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Empowering SMEs: The Keystone To Europe’s Strategic Resilience

Placing SMEs At The Heart Of Europe’s Future

Michalis Damianos said small and medium-sized enterprises should remain central to Europe’s competitiveness strategy during an extraordinary meeting of the Employers’ Group of the European Economic and Social Committee. Speaking under the theme “Autonomy Through Competitiveness: SMEs At The Core Of Europe’s Strategic Preparedness,” Damianos said geopolitical uncertainty, technological change and the green transition are reshaping the economic landscape across Europe. According to the minister, strengthening SMEs is increasingly linked to Europe’s broader goals surrounding industrial resilience, competitiveness and strategic autonomy.

Confronting Core Challenges

Damianos noted that SMEs account for approximately 99% of the 125,000 businesses operating in Cyprus, making them central to regional development and economic activity. At the same time, many businesses continue facing structural challenges, including regulatory complexity, elevated energy costs, limited access to financing and persistent labour and skills shortages.

Bridging Policy With Practical Support

The Cypriot government has introduced policies focused on improving competitiveness, productivity and business adaptability through measures supporting entrepreneurship, financing access and industrial modernisation. Funding allocations include €227.3 million from EU Cohesion Policy programmes for 2021–2027, alongside an additional €124.5 million linked to the Recovery and Resilience Facility and the REPowerEU programme.

Coordinated European Action For A Stronger Market

Damianos said national measures alone would not be sufficient to address broader structural challenges affecting SMEs across Europe. Cyprus is therefore using its role during the EU Council Presidency to advocate for stronger coordination on competitiveness policy, industrial strategy and further integration of the Single Market. The issue was also discussed during an informal meeting of EU competitiveness ministers held in Nicosia, where officials stressed the importance of a more unified European market environment for business growth and innovation.

A Blueprint For Sustainable Prosperity

The minister also called for greater regulatory coordination and reduced market fragmentation, particularly in strategically important sectors, including defence, where more than 2,500 SMEs are active. According to Damianos, closer alignment between European and national policy frameworks will be necessary to strengthen long-term competitiveness and support sustainable economic growth across the region.

Europe’s Deadly Summer Heat Exposed The Cost Of A Warming Continent

Europe experienced its deadliest summer for heat-related deaths on record in 2026, with an estimated 24,400 excess deaths linked to extreme temperatures across 30 countries. Researchers estimate that human-induced climate change was responsible for around 32,000 of the deaths attributed to heat in the study’s broader analysis, accounting for 65% of the total.

The findings highlight the growing public-health consequences of global warming, largely driven by fossil fuel use, as extreme heat becomes more frequent and severe.

A Summer Of Dangerous Heat

Between June and August, heatwaves pushed temperatures in Western Europe to an average of 2.9°C above the 1991–2020 norm, with some days reaching 12°C above average. Nearly a third of estimated heat-related deaths occurred during a particularly intense heatwave between 17 June and 1 July.

“These numbers are a stark reminder that our hotter, more extreme summers are having an increasingly severe impact on public health,” said Dr Clair Barnes, a researcher at Imperial College London and co-author of the study.

The estimated toll exceeded previous peaks of around 29,000 deaths in summer 2022 and 28,000 in 2003 across the region studied.

How Researchers Estimated The Toll

Researchers modelled the relationship between temperature and mortality across 854 urban areas in the EU, UK, Norway and Switzerland, covering around 40% of the population in the 30 countries studied.

The analysis incorporated temperature records, age, socioeconomic conditions, environmental factors and access to healthcare. By comparing actual temperatures with those expected without human-induced warming, the team estimated the additional deaths attributable to climate change.

Final official mortality figures for summer 2026 are not yet available in many countries, and heat-related deaths are often underreported because their effects can be difficult to identify directly.

Older People Face The Greatest Risk

People aged 85 and over accounted for roughly half of the estimated deaths. However, the impact extended across age groups, with around 800 excess deaths among adults aged 20–44 and approximately 6,000 among people under 65.

Southern Europe experienced the highest mortality burden, reflecting hotter temperatures and other vulnerabilities, including air pollution, limited green space and unequal access to healthcare and heat-alert systems.

Italy, France And Spain Record Highest Toll

Italy recorded an estimated 13,303 heat-related excess deaths, followed by France with 7,268 and Spain with 6,824. Germany recorded around 6,340, while the UK saw an estimated 4,354 deaths.

In the UK, the heat also placed significant pressure on healthcare services. Andrew Hartle, Professor of Practice of Anaesthesia at Imperial College Healthcare, said demand during the summer resembled that of a severe winter virus season.

Cities Urged To Strengthen Heat Protection

Researchers say cities can reduce the risks through climate shelters, external shading and building retrofits, alongside measures to help residents avoid exposure during the hottest hours. Checking on vulnerable people, staying hydrated and following heat alerts are also important.

The researchers stress that adaptation must go hand in hand with reducing fossil fuel use to limit further warming. The findings underline that extreme heat is already a major public-health threat across Europe, with thousands of lives at risk each summer.

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