

Real estate agents 

Establishing  and  facilitating  contacts  and  negotiations  with  tenants  and 
owners,  arranging the sale, purchase, rental and lease of real property 

Obtaining 
leased,  the 
information  about  properties  to  be  sold  or 
circumstances of their owner and the needs of prospective buyers or tenants 

Showing properties to be sold or leased to prospective buyers or tenants and 
explaining terms of sale or conditions of rent or lease 

Drawing up leasing and sale agreements and estimating costs 

Arranging signing of lease agreements and transfer of property rights 

Others 

Tourist guides 

Accompanying and guiding tourists on cruises and sightseeing tours 

Accompanying and guiding visitors through specific places of interest such 
as  museums,  exhibitions,  theme  parks,  factories  and  other  industrial 
establishments 

Others 

159 

 
 
 
 
 
 
 
For each of the 7 professions a field “others” has been added to allow for national authorities 
to  add  other  activities  not  included  in  the  standard  list  which  nonetheless  are  reserved 
activities in their national legislation. It could therefore be that a Member State has a different 
combination  of  activities  reserved  than  the  standard  list.  In  the  2015  indicator  and  in  the 
OECD indicator, only closed lists of activities were provided to national authorities to choose 
from. 

b.  Multiple professions in a sector 

Within each sector there may be several professions which exercise the respective activities 
predefined in the previous section depending on the regulatory framework of Member States. 
In order to cover these different realities the analysis was undertaken on the basis of “generic 
professions”86 which  regroup  all  the  regulated  professions  in  a  given  Member  State  which 
exercise all or some of the activities listed above. This allows having a complete coverage of 
the market reality in the sectors under analysis. For example the activities defined under the 
in  Austria: 
generic  name  of  accountant  are  distributed  between  4  professions 
Personalbuchhalter  (payroll  accountant),  Bilanzbuchhalter  (senior  accountant),  Buchhalter 
(certified  accountant),  Steuerberater  (tax  adviser).  In  Italy,  two  professions  are  regulated 
under  the  generic  name  of  accountant:  Dottore  commercialista  (chartered  accountant)  and 
Esperto contabile (senior accountant). A third type of accountant exists but is not regulated. 
Often, activities other than those listed also fall within the scope of the activities exercised by 
or  reserved  to  national  regulated  professions.  For  example,  in  the  case  of  legal  services 
additional activities performed in some Member States may relate for example to mediation, 
notarial activities, patent related activities, real estate activities, or bankruptcy administration. 

The methodology developed considers all professions regulated at national level which carry 
out  one  of  the  activities  defined  in  the  lists  mentioned  above.  For  each  of  the  seven 
professions, the composite indicator measures the level of restrictiveness applicable to all the 
activities listed. This means that situations where a Member State does not regulate some of 
the  activities  listed  are  accounted  for  in  the  composite  indicator.²²  This  is  a  key  difference 
between this indicator and all the others which have been developed so far.  

4.  Scope of the restrictions analysed 

Drawing  on  the  experience  of  the  mutual  evaluation  exercise,  the  case  law  regarding 
regulated professions and previous similar exercises, the Commission has identified the most 
significant  restrictions  impacting  the  access  to  and  exercise  of  regulated  professions.  These 
restrictions  are  regrouped  into  categories  of  requirements  reflecting  their  nature.  The 
following list has been identified: 

1.  Regulatory approach 

1.1. Exclusive or shared reserved activities 

1.2. Protection of title 

2.  Qualification requirements 

2.1. Years of education and training 

86 A generic profession regroups all professions regulated at national level whose characteristics and activities they exercise 
are similar. In the database of regulated professions there are about 600 generic professions regrouping 5,500 professions 
regulated at national level.  

160 

 
 
 
                                                            
2.2. Number of pathways to obtain qualifications 

2.3. Existence of mandatory traineeship 

2.4. Obligation to have professional experience to get full capacity 

2.5. Existence of mandatory state exam 

2.6. Continuous professional development obligations 

3.  Other entry restrictions 

3.1. Compulsory membership or registration in professional body 

3.2. Limitation to the number of licences granted 

3.3. Territorial validity of the professional qualification 

3.4. Age restriction 

3.5. Other authorisation requirements 

4.  Exercise requirements  

4.1. Restriction on corporate form/ type of entity 

4.2. Shareholding requirements 

4.3. Voting rights control 

4.4. Prohibitions on joint exercise of professions 

4.5. Incompatibilities of activities for a professional  

4.6. Professional indemnity insurance  

4.7. Tariff restrictions 

4.8. Restrictions on advertising 

These restrictions above are explained in more detail below. 

