Why labour mobility in Europe needs a financial passport
The right to move freely across Europe is a pillar of the Union, yet for millions the journey stops at financial walls.
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As the European Commission prepares its Fair Labour Mobility Package 2026, Mifundo has stepped forward with a clear message: labour mobility cannot be truly “fair” if your financial identity is trapped at the border.e
The untapped potential of a mobile urope
The scale of this issue is immense. According to Mifundo’s estimates, approximately 45 million Europeans are currently impacted by cross-border financial barriers, a group that includes expatriates, cross-border commuters, and individuals seeking to purchase property in another Member State. This includes roughly 14 million EU citizens who already live and work in a Member State other than their own.
While these numbers are significant, they represent only a fraction of the EU’s economic potential. In the United States, roughly 40% of the population lives outside their birth state, a level of mobility that allows for faster market adjustments and more efficient use of human capital. For the EU to close this gap and add tens of billions of euros to its GDP, it must address the “practical barriers” that make moving a financial risk.
Breaking the financial glass ceiling
Today, mobile citizens often find themselves “financially invisible” when trying to rent an apartment, set up utilities, or secure a loan in a new country. Because credit data remains fragmented across national silos, banks often treat these individuals as high-risk, leading to higher costs or outright exclusion.
To ensure that “credit histories travel with people, not borders,” Mifundo’s submission to the Commission outlines three vital pillars for reform:
Ensure fair and non-discriminatory use of foreign credit data. We advocate for EBA guidelines that require lenders to assess foreign credit data on an equal footing with domestic data to prevent indirect discrimination.
Increase cross-border data sharing. We urge the Commission to engage with central banks to align public credit registers with the goals of the Single Market.
Strengthen the content and capacity of credit databases. We recommend mandating the inclusion of positive credit data (like consistent repayment history) across the EU to provide a fairer picture of a worker’s financial reliability.
Empowering the Single Market
As the first fintech to receive €10 million in support from the European Innovation Council, Mifundo is uniquely positioned to bridge these gaps with AI-driven cross-border infrastructure. We believe that by modernising how financial data moves, we can make the European Pillar of Social Rights a reality for every mobile worker.
The full response to the European Commisison for additional comments: https://ec.europa.eu/info/law/better-regulation/have-your-say/initiatives/15553-Fair-labour-mobility-package/F33369448_en
