On 21 January 2026, a cross-sector group of business associations issued a joint statement renewing their call for proportionate, harmonised EU-level rules on professional third-party litigation funding (TPLF). The statement highlights the rapid expansion of for-profit litigation funding in Europe, which continues to operate with limited transparency and fragmented oversight, despite the presence of more than 300 funders in the EU. This regulatory gap risks distorting litigation incentives, undermining trust in justice systems and the Single Market, and imposing significant costs on businesses, competitiveness and innovation.
The associations urged the European Commission to prioritise TPLF by launching a Call for Evidence and advancing binding EU-level safeguards. Key priorities should include:
- Be binding on all commercially active for-profit third party funders
- Address the risks of conflicts of interest maliciously-motivated funding transparency about funding sources and inadequate funding reserves
- Fully respect the principles of proportionality and subsidiarity and Member States’ procedural autonomy and
- Focus on professional for-profit funding arrangements where divergent national approaches create legal uncertainty and risks of forum shopping.