1. Regulatory approach 

1.1 Exclusive or shared reserved activities 

"Reserves of activities" is used for the professions where activities are reserved to the holders 
of  a  specific  professional  qualification,  including  where  there  are  shared  reserved  activities 
with  other  regulated  professions.  In  other  words  these  are  activities  for  which  these 
professionals enjoy a sectoral monopoly. 

For  each  profession  analysed,  (cf.  Section  3  for  the  lists  of  activities)  Member  States 
indicated  one  or  several  activities  from  a  pre-defined  list  and  where  necessary  introduced 
additional activities not included in the list. Information on whether activities are shared with 
one  or  several  other  professions,  i.e.  cases  in  which  there  is  not  a  monopoly  but  rather  an 
oligopoly, is also collected.  

The score is based on the share of activities exclusively reserved amongst the total number of 
activities  predefined  for  each  generic  profession.  The  higher  the  share,  the  more  restrictive 

161 

 
 
 
 
the regulation is considered. A reducing factor is included if at least one of the activities is 
shared with one or several other professions. The score takes also into account cases where 
the  reserves  only  apply  to  managers  or  self-employed.  Indeed,  if  the  regulation  applies  to 
only  one  person  in  the  company,  it  is  considered  a  less  restrictive  means  than  when  the 
regulation applies to all employees.  

Sources used: database of regulated professions and national legislation 

1.2 Protection of title 

Protected title is used for the professions where the use of a professional title is protected. A 
professional title is defined as the name used in an activity and which indicates a particular 
qualification in this field. A name can  become  a professional title only if public authorities 
define  the  conditions  for  conferring  it,  either  directly,  or  by  giving  a  particular  body  (in 
particular  a professional  organisation)  the  power  to  do  so,  and  if  they  protect  that  name  by 
imposing  sanctions  or  other  measures  when  it  is  used  improperly.  The  involvement  of  the 
State in the determination of the way in which the title is conferred is decisive.  

A  professional  title  may  be  combined  with  reserved  activities  or  not.  In  the  latter  case, 
anyone  can  access and exercise the  activity  concerned  by the  regulation  but  cannot  use  the 
protected title unless the conditions for using it are met. Regulating a profession by way of 
protecting  the  title  alone  is  considered  less  restrictive  compared  to  regulating  by  having 
reserves of activities. In situations when reserves of activities are in place, the introduction of 
a rule restricting the use of the title adds to the overall intensity of regulation. The marginal 
intensity  level  brought  by  the  protection  of  the  title  is  however  lower  than  the  impact  of 
having  only  a  regulation  protecting  the  title  (without  reserves  of  activities).  Indeed,  in  the 
latter  situation,  a  clear  advantage  is  given  to  the  professional  with  the  title  whereas  if  the 
activities  are  already  reserved,  the  use  of  a  title  is  de  facto  in  most  cases  limited  to 
professionals  meeting  the  qualification  requirements  granting  them  access  to  the  reserved 
activities.   

This restriction was not analysed in the 2015 barriers assessment. 

Sources used: European database of regulated professions and national legislation 

2. Qualification requirements 

2.1 Years of education and training 

The  number  of  years  necessary  to  obtain  the academic  qualification  is measured  here.  This 
includes  the  period  of  mandatory  training  included  in  the  curriculum  to  obtain  the 
qualification. The higher the number of years necessary to achieve the qualification, the more 
restrictive  the  regulation  is  considered.  This  restriction  is  not  analysed  in  the  2015  barriers 
assessment. 

Sources used: European database of regulated professions and national legislation 

2.2 Number of pathways to obtain qualifications 

This variable measures how flexible the system is to obtain the required qualifications. The 
more  possibilities  (pathways)  there  are,  the  less  restrictive  the  system  is  considered.  For 
example  if  for  a  given  profession,  it  is  possible  to  obtain  the  qualification  by  either  going 
through  a  vocational  secondary  programme,  a  combination  of  professional  experience  and 

162 

 
 
 
periods of training or the passing of a test, it will be considered less restrictive compared to a 
situation  where  the  vocational  secondary  programme  is  the  only  route  to  obtain  the 
qualification. This restriction is not analysed in the 2015 barriers assessment. 

