European Economic Interest Grouping (EEIG) meaning

This Practice Note offers an overview, addressing their formation, corporate status, membership, winding up, and the benefits and drawbacks. What is an EEIG? An EEIG brings together businesses or other bodies from separate Member States that wish to collaborate and carry on activities across borders. Its legal foundation is Council Regulation (EEC) 2137/85 (the EEIG Regulation). That instrument permits Member States to enact specified domestic provisions concerning EEIGs. Consequently, EU jurisdictions vary in rules on legal capacity, governance and audit requirements for EEIGs. Accordingly, areas such as legal capacity, management arrangements and auditing may not be identical from one jurisdiction to another. Following the UK's withdrawal from the EU, EEIG registration in the UK ceased to be possible. New EEIGs could not be formed on the UK register, and existing groupings depended on the pre‑exit legislative mechanism effectively at that time. Before the transition period ended on 31 December 2020, legislation ensured that EEIGs on the UK register at that moment were automatically...

ARCHIVED This Practice Note has been archived and is no longer maintained. It reviews the law and regulation concerning the corporate structure known as a UK Economic Interest Grouping (UKEIG). A UKEIG originates from the European Economic Interest Grouping framework which, since the UK left the EU, is no longer available in the UK. It is provided for background purposes only. What is a UKEIG? In its guidance UK economic interest groupings (UKEIG) and European economic interest groupings (EEIG), the government explains that a UKEIG is an association formed by companies or other legal bodies, firms or individuals from different countries (within the EU or the UK) who need to collaborate across national borders. It undertakes specified tasks for its member-owners and is independent from the owners’ businesses. Its objective is to facilitate or develop the economic activities of its members. A UKEIG’s official address must be in the UK. It may enter into arrangements with organisations outside the EU, but those organisations...