The document is currently being drafted by Innovation Commissioner Máire Geoghegan-Quinn and Industry Commissioner Antonio Tajani, who said that the new plan would "take the broadest possible approach to innovation in business," and would propose a new generation of financial products designed to get funds flowing to innovative small businesses. "Innovation is a much broader concept than R&D," Tajani added.  

Innovation Scoreboard shows steady improvement

The Commissioners were speaking at the launch of the annual innovation scoreboard, which ranks member states' capacity for innovation. The new figures, which date from 2008, showed steady improvement by most member states but noted that the economic crisis has hampered progress and stalled the EU's efforts to catch up with the US. As in previous years, Denmark, Finland, Germany, Sweden and the UK were lauded as "innovation leaders," and Bulgaria, Latvia and Romania were at the bottom of the league.

Commissioners support 3 % target

Both commissioners also reaffirmed their support for setting a spending target of 3% of GDP. The target has been the subject of much controversy, with finance ministers yesterday calling for a new "outcome-oriented" measure of success rather than a fixed spending target. Commissioner Geoghegan-Quinn said it was "no coincidence" that the countries at the top of the innovation scoreboard are those closest to the 3% target.

She acknowledged that finance ministers may be tempted to cut research spending in an effort to control fiscal deficits, but said "nothing improves public finances in the medium term like strong growth, and research and innovation are the key to achieving the growth we need". Geoghegan-Quinn added that she would set up an expert panel of economists and innovation experts to help find "an effective indicator to capture overall research and innovation performance," and will take their recommendations to an subcommittee of commissioners dedicated to innovation.