Sources used: European database of regulated professions and national legislation 

2.3 Existence of mandatory traineeship 

This  variable  concerns  situation  where  future  professionals,  after  having  graduated  have  to 
undergo a specific  mandatory  traineeship  prior to  be granted access to the profession.  The 
existence  of  a  mandatory  traineeship  is  considered  more  restrictive  compared  to  a  situation 
where  no  such  regulation  exists.  This  restriction  is  not  analysed  in  the  2015  barriers 
assessment. 

Sources used: European database of regulated professions and national legislation 

2.4 Obligation to have prior professional experience to get full capacity 

For  certain  professions  in  certain  Member  States,  there  is  an  obligation  to  possess  a 
professional  experience  of  a  minimum  duration  in  order  to  be  authorised  to  access  a 
profession and exercise the related activity. This is considered as a barrier to entry. In several 
cases, the distinction between mandatory traineeship and prior professional experience is not 
very  clear  but  the  restriction  is  only  accounted  once  in  the  indicator,  either  as  mandatory 
traineeship  as  described  above  or  a  prior  professional  experience.  This  restriction  is  not 
analysed in the 2015 barriers assessment. 

Sources used: National legislation and national authorities 

2.5 Existence of mandatory state exam to access the profession 

The  obligation  to  pass  a  state/public  exam  to  access  a  profession  after  having  completed 
mandatory education is considered a restriction. This restriction is not analysed in the 2015 
barriers assessment. 

Sources used: European database of regulated professions and national legislation 

2.6 Continuous Professional Development  

Specific  obligations  imposed  on  professionals  to  follow  a  specific  number  of  hours  of 
training over a given period associated with costs supported by the professional. The intensity 
of the restriction is measured depending on the length of the training, the period over which it 
has  to  be  completed  and  the  price  to  be  supported  by  professionals.  This  restriction  is  not 
analysed in the 2015 barriers assessment. 

Sources used: National legislation and national authorities 

3. Other entry requirements 

3.1 Compulsory membership/registration in professional bodies 

Professional  Chambers  and  Professional  Orders  constitute  one  common  model  of 
professional organisation and of supervisory arrangement. Specific powers may be entrusted 
to them through State empowering acts. 

163 

 
 
 
Member  States  may  require  that  professionals  need  be  certified  by  and  registered  with 
specific professional organizations (e.g. Bar Associations, Chambers of Architects, Chambers 
of  Engineers,  Medical  Associations,  etc.)  prior  to  being  allowed  to  work  in  the  profession. 
Continuous membership may also be a condition for the exercise of the profession, which can 
be expressed through an annual renewal of the relevant professional licence to exercise.  

Chambers may be in charge of supervising compliance with professional conduct rules and of 
imposing  disciplinary  sanctions  upon  their  breach.  They  may  impose  continuous  learning 
obligations on  their  members  and they  may  provide  specific  services  to  them  (e.g.,  arrange 
group  professional  liability  insurance  cover,  develop  and  offer  access  to  professional 
databases etc…). Membership may also be dependent upon the payment of fees, the amount 
of which may vary substantially. 

In cases where the registration with a professional body or state registry is only a formality 
and  is  not  associated  with  specific  obligations  and  significant  fees,  a  limited  scoring  is 
attributed.  In  situations  where  the  membership  in  the  professional  body  is  associated  with 
substantial entry and/or annual fees and specific rules are imposed on the professionals, the 
regulation is considered more restrictive than in situations where it is only a registry and in 
those where the professional does not even have to be registered.  

Sources used: European database of regulated professions and national legislation 

3.2 Limitation to the number of licences granted 

Regulation which limits the number of professionals having access to a profession or the use 
of quotas of licenses granted is considered restrictive.  

Sources used: European database of regulated professions and national legislation 

3.3 Territorial validity 

This concerns situations in which the law relates the authorisation to practice only to a given 
geographical territory within the same country (e.g. in one region but not in others). If this is 
the  case  it  is  considered  a  restriction.  However  the  existence  in  the  law  of  equivalence  or 
mutual recognition clauses at national level) limits the level of restrictiveness. 

Sources used: European database of regulated professions, national legislation and 2015 barrier assessment 

3.4 Age restriction 

This applies when the law explicitly requires the professional to be older (or younger) than a 
minimum age in order to access and exercise the profession. The existence of a minimum age 
condition  is  considered  restrictive  compared  to  a  situation  where  no  such  regulation  exists. 
General statutory pension age rules are not considered in this context. This restriction is not 
analysed in the 2015 barriers assessment. 

