Chapter 15 European Consumers

Importance of Consumers 500 million consumers in UK Traditionally only seen as indirect beneficiaries of the European Integration Consumers key drivers in process Need to create confidence in undertaking overseas transactions

Importance of Consumers Increased mobility and internet - increased salience of EU market to consumers To promote change need informed choice Awareness by consumers differs across EU

Consumers considering their rights to be well protected in. For a dispute within their own Member State (%) With a supplier in another Member State (%) Belgium 52 25 Denmark 64 24 Germany 59 16 Greece 21 49 Spain 38 32 France 58 28 Ireland 66 Italy 44 57 Luxembourg 53 Netherlands 23 Austria 69 33 Portugal 36 Finland 82 Sweden 68 20 United Kingdom 75 34 EU average 56 31

Consumers at a disadvantage to business as: there are more of them. they are much more difficult to organise. they have fewer resources to create an effective organisational framework to put forward their concerns. there are evident information gaps with regard to matters of complaint and redress.

EU Consumer Policy EU Integration changes consumers as: purchase products when overseas when travelling; purchase products for a firm established in another state; order and purchase products from another state on-line or through other distance selling methods; transfer money between states to make investments.

EU Consumer Policy Three key issues in consumer protection. 1) A proper framework of rules reflecting the broad concerns of consumers and seeking to protect their interests. 2) An effective mechanism for applying these rules in a manner that is both fair and understood

EU Consumer Policy 3). Empowerment to consumers of themselves Foundation of policy is Article 100a of Maastricht Treaty. Affords Europeans - `high level of protection’

EU Consumer Policy Initially concerns were related to areas such as: consumer protection; information; product safety; transactions.

Thus policy is linked to Consumer policy was based upon three areas: Offering consumers a more powerful voice. Offering a high level of health and safety. Full respect for economic interests of consumers..

2004 Strategy for Consumers Buy what you what when you want. If it doesn’t work send it back. High safety standards for food and other consumer goods. Know what you are eating. Contracts should be fair to customers.

2004 Strategy for Consumers cont… Sometimes consumers can change their mind. Making it easier to compare prices. Consumers should not be misled. Protection while you are on holiday. Effective redress for cross border disputes.

Notable Issues Introduction of the Euro BSE GM Food