Welcome to Commercially Connected shorts, our weekly bitesize newsletter summarising the latest updates in UK and EU commercial law.

This week we look at:

EU priorities to June 2027 - how might this impact my business?

Following our January review of what to expect in 2026 in the EU, the Cypriot led Council of the EU have set out their priorities for the next 18 months. Sharing their focus with MEPs on 30 January 2026, this gives us an insight on what the EU lawmakers will concentrate on. From a commercial law perspective this includes:

  • Advancing the European Union's simplification agenda with the objective of minimizing regulatory and administrative burdens and enhancing competitiveness, particularly for Small and Medium-sized Enterprises (SMEs)
  • Drive industrial modernisation, strengthen value chains, and improve the business environment in the COMPET Council. A stronger Single Market will see focus on green and digital shifts, securing raw materials and reducing energy vulnerabilities. Work will continue on the negotiation of the Industrial Accelerator Act and planned revision of the Chips Act
  • The Presidency will prioritise the 2030 Consumer Agenda, enhance online protection for minors, and take measures against deceptive consumer practices. Public procurement will be under the lens to further reduce administrative burdens
  • An IP agenda which seeks to advance EU rules on patents and a robust copyright framework adapted to new technologies. The research focus will continue with Horizon Europe, advancing discussion on the European Innovation Act and work on the AI Continent Action Plan
  • Continue simplifying legislation while maintaining the EU’s environmental goals and advancing the shift to a circular economy to lessen reliance on raw materials. Additional priorities include revising CO2 standards for cars and vans. Cyprus will be negotiating the automotive package presented in December 2025. This envisaged overturning the 2035 combustion engine ban and included a regulation that would set national targets for zero emissions corporate fleets. The file has already sparked fierce debate with large Member States like Germany and France taking opposing views
  • Digital sovereignty and digital leadership goals will see continued attention on AI, cloud infrastructure and cybersecurity together with the digital simplification omnibus. The Presidency will advance the Cybersecurity Act and the Digital Networks Act for telecom upgrades (5G/6G), implement age checks for online child safety, and support research to foster innovation and retain talent
  • Expanding the network of trade agreements to deliver tangible benefits to all in the EU (especially SMEs) and the conclusion of reform of the Customs Union Work to further enhance EU-UK relations through the implementation of agreed frameworks (Withdrawal Agreement and Trade and Cooperation Agreement) and building on the positive momentum of the London Summit of May 2025

This will be of interest to all organisations who operate in and across the EU as it sets the direction for upcoming legislative activity for digital, consumer, trade and sustainability themes in the coming year. Businesses should continue to track these EU legislative priorities to assess compliance risks and identify where contractual or operational changes may be required.

AI and recruitment: five top tips for protecting the integrity of your global hiring processes

Global regulators are sharpening their focus on AI driven hiring, with the EU AI Act categorising recruitment tools as “high risk”, and other jurisdictions steadily raising the bar on fairness, governance and accountability.

In this briefing, we provide a snapshot of emerging global AI and recruitment legislation looking at the UK, EU, US and Asia and distil common themes into five practical tips to support global employers to mitigate key legal risks and protect the integrity of their global hiring processes in the age of AI: AI and recruitment: five top tips for protecting the integrity of your global hiring processes

UK’s first “forever chemicals” plan

On 3 February 2026, the UK government unveiled the first PFAS Plan which provides a framework for governments, businesses, and regulators to identify PFAS sources, track their spread, and limit public and environmental exposure.

Per- and poly-fluoroalkyl substances (PFAS), known as ‘forever chemicals,’ are a major environmental concern. Whilst PFAS have supported economic growth and climate goals through their use in manufacturing and low-carbon technologies, evidence shows their widespread use poses lasting risks to people and the environment.

To safeguard public health, the plan sets out a range of measures and interventions, which includes:

  • Creating clear guidelines for regulators and industries to address legacy PFAS contamination in land and coastal waters, ensuring consistency and practicality
  • Consulting on setting a statutory PFAS limit in England’s public water supply to improve drinking water quality
  • Conducting tests on everyday products such as food packaging and materials which are water, heat and oil resistant to detect PFAS and help inform potential future regulations and develop viable alternatives
  • Launching a website to increase public awareness of PFAS and improve government transparency
  • Issuing new guidance to regulators and industrial operators to better manage, monitor, and dispose of PFAS at sites, reducing emissions
  • Finalising review of PFAS restrictions in firefighting foams under the REACH chemicals regime

Manufacturing businesses face increased scrutiny across product composition, supply chains, emissions and water management. Companies should begin preparing for tighter regulation, supply chain due diligence and possible reformulation requirements.

Key legal developments impacting the global industrials sector

Our Global Industrials Bulletin brings together our quarterly impact review of developments affecting businesses in the industrials sector across the US, EU, Asia and UK. In this edition we highlight:

  • China is driving major green and industrial policy shifts, including a new green factory standard and steps to boost domestic chip and battery capabilities
  • Asia-wide battery and mineral supply chains are being reshaped, with Korea investing heavily in next generation technology and China reviewing its export and trade controls
  • The EU is accelerating trade liberalisation, in signing two major free trade agreements with India and the Mercosur bloc (Argentina, Brazil, Paraguay and Uruguay), although the latter now faces delay pending ECJ review