Sources used: National legislation and national authorities 

3.5 Other authorisation requirements 

The authorisation could be at the level of access (before you can practice or use the title as 
individual  professional)  or  could  be  at  the  level  of  exercise,  when,  for  specific  activities 
within the profession you might need to get an authorisation (for example you can practice as 
an  engineer  but  in  order  to  work  on  certain  type  of  electrical  infrastructures  part  of  the 
national grid you need a specific authorisation). 

164 

 
 
Authorisations may depend upon an assessments by authorising authorities of the fulfilment 
of  a  number  of  conditions,  in  addition  to  an  assessment  of  the  requisite  professional 
qualifications. To this extent, authorisation may impose a more or less heavier burden on the 
applicant and on the competent authority concerned, burden which can also be of a financial 
nature. Examples are: check of criminal records, financial standing, language, legal capacity, 
oath declaration, compliance with business premises requirements, etc.  

Sources used: European database of regulated professions, national legislation and 2015 barrier assessment 

4. Exercise requirements 

4.1 Restriction on corporate form/type of entity 

The  criterion  applied  relates  to  the  existence  or  not  if  restrictions  as  to  the  legal  form  a 
company  may  take.  Distinction  is  made  between  the  following  cases:  no  restriction  on  the 
company  form  exists;  it  is  possible  to  exercise  the  profession  in  a  corporate  structure  with 
limited  liability;  it  is  not  possible  to  exercise  the  profession  in  a  corporate  structure  with 
limited  liability;  and  under  the  most  restrictive  form  whether  the  profession  can  only  be 
exercised as a sole practitioner. 

Sources used: European database of regulated professions, national legislation and 2015 barrier assessment 

4.2 Shareholding requirements   

This criterion analysed whether the  law imposes a minimum percentage of the shares to be 
held by professionals with the required qualifications. The higher the percentage required, the 
more restrictive the condition is considered to be. 

Sources used: European database of regulated professions, national legislation and 2015 barrier assessment 

4.3 Voting rights / management control 

This  variable  looks  at  whether  the  law  imposes  a  minimum  percentage  of  voters  to  be 
qualified professionals. The higher the percentage required, the more restrictive the condition 
is considered to be. 

Sources used: European database of regulated professions, national legislation and 2015 barrier assessment 

4.4 Joint exercise of professions 

National  laws  may  include  a  provision  which  prohibits  the  joint  exercise  of  the  profession 
concerned  to  avoid  conflicts  of  interests.  This  may  include  straightforward  prohibitions  of 
joint  activities  either  across  the  board  or  with  particular  activities  or  professions  or  the 
existence  of  a  general  provision  that  aims  to  exclude  the  joint  exercise  of  professions  that 
would be contrary to the independence or impartiality of the professionals. Compared to the 
2015 barriers assessment, a distinction is made in the scoring between situations where only a 
general  conflict  of  interest  clause  exists  in  the  law  as  opposed  to  the  prohibition  of  some 
specific activities or a total ban of any other activities.  

Sources used: European database of regulated professions, national legislation and 2015 barrier assessment 

4.5 Incompatibilities of activities for a professional 

This  concerns  situations  where  the  professional  himself  may  not  exercise  certain  activities 
together  with  his  profession.  Again  this  may  range  from  a  total  prohibition  to  exercise  any 

165 

 
 
 
additional activities, over specific prohibitions regarding the nature of the other activities to a 
general  provision,  stating  that  a  professional  should  avoid  conflict  of  interest,  without 
prohibiting specific activities. This restriction is not analysed in the 2015 barriers assessment. 

Sources used: National legislation and national authorities 

4.6 Professional indemnity insurance 

The  criterion  looks  at  whether  professional  indemnity  insurance  is  required  by  law  for 
professionals  wishing  to  exercise  the  regulated  activities.  This  concerns  only  cases  of 
establishment.  Mutual  recognition  clauses  and  processes  are  therefore  not  analysed  (as 
opposed to the 2015 barrier assessment where this is also analysed).  

Sources used: European database of regulated professions, national legislation and 2015 barrier assessment 

4.7 Tariff restrictions 

The analysis checks whether specific regulation by the government or self-regulation by the 
profession  (e.g.  via  the  code  of  conduct)  defines  rules  on  the  level  of  the  fees  or  prices 
charged by the professional to the services recipient.  

Sources used: National legislation and 2015 barrier assessment based on OECD 2013 PMR indicator 

4.8 Restrictions on advertising  

The  analysis  checks  the  existence  of  restrictions  for  professionals  on  advertising  in  one  or 
more given media, or as regards the content and methods of commercial communication. 

