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ARTICLE · 23 SEPTEMBER 2026

European Commission Proposes European Innovation Act

Lewis Silkin
Lewis Silkin
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Lewis Silkin

Lewis Silkin

Joint managing partners: Jo Farmer, Richard Miskella International offices: Dublin, Hong Kong...

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The European Commission has unveiled a European Innovation Act designed to strengthen the EU's innovation ecosystem by addressing two critical challenges: limited access to finance for IP-rich businesses and fragmented regulatory frameworks across Member States. The proposal introduces measures including a common IP valuation framework, streamlined R&D procurement procedures, and harmonized regulatory sandboxes to help startups and scaleups commercialize their innovations more effectively.

European UnionStrategy

The European Commission has proposed a new European Innovation Act, intended to strengthen Europe's innovation ecosystem and help startups and scaleups develop, finance and grow their businesses within the EU. The proposal is designed to address two persistent barriers to commercialising innovation: limited access to finance and fragmented rules across Member States.

Improving access to finance for IP-rich businesses

Many startups and scaleups hold patents, software, datasets and other intellectual property that may be commercially valuable but difficult to value reliably. That can make it harder to support fundraising or debt financing. The proposed Act would introduce a common EU framework for valuing intellectual property, create a digital marketplace connecting buyers and sellers of IP assets, and provide expert support to help companies bring innovations to market. The Commission estimates that these measures could generate around €35 million in administrative cost savings

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