“Our secret weapon for attracting world class tech talent is broken”
Countries that build and retain world-leading technology companies will define the economic landscape of tomorrow. But British startups are fighting with one hand tied behind their backs due to policy frameworks fashioned for a different era.
If Europe wants to compete effectively with the US, it must focus on the real prize: creating the right conditions to foster European champions. After years of policy stagnation, momentum for change is building.
"New policies to help startups flooding in across Europe"
European policymakers are putting in place a series of new laws and initiatives to help the continent rival Silicon Valley, hoping to promote more investment in European tech startups and also attract talent to the sector.
"Can Europe become the most entrepreneurial continent?"
Europe’s tech sector is worth four times what it was five years ago as the leading generation of companies and founders give back to the next wave of ambitious tech firms. But there’s still work to be done to close the gap to the US and Asia.
● Not Optional letter signed by over 500 CEOs, founders, investors and employees of Europe’s startups calling for reform to stock options rules sent to policymakers across Europe.
2020
● France reforms BSPCE rules, allowing international companies and employees to gain access to its popular stock options scheme.
2021
● 27 European countries sign the Startup Nations Standard (SNS), committing to improve national stock option rules.
● Latvia and Lithuania update their stock option policies, placing both at the top of our rankings alongside fellow Baltic State Estonia.
2022
● Spain introduces its new Startup Law, reforming stock option rules.
● France further reforms BSPCE rules to widen the scope of companies that can benefit.
● UK ranks as the top G7 country for employee stock options, following reforms to its CSOP.
● EU Commission Stock Options Working Group holds first sessions and produces recommendations for EU and Member State stock option reforms.
● Ireland expanded the scope of its tax-advantaged scheme KEEP.
● Netherlands reforms rules so employees are now taxed at the point stock becomes tradable, rather than when they receive options.
2024
● Germany and Austria transform their employee share ownership rules, with Germany shooting up in the rankings from last place to being on par with the US.
● Not Optional begins campaigning for mutual recognition of European ESOP regimes facilitating cross-border scaling across the single market.
● Not Optional joins EU Inc in calling for a new single, pan-European startup entity.
2025
● Not Optional partners with EU-INC on the policy proposal blueprint (with the EU-ESOP as a core ask) and submits it to Commissioners McGrath and Zaharieva.
● European Commission launches Startup Scaleup Strategy and begins exploring legislative measures to harmonize certain aspects of the treatment of stock options.
● The European Parliament begins work on the 28th regime — MEPs call for the inclusion of a European stock options regime as part of the framework.
● The European Commission launches a consultation on the 28th regime. Not Optional and EU-INC mobilise ecosystem responses, keeping EU-ESOP as a priority.
● The Czech government passes reforms to strengthen its national ESOP regime from 1 January 2026.
● Videos
Elon Musk and Rishi Sunak discuss European stock options
