Small and medium-sized companies are expected to be the biggest beneficiaries following an announcement that the cost of obtaining trademark protection in European countries will be reduced by around 40% from May this year.

The European Union has announced that it will cut the official application and registration costs in up to three classes from €1,600 to €1,000.

In making the announcement the European Commissioner responsible, Charlie McCreevy, specifically stated that SMEs are the most likely businesses to benefit from the 40% savings.

Many small and medium-sized businesses have experienced difficulties in safeguarding their intellectual property rights due to the high costs involved.