Sources used: National legislation and 2015 barrier assessment based on OECD 2013 PMR indicator 

Barriers for non-regulated professions 

For  certain  professions  in  some  Member  States,  the  professions  are  not  regulated  by  law. 
Other  procedures  or  mechanisms  may  however  be  in  place  which  by  the  obligation/  cost/ 
burden they impose on the professional wishing to exercise the profession de facto create a 
barrier.    These  types  of  barriers  are  not  accounted  for  in  this  indicator  because  of  the 
difficulty to identify them and because of the difficulty to quantify them. They are however 
whenever possible reported in the qualitative analysis done at the profession level and in the 
country sheets. 

5.  Quantification of regulation – Scoring system 

Numerical  values  on  a  scale  from  0  to  6  are  attributed  for  every  restriction/variable. 
Depending  on  the  restriction,  the  possible  values  may  be  either  0  or  6  (yes/no)  or  include 
intermediate values (for example from 0 to 6 in the case of the variable 'years of education'). 
These  values  correspond  to  the  estimated  level  of  restrictiveness  of  the  barrier  for  the 
profession. The higher the score, the more restrictive is the assessment. All professions in all 
countries are scored following the same rules.  

Existing  reserves  of  activities  are  the  major  factor  determining  the  level  of  restrictiveness. 
The breadth of such reserves impact on the weight of the other restrictions since the broader 
the  reserves  the  more  “closed”  the  activity  is  and  hence  the  heavier  the  impact  of  other 
additional restrictions. This means that, where only some of the activities of a profession are 

166 

 
 
 
 
reserved,  this  is  reflected  in  a  lower  overall  scoring  of  all  the  restrictions.  As  a  result,  the 
aggregate  indicator  for  a  generic  profession  reflects  the  restrictiveness  of  the  regulatory 
framework considering all the activities for that profession. 

A  weighted  average  is  then  calculated  for  every  profession  to  come  then  to  the  composite 
indicator.87  The weights attributed reflect the Commission's own assessment of the relative 
contribution of the different restrictions to the overall sets of conditions to access a regulated 
profession and exercise its activities: 

The assessment is based on the experience collected through the case law and the discussions 
which have taken place in the context of the mutual evaluation exercise with Member States 
representatives and representatives from the professions. Of the four main categories defined, 
"Regulatory  approach"  has  a  higher  weight  whereas  the  three  other  categories  have  similar 
weights.  This  is  explained  by  the  overwhelming  importance  in  terms  of  restriction  of 
reserving the monopoly of activities to professionals with the required qualifications.  

Professions with protection of the title and no reserves of activities 

The methodology integrates into the indicator situations where professions are regulated only 
by protection of the title. In these situations, the indicator measures the level of restrictiveness 
applicable  to  accessing  the  protected  title.  The  professions  and  countries  where  this  is  the 
case  are  clearly  identified  when  visualising  the  indicator.  This  concerns  the  following 
professions  and  countries:  Belgium  (civil  engineer),  Finland  (real  estate  agent  and  patent 
agent),  France  (civil  engineer),  Ireland  (accountant,  patent  agent),  the  Netherlands 
(accountant,  architect),  Sweden  (patent  agent)  and  the  UK  (accountant,  architect  and  civil 
engineer) 

6.  Comparability  with  the  OECD  PMR  indicator  and  assessment  of  barriers  in 

business services indicator of 2015 

The  indicator  of  restrictiveness  of  regulation  in  professions  has  many  similarities  with  two 
other  existing  indicators:  the  Product  Market  Regulation  indicator  and  the  Commission 
indicator  assessing  the  barriers  in  business  services  published  in  2015.  The  restrictiveness 
indicator in reality builds on the experience those indicators have accumulated over the years. 
In  the  present  section  the  main  differences  between  the  restrictiveness  indicators  are 
presented and explained. 

87 Support was provided by the Competence Centre on Composite Indicators and Scoreboards of the Joint Research Centre 
of the European Commission.   

167 

Categories of restrictionsWeightsRegulatory approach31%Qualification requirements17%Other entry requirements21%Exercise requirements30%Total100% 
 
 
 
 
 
                                                            
a.  Professions under review 

In  the  case  of  the  restrictiveness  indicator  7  sectors  and  professions  are  analysed 
(accountancy,  architecture,  civil  engineering,  legal  services,  patent  agent,  real  estate  agent, 
tourist guide) while for the OECD PMR and the barrier assessment 4 professions/sectors are 
covered (accountant, architect engineer, lawyer).  

