Italy’s government will defend its “golden power” rules protecting key national assets, Economy Minister Giancarlo Giorgetti said on Friday, after reports that the European Commission is preparing legal action against Rome.
Speaking in Luxembourg after a meeting of European finance ministers, Giorgetti said national security was a matter for individual governments, not EU institutions. “National security is the exclusive responsibility of the national government, and we intend to defend it,” he told reporters.
Italy has used golden power laws extensively to protect national interests in banking, defence, and telecommunications. The legislation allows the government to block or impose conditions on deals that may threaten strategic assets.
According to Reuters, Brussels plans to launch two legal proceedings against Italy under single market and merger rules. The move follows concerns that Rome’s interventions in bank mergers have restricted cross-border consolidation within the EU.
The dispute centres on Italy’s role in the failed merger between UniCredit, the country’s second-largest lender, and Banco BPM. UniCredit withdrew its offer in July, citing government interference. Italy had reportedly required the bank to exit Russia by early 2026 to prevent funds from indirectly supporting Moscow’s war in Ukraine.
Despite the deal’s collapse, Rome kept the decree in place. Sources told Reuters the European Commission will now order Italy to withdraw that decree and open a broader infringement procedure against its golden power legislation.
A Commission spokesperson declined to comment directly on the reports but confirmed that Italy had submitted its replies in both cases. “The Commission is currently assessing Italy’s response and will consider next steps,” the spokesperson said.
‘Golden Power’ law legitimate says Giorgetti
Giorgetti maintained that the law was legitimate and effective. “When the EU’s remarks arrive, we will evaluate them. I am simply saying that the government is applying an effective law. If you want to change the law, it is up to parliament to do so,” he said.
The Commission is expected to send two formal letters to Italy by mid-November to start the process. If Brussels rules that the conditions imposed on UniCredit were unlawful, the bank could seek damages from the Italian state.
Giorgetti indicated the government was ready to defend its position in court.
