Points of Single Contact

Points of Single Contact (PSCs) are e-government portals established by the EU Services Directive.
What are the main aims and objectives?

The primary aim of the PSCs is facilitating cross-border business activities and simplifying administrative procedures for service providers within the European Union. PSCs are designed to streamline the process of entering new markets by allowing service providers to complete necessary administrative procedures online, such as submitting applications for permits and licenses. PSCs aim to reduce bureaucratic hurdles, save time and costs for businesses, and ultimately foster a more integrated and accessible EU Single Market for services. Additionally, the PSCs are part of the broader Single Digital Gateway initiative, which seeks to create a central online access point for EU citizens and businesses seeking information about operating in other EU countries, further enhancing the ease of cross-border service provision.

How does the program work?

Points of Single Contact (PSCs) are e-government portals established in each EU country to facilitate cross-border business activities and simplify administrative procedures for service providers within the European Union. These portals serve as one-stop shops where entrepreneurs can access comprehensive information about starting and operating a business in different EU countries.

PSCs provide national information to help businesses deal with a wide range of practical issues, including licenses and permits needed to start a business, requirements for offering services temporarily, recognition of professional qualifications, labor and social laws, and public procurement rules. They also offer information on administrative procedures and make them available online, such as how to submit applications, which organizations are responsible for handling them, associated costs, and expected processing times.

Through PSCs, service providers can complete necessary administrative procedures online without having to approach various public bodies individually. This includes submitting applications for permits and licenses, accessing information on responsible organizations, and obtaining details on application costs and processing times. The portals are designed to be accessible to businesses from other EU countries, with many offering multilingual support to facilitate cross-border operations.

Since December 2009, it has been a legal requirement for every EU country to have a PSC. Iceland, Liechtenstein, and Norway have also set up PSCs on a voluntary basis. To enhance their effectiveness, a PSC charter was introduced in 2014 to encourage EU countries to make their PSCs more business-friendly. This charter provides guidelines on the quality and availability of information, completion of electronic procedures, accessibility for cross-border users, and overall usability.

What is the overall cost?

There is no available information on the running cost of PSCs.

How was it implemented?

The Points of Single Contact (PSCs) were established as a result of the EU Services Directive, which came into effect in 2006. This directive aimed to facilitate cross-border business activities and simplify administrative procedures for service providers within the European Union. Since December 2009, it has been a legal requirement for every EU country to have a PSC.

The PSCs were created as e-government portals designed to serve as one-stop shops for service providers. These portals allow businesses to access comprehensive information about starting and operating in different EU countries, including details on licensing requirements, registration procedures, and regulatory compliance. The primary goal was to streamline the process of entering new markets by enabling service providers to complete necessary administrative procedures online, such as submitting applications for permits and licenses.

To enhance the effectiveness of PSCs, a PSC charter was introduced in 2014. This charter encouraged EU countries to make their PSCs more business-friendly by providing guidelines on the quality and availability of information, completion of electronic procedures, accessibility for cross-border users, and overall usability. Furthermore, the European Commission called for the development of PSCs that cover all procedures during the business life cycle, offer multilingual support, and provide a more user-friendly experience.

The creation of PSCs is part of a broader initiative to improve the functioning of the EU Single Market. In addition to the EU member states, Iceland, Liechtenstein, and Norway have also set up PSCs on a voluntary basis, extending the network beyond the EU's borders. The PSCs are now integrated into the Single Digital Gateway, a comprehensive portal that helps Europeans navigate the Single Market through online information and a range of e-government services.

What impact has been measured?

Research conducted in the Netherlands found that the PSC receives an average of 145,000 different visitors per month. The report also indicated that the use of PSCs could bring savings of up to €60 million a year in that country alone.

What lessons can be learned?

Several important lessons can be learned from the implementation and operation of the Points of Single Contact (PSC) portals across the European Union:

User-Centric Design

  • PSCs need to be more user-friendly and responsive to business needs.
  • Offering step-by-step guidance from information provision to completion of formalities online can significantly improve user experience.

Language Accessibility

  • Expanding language offerings in terms of quantity and quality is crucial to attract foreign service providers.
  • There's a need to close the gap between the quality of information provided in national languages versus foreign languages.

Scope and Comprehensiveness

  • PSCs should expand beyond basic administrative information to include practical details on labor law, VAT rules, social security, insurance, and online service provision.
  • Covering all procedures during the business lifecycle would make PSCs more valuable to users.

Online Procedure Availability

  • Making more procedures and formalities available for online completion, especially in foreign languages, is essential.
  • Better cooperation between PSC management and authorities responsible for final approval of administrative procedures is needed.

Awareness and Promotion

  • Many European companies, particularly start-ups and SMEs, are unaware of PSCs' existence.
  • There's a need for increased promotion and visibility of these portals.

Cross-Border Interoperability

  • Improving interoperability between national PSCs, especially for e-signatures and online identification, is crucial for facilitating cross-border services.

CURATED BY

Research Associate
Global Entrepreneurship Network
United Kingdom