The  OECD  PMR  and  the  assessment  of  barriers  in  business  services  look  at  restrictions 
existing in Member States under general concepts of the respective professions. If under such 
a  general  concept,  e.g.  accountant,  there  are  several  professions  in  one  Member  State  (for 
example architect and technical architect), only the most restrictive professional regulation  is 
taken  into  account.  The  indicator  in  this  case  therefore  concerns  only  the  most  restrictive 
barriers  within  a  range  of  professions  of  a  same  nature.  The  same  methodology  has  been 
applied in the case of the assessment of barriers in business services. 

In the present restrictiveness indicator all the individual professions regulated in the 7 sectors 
have  been  analysed.  The  indicator  does  not  take  the  most  restrictive  regulation  from  the 
different professions but takes the average of the restrictions in all the professions belonging 
to the same group. It also takes into account the fact that some activities may not be regulated 
at  all  and  exercised  by  non-regulated  professions.  Therefore  the  indicator  measures  the 
overall  restrictiveness  intensity  for  all  activities  belonging  to  a  generic  profession  in  each 
Member State. 

b.  Scope of restrictions analysed 

The following table lists the restrictions analysed for each of the three indicators. 

Restrictiveness indicator 

OECD PMR 

Assessment  of  barriers  in 
business services 

to 

to 

and 

education 

of  mandatory 

Exclusive  or  shared  reserved 
activities 
Protection of the title 
Years  of 
training 
Number  of  pathways 
obtain qualifications 
Existence 
traineeship 
Obligation 
professional  experience 
get full capacity 
Existence  of  mandatory  state 
exam 
Continuous 
development obligations 
Compulsory  membership  or 
registration 
in  professional 
body 
Limitation  to  the  number  of 
licences granted 
Territorial  validity  of 

professional 

have 
to 

the 

Exclusive 
exclusive rights 

and 

shared 

Exclusive 
exclusive tasks 

and 

shared 

Duration of education 

Duration 
practice 

of 

compulsory 

Existence  of  professional 
exams 

Compulsory 
membership 

chamber 

Compulsory 
membership 

chamber 

Quotas  imposed  on  foreign 
professionals/firms 

168 

 Territorial 

validity 

of 

 
 
  
  
  
  
  
  
  
  
  
 
 
  
  
authorisation 

Legal form of business 

Legal form requirements 

Regulation 
professional cooperation 

of 

inter-

rights/management 

Shareholding requirements 
Voting 
control 
Prohibitions on joint exercise 
of professions 

professional qualification 
Age restriction 
Restriction 
forms 
Shareholding requirements 
Voting rights control 

on 

corporate 

Prohibitions on joint exercise 
of professions 
Incompatibilities  of  activities 
for a professional 
Professional 
insurance  
Authorisation requirements 

indemnity 

Tariff restrictions 

Restrictions on advertising 
and marketing 

Existence of regulated fees or 
prices 
Restrictions on advertising 
and marketing 

indemnity 

requirements 

Professional 
insurance  
Authorisation 
and procedures  
Tariff restrictions 

Restrictions on advertising 
and marketing 
Administrative restrictions 
(availability of information 
on applicable rules and 
possibility to comply with 
administrative procedures 
online) 

From the table it can be seen that the restrictiveness indicator is more detailed than the other 
two  indicators  in  particular  as  concerns  the  access  restrictions  related  to  qualification 
requirements. On the other hand restrictions on tariffs, on advertising and the analysis of the 
administrative  restrictions  as  defined  above  are  not  covered,  since  they  are  less  strongly 
linked  to  the  basics  of  regulation  of  professional  services  which  is  based  on  required 
qualifications.  While  the  present  indicator  focusses  on  rules  applying  to  professionals 
established in a Member State, the 2015 indicator assessing barriers restrictions in business 
services in its analysis covers both restrictions applying to establishment and those related to 
the temporary cross-border provision of services.  

c.  Weighting of the restrictions 

Being  a  composite  indicator,  the  various  restrictions  are  summed  up  into  one  score  per 
profession  and  country.  Depending  on  the  methodology  a  simple  average  of  all  the 
restrictions  can  be  done  or  a  weighted  average  may  be  applied  to  reflect  the  relative 
importance  of  the  restrictions  on  the  access  to  and  conduct  of  regulated  professions.  The 
latter methodology is applied in the case of the restrictiveness indicator.  

