Story first reported by POLITICO
The European Union is set to scale back its landmark data privacy law, the General Data Protection Regulation, as part of efforts to ease regulatory burdens on businesses. A proposal is expected within weeks, focusing on simplifying compliance, particularly for small and medium-sized enterprises.
The move aligns with Commission President Ursula von der Leyen’s push to enhance European business competitiveness. Recent EU efforts have already targeted sustainability reporting and investment access, with GDPR now next in line.
Introduced in 2018, GDPR is one of the world’s most stringent data privacy laws, requiring companies operating in Europe to manage user data with strict transparency and accountability. While it set a global standard, critics argue its complexity stifles innovation and growth.
Danish Digital Minister Caroline Stage Olsen stressed the need for a balanced approach, stating, “Privacy is necessary, but we don’t need to regulate in a stupid way.”
A review last summer highlighted challenges for SMEs, with Justice Commissioner Michael McGrath noting the need for greater support. Proposed changes may include reducing documentation requirements and reforming data protection impact assessments—both seen as overly burdensome for smaller businesses.
However, revising GDPR is expected to spark intense lobbying from both Big Tech and privacy advocates. The law was among the EU’s most heavily lobbied regulations, with over 3,000 amendments proposed during its drafting. Some privacy groups warn that reopening GDPR could weaken vital protections.
Despite concerns, core GDPR principles are expected to remain intact, as data protection is enshrined in the EU’s Charter of Fundamental Rights. Privacy activist Max Schrems argued fundamental protections cannot easily be removed, stating, “A Court of Justice would annul a GDPR that doesn’t have these core elements.”
The Commission’s proposal is expected by June, with discussions likely continuing into 2025, when Denmark assumes the EU Council presidency.
