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Euclid Network (EN) – the European Social Enterprise Network – warmly welcomes the Council of the European Union’s adoption of the European Commission’s recommendation on the measures needed to improve Framework Conditions for the social economy (1). Social enterprises are a key element of the social economy and are active across all economic sectors and ecosystems (2). Due to their new, innovative and impact driven business models, they face a particular group of challenges, in part created by inhospitable framework conditions relating to legal, fiscal, taxation and regulatory policies. Social enterprises in particular face barriers in accessing appropriate sources of finance, receiving the tailored non-financial support they require and a lack of understanding from the wider public. Enabling ecosystems for social entrepreneurship do not occur on their own nor do they appear overnight. They require concrete plans with a shared vision between stakeholders and a common commitment and responsibility to see them delivered. The lack of political support has been a consistent challenge for social enterprises across Europe (3) and this is why EN and its members welcome the ambition, commitment and political support that is expressed both by the adoption and content of this Council Recommendation.

(1) Council Recommendation of 27 November 2023 on developing social economy framework conditions
(2) European Social Enterprise Monitor 2021-22 
(3) Ibid.
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