The European Social Economy Action Plan (SEAP), adopted in 2021, marked a historic milestone for the social economy in Europe. After years of advocacy and consultation, the European Commission recognised the unique contribution of social enterprises (SEs) and the organisations that support them (SESOs). With SEAP, DG EMPL and DG GROW set out on an ambitious path: to strengthen and mainstream the social economy by 2030.
Now, just a few years later, Europe looks very different. Political shifts, rapid technological developments, and evolving funding priorities have reshaped the context in which social enterprises operate. To remain relevant and impactful, SEAP itself must evolve. This is why Euclid Network (EN), the European network of social enterprise intermediary organisations, is publishing a series of reflections and recommendations on SEAP’s progress and its future.
One of the most significant actions to emerge from SEAP so far is the Council Recommendation on social economy framework conditions—a turning point in creating stronger, fairer ecosystems for social economy actors across Europe.
Why the Council Recommendation is Important
The Council Recommendation is more than a symbolic gesture. It translates the ambition of SEAP into practical action at national and local levels. By encouraging Member States to develop strategies and identify responsible authorities, it helps to build ecosystems where social enterprises can thrive.
In some countries, progress has been remarkable. Ireland, Finland, and Germany, for example, have introduced national strategies—sometimes independently of the Recommendation, but still aligned with its vision. The Technical Support Instrument has further supported governments in designing policies that reflect their national realities.
But progress is uneven. In the Netherlands, for example, little action has been taken despite strong appetite from stakeholders and local authorities. This lack of follow-through risks leaving parts of Europe behind. For the SEAP to deliver on its promise, the Council Recommendation needs more than signatures—it needs genuine implementation.
Key Challenges and Opportunities
EN’s analysis identifies three critical areas where action is needed:
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Bringing along the “slow movers”
Encouraging Member States that have not yet developed a national strategy must be a top priority. Political will at the national level remains essential, but EU institutions can play a stronger role in nudging lagging countries forward. -
Empowering local and regional authorities
Social economy ecosystems don’t only exist at the national level. Cities and regions are often the most dynamic hubs for social innovation. The SEAP must open more opportunities for local actors to access funding (such as through the Technical Support Instrument) and to be recognised as key partners in shaping the ecosystem. -
Cross-border learning and shared impact
Europe’s social economies are interconnected. National strategies should not exist in silos—they should feed into a wider European ecosystem. The Commission has a unique role to play in supporting cross-border cooperation, developing shared impact measurement tools, and ensuring added European value.
Looking Ahead: Recommendations
With the November 2025 deadline approaching for Member States to adapt or update their national strategies, the next phase of SEAP must focus on implementation and accountability. EN’s recommendations include:
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Prioritising action from Member States that have yet to adopt a strategy.
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Supporting sub-national authorities, particularly in accessing EU funds and technical instruments.
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Strengthening cross-border learning, impact measurement, and European added value.
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Leveraging EU funds under shared management (ESF+, Cohesion Funds, Erasmus+) to support national strategies.
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Working with Member States and stakeholders to identify new milestones for ecosystem development, especially around cross-border operations and investment.
Conclusion
The Council Recommendation on social economy framework conditions is one of SEAP’s most important achievements to date. But its success depends on what happens next. National governments, local authorities, and EU institutions must move beyond declarations and invest in real strategies that strengthen social enterprises and their support organisations.
By doing so, Europe can build a more resilient, inclusive, and innovative economy—one that puts people and planet at its core.
