This paper presents a new index to quantify, measure and monitor the progress towards the objectives of the Europe 2020 strategy. This index is based on a set of relevant, accepted, credible, easy to monitor and robust indicators presented by the European Commission at the time the strategy was launched. The internal analysis of the index shows that the Smart and the Inclusive growth dimensions of the strategy are strictly correlated and that the trade-offs between each of these two dimensions and the Sustainable one exist but are decreasing, suggesting that a change towards more sustainable models of development is occurring in Europe. The external analysis of the index shows that it can be a valid measure to assess the overall competitiveness of countries and that the most critical factors for this strategy to be successful are good governance and social capital.