From shadow to formal economy : levelling the playing field in the Single Market

The size of the shadow economy in the EU in 2012 is estimated at approximately EUR 2.35 trillion. The shadow economy represents a threat to the Single Market, leads to substantial budgetary difficulties, puts considerable pressure on legitimate businesses, and in long run, limits the potential growth of the formal economy. A substantial reduction of the size of shadow economy would ensure that consumers, businesses in formal economy, and employees are better protected, would improve the level playing field on the Single Market, and could raise up to EUR 285 billion in additional revenues annually.