In  the  case  of  the  barriers  assessment  in  business  services  weights  have  also  been  applied. 
They  are  slightly  different,  one  of  the  main  reasons  being  that  the  barriers  or  restrictions 
analysed differ to some extent as shown in the comparative table above.  

169 

 
 
  
  
  
  
  
  
  
  
 
 
 
Moreover the barrier “authorisation requirements” differs between the two indicators because 
some  of  the  authorisation  requirements  measured  in  the  2015  analysis  are  factored  in  the 
variables related to education requirements   and  continuous  professional  development  not 
covered separately by the indicator assessing the barriers in business services.  

In the case of the OECD PMR indicator, all restrictions have been given the same weight.  

d.  Process and consultation with national authorities 

The  restrictiveness  indicator  uses  information  from  the  European  database  of  regulated 
professions which is filled in by Member States via national coordinators for the Professional 
Qualifications  Directive  in  cooperation  with  competent  authorities  for  the  respective 
professions.  After  having  been  checked  and  completed  with  internal  desk  research  the 
information  was  sent  back  to  national  authorities  for  validation  or  completion  of  missing 
information.  A  third  round  of  consultation  with  Member  States  took  place  with  the 
submission of the draft country sheets.  

As  regards  the  OECD  PMR  indicator,  the  questionnaires  are  directly  filled  in  by  OECD 
points of contact in national administrations with several rounds of consultation. In the case 
of the assessment of barriers in services, the information was mainly based on desk research 
and  information  from  the  database  of  regulated  professions.  No  consultation  process  took 
place with Member States. 

e.  Periodicity of the indicator 

The OECD PMR indicator in particular exists since 1988 and is updated every 5 years. The 
restrictiveness indicator will be updated at more regular intervals. 

The  new  indicator  reflects  the  most  recent  regulatory  changes  in  the  Member  States.  This, 
combined with the methodological differences highlighted above, inevitably leads to results 
differing from OECD PMR indicator's. 

170 

 
 
 
 
VI.   Annex on econometric analysis of the impact of regulatory 

barriers in professional services on economic outcomes 

171 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Data 

The synthetic sector-and-country-level indicator of regulatory restrictiveness compiled by the 
Commission  services  (see  section  II.3  and  V)  and  the  economic  indicators  from  Eurostat's 
Structural Business Statistics (SBS) for services88 were the two principal data sources. 

Due  to  limited  data  availability  of  sufficiently  disaggregated  data,  we  had  to  aggregate  the 
barrier  indicators  for  two  sectors  (lawyers  and  patent  agents).  We  have  used  a  simple 
(unweighted) mean across these two sectors. 

The sectorial 
disaggregation of the 
restrictiveness 
indicator 
Accountant 
Architect 
Civil engineer 
Lawyer 
Patent agent 
Real estate agent 
Tourist guide 

NACE Rev. 2 
code in dataset 
sbs_na_1a_se_r2 

NACE Rev. 2 label 

M692 
M7111 
M7112 
M691 
M691 
L6831 
N7912 

Accounting, bookkeeping and auditing activities; tax consultancy 
Architectural activities 
Engineering activities and related technical consultancy 
Legal activities 
Legal activities 
Real estate agencies 
Tour operator activities 

Since  the  regulatory  restriction  data  represents  one  time  point,  we  have  had  to  transform 
taken 
accordingly 
multiannual/medium-term averages89 (for each country and sector) across time for the years 
2012 and subsequent. 

the  economic  variables 

time  points. 

  We  have 

to  single 

Regression model 

We  have  done  separate ordinary-least-squares estimations  for  each  dependent  variable.  The 
estimations were purely cross-sectional (no time dimension): each observation corresponded 
to  one  of  the  NACE  sectors  in  each  EU  Member  State.90   The  restrictiveness indicator  was 
the main explanatory variable.  The observations were weighted by the economic sizes of the 
countries and sectors (either in terms of employment or value added)91 so that the estimated 
coefficients were representative for the EU economy. 

