….and the EU?
The EU, on the other hand, corresponds to the countries that signed the Maastricht Treaty of 1993 – and those that have joined since. These countries form part of the European Union.
Yes, EU residents may move freely across its borders but you should not mistake that for the similar and overlapping movement through the Schengen Area.
What countries are part of each group and what are the differences?
The countries that are not included in both groups are the UK and Ireland (which are in the EU but not in Schengen) and Norway, Liechtenstein, Switzerland, and Iceland (which are inside the Schengen Area but not in the EU).
Bulgaria, Romania, Cyprus, and Croatia are in the EU but not currently in the Schengen, however, these four countries are legally obliged to join the Schengen Area and are in the process of joining.
This map also explains the difference pretty well…