Executive Summary:
Commission Directive EU 2025/1442, issued on July 18, 2025, amends Directive 2006/111/EC, focusing on streamlining reporting obligations related to the transparency of financial relations of public undertakings. The directive deletes specific articles that impose disproportionate administrative burdens, aligning with the Commission's goal of reducing administrative burdens by 25%. It comes into force twenty days following its publication in the Official Journal of the European Union.
Key Points / Main Content:
* **Amendments to Directive 2006/111/EC:**
* Article 2, point c, which defines public undertakings operating in the manufacturing sector, is deleted.
* Article 8, concerning the annual submission of financial information on public undertakings in the manufacturing sector with a turnover exceeding EUR 250 million, is deleted.
* Article 9, requiring the Commission to regularly inform Member States of the results of the application of the Directive, is deleted.
Impact Analysis:
Member States:
* Impact: Member States are relieved of the obligation to report financial information on public undertakings as previously required under Article 8 of Directive 2006/111/EC. They can also repeal any transposition measures adopted in their laws, regulations, or administrative provisions related to the deleted articles.
* Action Required: Review and repeal any national laws, regulations, or administrative provisions that transposed the now-deleted Articles 2(c), 8, and 9 of Directive 2006/111/EC.
Public Undertakings:
* Impact: Public undertakings operating in the manufacturing sector, particularly those with a turnover exceeding EUR 250 million, are no longer subject to the annual reporting requirements under Article 8 of Directive 2006/111/EC.
* Action Required: Cease the preparation and submission of financial information as previously required under Article 8 of Directive 2006/111/EC.
European Commission:
* Impact: The Commission is no longer required to regularly inform Member States of the results of the application of Directive 2006/111/EC, as the systematic collection of information beyond that provided under the now-deleted Article 8 is not conducted.
* Action Required: Discontinue the practice of regularly informing Member States on the application of Directive 2006/111/EC, as per the deleted Article 9.
Key Entities Referenced
European Union: A political and economic union of member states located primarily in Europe.
European Commission: An institution of the European Union, responsible for proposing legislation, implementing decisions, upholding the EU treaties and managing the day-to-day business of the EU.
Directive 2006/111/EC: A directive of the European Commission concerning the transparency of financial relations between Member States and public undertakings.
Treaty on the Functioning of the European Union: One of the two primary treaties that form the constitutional basis of the European Union.
Member States: The countries that are part of the European Union.
Ursula VON DER LEYEN: The President of the European Commission.
Brussels: The location where the directive was adopted.
A simpler and faster Europe Communication: A communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions regarding implementation and simplification (COM(2025)47 final).
Official Journal EN
of the European Union L series
2025/1442 21.7.2025
COMMISSION DIRECTIVE(EU) 2025/1442
of 18 July 2025
amending Directive 2006/111/EC regarding reporting obligations
(Text with EEA relevance)
THE EUROPEAN COMMISSION,
Having regard to the Treaty on the Functioning of the European Union, and in particular Article 106(3) thereof,
Whereas:
(1) Commission Directive 2006/111/EC(1) governs the transparency of financial relations of public undertakings and
requires Member States to ensure the transparency of public funds made available to such undertakings. In this
respect, Article 8 of that Directive requires Member States to submit certain financial information to the
Commission on public undertakings operating in the manufacturing sector with a turnover exceeding EUR 250
million for the most recent financial year on an annual basis.
(2) Furthermore, Member States are required, under Article 6(1) of Directive 2006/111/EC, to keep information on the
financial relations between public authorities and public undertakings at the Commission’s disposal for five years
from the end of the financial year in which the public funds were made available to public undertakings.
(3) Reporting requirements are essential to ensure that legislation is correctly enforced, but should be streamlined to
ensure that they fulfil their intended purpose and do not create an excessive administrative burden. The
Commission’s ‘A simpler and faster Europe’ Communication(2)sets a target of reducing administrative burdens for
businesses and administrations by 25 %, contributing to the goal of lightening the regulatory load arising from EU
legislation.
(4) The reporting obligation under Article 8 of Directive 2006/111/EC places a disproportionate administrative burden
on national administrations and public undertakings subject to those obligations. It should therefore be deleted in
line with the Commission’s target of reducing administrative burdens by at least 25 %.
(5) The deletion of Article 8 of Directive 2006/111/EC allows the Member States to repeal any transposition measures
which have been adopted in their laws, regulations or administrative provisions.
(6) Article 2, point (c), of Directive 2006/111/EC, which defines public undertakings operating in the manufacturing
sector, should be deleted together with Article 8 since that definition is used solely for the purposes of Article 8.
(7) Article 9 of Directive 2006/111/EC requires the Commission to regularly inform the Member States of the results of
the application of that Directive. Since the Commission does not systematically collect information on the Directive’s
application in addition to the information to be provided under Article 8, it follows that this information requirement
is no longer justified. Article 9 should also be deleted.
(8) Directive 2006/111/EC should therefore be amended accordingly,
(1) Commission Directive 2006/111/EC of 16 November 2006 on the transparency of financial relations between Member States and
public undertakings as well as on financial transparency within certain undertakings (OJ L 318, 17.11.2006, p. 17, ELI: http://data.
europa.eu/eli/dir/2006/111/oj).
(2) Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and
the Committee of the Regions, A simpler and faster Europe: Communication on implementation and simplification, COM/2025/47 final
(https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex:52025DC0047).
ELI: http://data.europa.eu/eli/dir/2025/1442/oj 1/2EN
OJ L, 21.7.2025
HAS ADOPTED THIS DIRECTIVE:
Article 1
Article 2, point (c), and Articles 8 and 9 of Directive 2006/111/EC are deleted.
Article 2
This Directive shall enter into force on the twentieth day following that of its publication in the Official Journal of the
European Union.
Article 3
This Directive is addressed to the Member States.
Done at Brussels, 18 July 2025.
For the Commission
The President
Ursula VON DER LEYEN
2/2 ELI: http://data.europa.eu/eli/dir/2025/1442/oj