In the final estimations, we focussed on the following depended variables:92 

  Profit ratio (gross operating surplus / turnover, in %) 
  Growth of the number of enterprises (in %) 

As robustness checks, we have used sector-level fixed effects (dummies) and two alternative 
observation  weights  (mentioned  above).    The  fixed  effects  were  expected  to  capture  the 
impact  of  all  the  sector-specific  factors  common  across  countries  (such  as  technological 

88

for 

detailed 

services 

statistics 

 "Annual 

enterprise 

(NACE 
http://appsso.eurostat.ec.europa.eu/nui/show.do?dataset=sbs_na_1a_se_r2&lang=en. 
89 For  variables  other  than  growth  rates  these  were  simple  averages,  while  for  the  growth  rates  we  have  calculated  the 
geometric means. 
90 The actual numbers of observations varied across estimations and were lower than 6 NACE sectors × 28 Member States 
due to economic data availability. 
91 With the following SBS indic_sb codes: V16110 for employment and V12150 for the value added. 
92 With  the  following  SBS  indic_sb  codes  for  the  underlying  variables:  V12170  for  gross  operating  surplus,  V12110  for 
turnover, V11110 for the number of enterprises, V13320 for total wages. 

2  H-N 

S95)", 

Rev. 

and 

172 

 
 
 
                                                            
specificity of each sector) on the level of the dependent variables.  The weighted estimations 
should reduce the impact of outliers (as the anomalous values of variables are more likely for 
their low levels due to measurement errors).  Finally, due to the deviation of the distribution 
of  some  variables  from  the  normal  distribution,  we  have  also  looked  at  the  bootstrapped 
standard errors (each based on 1000 replicates). 

Regression results 

The  impact  on  profitability  comes  out  as  the  statistically  most  significant  result  of  the 
estimations.  In  case  a  sector  in  a  given  country  has  a  "typical"  (most  common  across  all 
countries and sectors) level of restrictiveness and that restrictiveness were increased by 10%, 
we  would  expect  an  increase  in  profitability  by  almost  1  percentage  point.  This  can  be 
interpreted as an increase in the rent of the incumbent service providers in that sector of some 
country. 

That result should be seen in parallel with the other results, somewhat less robust statistically 
but all pointing together to the same interpretation of restrictions as anticompetitive barriers: 
a 10% increase in regulatory restrictiveness from the "typical" level may reduce the medium-
term annual average growth rates of the number of firms in that sector in a given country by 
about 0.4 percentage point.          

Dependent variable 

Weight 

Estimated coefficient* 

p-value (OLS) 

p-value (bootstrapped) 

R-square 

Adjusted R-square 

Growth of the number of 
enterprises (in %) 

Profit ratio (gross 
operating 
surplus / turnover, in %) 

Value 
added 

Employment 

−1.438 

−1.335 

Value 
added 

3.405 

0.001 

0.043 

0.157 

0.121 

0.003 

0.000 

0.058 

0.031 

0.096 

0.521 

0.058 

0.501 

Employment 

3.385 

0.000 

0.012 

0.513 

0.492 

Number of observations 

148         

149         

150         

150         

F-statistic 

4.381 

2.517 

25.952 

25.070 

0.000 

2.825 

0.000 

0.024 

p-value for 
F-statistic 
"Typical value" of the restriction indicator in 
the sample** 
Semi-elasticity: increase of the dependent 
variable (in percentage points) for a 10% rise 
of restrictions from the "typical value"*** 
All estimations include sector-level fixed effects (dummies). 
* The expected increase in the dependent variable (in percentage points) due to the increase in the restriction 
indicator by 1 unit. 
**  Simple  average  of  (1) the  weighted  median  restriction  indicator  in  the  sample  and  (2) the  mode  of  the 
estimated weighted kernel density of the restriction indicator in the sample. 
*** Estimated coefficient × 0.1 × "typical value". 

−0.376 

−0.406 

0.000 

2.818 

0.954 

2.818 

2.825 

0.962 

173 

 
 
   
Chart  1:  regression  analysis  between  the  level  of  regulation  and  the  growth  of  the 
number of enterprises  

Horizontal  axis:  de-meaned  restrictiveness  indicator  i.e.  restrictiveness  indicator  minus  weighted  mean  (restrictiveness 
indicator)k where k is a NACE sector 
Vertical axis: de-meaned dependent variable (firm number growth) i.e. dependent variable minus weighted mean(dependent 
variable)k where k is a NACE sector 
Bubble sizes: represent the respective weight of the sectors considered (based on combined size of employment and value) 

Chart 2: regression analysis between the level of regulation and profit rates 

Horizontal  axis:  de-meaned  restrictiveness  indicator  i.e.  restrictiveness  indicator  minus  weighted  mean  (restrictiveness 
indicator)k where k is a NACE sector 
Vertical  axis:  de-meaned  dependent  variable  (profitability)  i.e.  dependent  variable  minus  weighted  mean(dependent 
variable)k where k is a NACE sector 
Bubble sizes: represent the respective weight of the sectors considered (based on combined size of employment and value) 

174