Entrepreneurs have attacked the European Commission’s move to slash red tape in business administration as confusing and inadequate, and called for an overhaul of the regulations.

In spite of the Commission’s claim that the moves could save small and medium-sized enterprises (SMEs) €600m (£473m), Howard Graham, founder and chairman of Made Simple Group, a business advisory group, said they did not go far enough. “Changes in the tax system each year are heralded as a simplification, but that just isn’t the case,” he said. “The rapidity and range of changes that are brought in on a regular basis make running a small business even more of a challenge than ever before.”