Research and innovation (R&I) is crucial to boost economic growth. However, in recent years, the EU’s competitiveness has been increasingly threatened by R&I efforts in emerging economies. In 2010 the Commission and Member States unveiled Europe 2020 as a new strategy for growth and Horizon 2020, its flagship R&I programme. Consideration of the budget for Horizon 2020 is still underway, and the Committee urges that it be increased, or at the very least maintained at its current level. During 2012, the Committee examined a number of proposals for projects and strategies which contained a strong emphasis on R&I and identified a number of cross-cutting issues including: concerns about the effectiveness of impact assessments; a lack of information about monitoring and evaluation of projects; and the importance of stakeholder consultation and private sector participation. This report provides a more in-depth analysis of these issues and how they relate to the Commission’s R&I strategy. It is agreed with the Commission that a focus on ‘excellence’ in R&I proposals offers the best chance of growth through R&I. To this end more work should be done to ensure consistency in this area, and realistic expectations for output of R&I projects. The bureaucracy and complexity of EU R&I programmes acts as a barrier to private sector participation, especially for Small and Medium Sized Enterprises (SMEs) without the resources to navigate complicated and inflexible funding processes. The long ‘time-to-grant’ period presents a further obstacle. The Government should highlight the opportunities to UK businesses, and continue strengthening their support structures for those businesses wishing to participate