Von der Leyen Seeks €10 Trillion EU Savings Boost with Savings Union

European Commission President Ursula von der Leyen urged business leaders in Paris to put Europe's 'lazy' household savings of roughly €10 trillion into productive use. According to Von der Leyen, these savings are parked in bank deposits across the EU and could be doing more heavy lifting.

The Savings and Investments Union (SIU) initiative aims to channel dormant European savings into investment areas like enterprise competitiveness, defense, and the green transition. The Commission introduced the SIU in March 2025 with the goal of unlocking up to €470 billion in new investment for European markets.

Voluntary measures, including tax-advantaged savings accounts and regulatory reforms, will guide the SIU framework. This is not a mandatory redirection of private deposits. Depositor choice and control are emphasized, with participation structured as opt-in rather than compelled.

The EU's fragmented capital markets remain a significant issue. A French investor buying Italian equities faces more friction than an American investing in Texas-based shares. The SIU attempts to build something closer to a single capital market by reducing barriers that limit funding options for startups and make European firms dependent on bank lending.