Ursula von der Leyen is facing a political storm in Brussels after her European Commission decided to pull a major environmental bill, sparking backlash from liberal and socialist groups that had helped support her leadership. The surprise decision to cancel the Green Claims directive - a proposal aimed at cracking down on misleading environmental marketing - has not only angered von der Leyen’s usual allies but now threatens the informal centrist coalition that has underpinned her presidency.

Valérie Hayer, leader of the liberal Renew Europe group, issued a stark warning, declaring the EU was “on the brink of an institutional crisis.” She criticized von der Leyen’s decision to withdraw the proposed law at the request of her own European People's Party (EPP), which is now being accused of tilting toward far-right allies to influence legislation.

The Green Claims directive had already cleared key stages in the legislative process, with both the European Parliament and Council adopting their negotiating positions. Yet, the Commission suddenly reversed course late last week, citing concerns over excessive red tape for companies - an explanation critics from the left and center dismissed as an excuse. Lawmakers from the EPP, European Conservatives and Reformists, and the far-right Patriots for Europe had all called for the bill to be scrapped.

Socialists and liberals are furious, accusing von der Leyen of undermining the legislative process and aligning herself with political forces intent on dismantling the EU’s climate agenda. The decision is widely seen as a concession to the right ahead of von der Leyen’s potential bid for a second term, raising questions about her credibility among the pro-European bloc.

Behind the scenes, frustration is also mounting over von der Leyen’s handling of other issues, such as the so-called “Pfizergate” controversy. A senior Renew official said their group had shielded von der Leyen from criticism during that scandal, but warned that continued provocations could force them to withdraw their support. “If this continues like this, we will stop protecting her,” the official said, noting that Renew and the Socialists could effectively block the Commission’s legislative proposals by refusing to cooperate with the EPP.

The EPP defended the Commission’s withdrawal of the greenwashing law, claiming the directive, as it stood, would have created an unbearable administrative burden, especially for small businesses. Yet that argument was sharply contested. Negotiators from the Parliament said a compromise excluding micro-enterprises had been within reach and could have been secured during a planned meeting - one that was abruptly cancelled.

Sandro Gozi of Renew denounced the Commission’s reasoning as “false excuses” and criticized the decision to cancel negotiations rather than resolve the outstanding issues in person. Tiemo Wölken, a German Social Democrat MEP who had been closely involved in shaping the bill, accused the Commission of becoming a mouthpiece for the EPP. “The Berlaymont is turning more and more into the European People’s Party headquarters,” he said, referring to the Commission’s main building.

The political damage from the law’s collapse could be far-reaching. Italy withdrew its support shortly after the Commission’s move, and resistance from Germany and Sweden has left the proposed legislation in limbo. Without their backing, even a reversal of the withdrawal may no longer be viable.

The episode has raised alarms among centrists, who fear the fragile alliance that has guided EU policymaking since 2019 is now unraveling. “The whole basis of support for von der Leyen” is now in question, said one Socialist official, suggesting the president had breached the informal coalition’s trust.

Stefan De Keersmaecker, a spokesperson for the European Commission, acknowledged the decision but insisted the institution remained committed to fighting greenwashing. He said the original text risked clashing with the Commission’s goal of simplifying regulation and cutting red tape.

But with liberals and socialists threatening to stop “playing the game,” von der Leyen may now find herself isolated, squeezed between a pro-European center that no longer trusts her and a right wing whose support comes at the cost of alienating her own base.

Sources:

• POLITICO
• Euronews
• The Guardian