The European Commission will step up its fight to defend the EU's internal market from member state "protectionism" this week when it is expected to start legal action Poland, with Spain also a possible target.
The Commission is under pressure to defend a central tenet of the European Union's internal market - the free movement of capital - as some member states try to shield domestic firms from a sharp rise in cross-border take-over activity.
Brussels says cross-border consolidation in banks and utilities would make the EU economy more competitive and cut prices for consumers.
Countries such as France see the creation of national champions as a bulwark against eroding national sovereignty in the face of accelerated globalisation.
The EU executive meets on Wednesday when it will almost certainly agree to begin infringement proceedings against Poland for blocking a European banking merger.
The Polish government has asked bank regulators to block the deal by turning down Italian UniCredito's plans to merge its Pekao and BPH units - the Polish element of UniCredito's cross-border take-over of Germany's HVB.
The Commission may also decide to take Spain to task for the way it is pushing for an all-Spanish utility giant by merging Gas Natural and Endesa to fend off a bid for Endesa from Germany's E.ON.
The Commission has already begun its fightback to uphold the EU treaties.
Last week it gave France two weeks to explain events leading up to the merger of Gaz de France and Suez, which Rome says was engineered to thwart a bid from Italy's Enel.
The EU executive is also considering a response from Paris to its concerns that a French decree shielding firms in 11 "strategic sectors" from foreign take-overs breaks EU rules.
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