What changed between the draft committee report and the plenary report

Change 4

Added:EXPLANATORY STATEMENT

Added:This own-initiative report intends to respond to a structural challenge for the European Union: citizens face increasingly complex financial decisions at every stage of life, while average levels of financial literacy remain low and uneven across Member States and social groups. These gaps reduce citizens’ and households’ financial resilience and weaken trust in financial markets. They also limit retail participation in capital markets, depriving European businesses, namely SMEs, of a broader and more informed investor base. Improving financial literacy is therefore not only a question of education; it is a condition for financial inclusion, consumer protection and Europe’s competitiveness agenda.

Added:The proposals of this report align with the European Commission’s Financial Literacy Strategy and support its comprehensive approach which is based on coordination and the sharing of best practices, communication and awareness-raising, funding (including research) and monitoring of progress. The Rapporteur’s objective is to translate this strategy into a clear political path for implementation, with measurable outcomes and a focus on groups that are disproportionately exposed to low financial literacy and financial vulnerability.

Added:Concerning its financial literacy dimension, the report is guided by three core principles: i) lifelong learning, ii) inclusion and proximity and iii) evidence-based measurement.

Added:First, it calls for age-appropriate financial education to be embedded throughout the life course: in school curricula, vocational education and training, and adult learning. This should be supported by adequate teacher training and accessible, high-quality educational materials. It also encourages the use of “teachable moments” linked to pivotal life decisions, such as entering the labor market, renting or buying a home, starting a family or planning for retirement, as these moments increase citizens’ motivation and improve learning outcomes.

Added:Second, the report stresses that financial literacy policies must be inclusive and targeted. It calls for tailored initiatives for women, young and elderly people, persons with disabilities, low-income households and those living in rural or remote areas. It argues in favour of community-based delivery through local hubs, social partners, trade unions, consumer organisations, retail investor associations, and SME networks. Moreover, it underlines that financial literacy must increasingly encompass digital and media competences including basic cybersecurity awareness, the ability to identify fraud and scams and critical thinking skills to assess online financial content.

Added:Third, the report emphasises outcomes and accountability. It supports regular measurement through comparable surveys and encourages rigorous evaluation of initiatives, including where feasible counterfactual methods, to ensure public funding is directed to interventions that demonstrably work. The report proposes building on existing European and international competence frameworks and improving the availability of comparable indicators so that progress can be tracked over time and strategies can be adjusted based on evidence.

Added:At the same time, the report is clear: education cannot replace investor protection. Financial literacy initiatives must complement (not substitute) robust rules on fair, clear and non-misleading communications and strong enforcement against fraud. The report therefore links literacy to consumer protection priorities in the digital environment and supports initiatives aimed at tackling manipulative online practices, strengthening enforcement cooperation and improving prevention and redress for victims of online financial fraud.

Added:The Rapporteur also intended to connect financial literacy with the savings and investments inion (SIU)’s objective of enabling citizens to invest savings under appropriate risk conditions and to participate in capital markets on a safer and more informed basis. The report supports policy coherence across financial literacy initiatives, retail investor protection rules and practical market-enabling tools that help citizens compare products and understand costs and risks. It stresses the importance for straightforwardness and transparency, including the development of accessible comparison tools for fees and key product features and the promotion of long-term, diversified investment approaches.

Added:The second dimension of the report addresses the rise of finfluencers and the broader attention to financial and investment aspects in online communication. Social media has become, especially for younger generations, a primary source of financial information and can play a positive role in awareness and engagement. However, it also creates a high-risk environment for hidden advertising, conflicts of interest, misleading claims and the rapid spread of scams, including AI-enabled deepfakes. The report therefore seeks a balanced approach: it does not aim to thwart creators but encourages raising standards and protecting citizens through proportionate obligations, transparency and enforcement of existing rules also in the digital area.

Added:In practical terms, the report supports the development of guidance and minimum standards for finfluencer communications, including clear labelling of paid partnerships, prominent and plain-language risk warnings for higher-risk products and disclosure of relevant conflicts of interest. It encourages training for content creators on legal obligations and financial-education basics and calls for the development of a European code of conduct that can be adopted voluntarily by creators and platforms. This could include a credibility mechanism (such as a voluntary seal) coupled with auditable complaints-handling procedures. The report also underlines the role of platforms in mitigating risks: enabling “know-your-promotion” tools, providing standardised warning overlays, and cooperating with competent authorities to act swiftly against illegal and clearly harmful content.

Added:Finally, the Rapporteur addresses the fast-evolving role of AI. The report recognises the potential of AI to support financial education at scale and to help detect fraud, scams and deepfakes, but also highlights risks related to opacity, manipulation, and personal-data misuse. The report calls for ongoing assessment and coordination to ensure that innovation in digital finance supports financial well-being and trust rather than undermining it.

Added:Overall, the report proposes a pragmatic architecture combining mainstreaming financial literacy as a lifelong competence; targeted, inclusive delivery for vulnerable groups; evidence-based monitoring and evaluation; strong consumer protection and fraud prevention in the digital environment; coherence with the savings and investments union to support safer participation; and proportionate standards for finfluencers and platforms based on transparency, responsibility and effective enforcement.

Added:The Rapporteur’s aim is to help Europeans move from uncertainty to confidence, enabling more citizens can make informed choices, save better, limit investment risks, and build long-term financial security.