No additional regulatory budens would be imposed on businesses or the voluntary sector from 1 September 2010 this year announced the Business Secretary this morning.
All regulations imposed by government would follow the "one in - one out" rule. Departments would be provided with guidelines so that ministers can proactively look to remove obstacles in the form of regulations from businesses as well as the third sector.
However, these new rules would not apply to national emergencies or those that have been imposed upon the financial system in recent months. Following its pledge to involve the public as much as possible, the Government would invite citizens to nominate those regulations they would wish to see scrapped.
"We have to move quickly delivering credible and meaningful reductions in the burdens that hinder hard-pressed businesses and charities. We have to create a common sense approach in the way we think about new laws," Business secretary Vince Cable said.
"By ensuring regulation becomes a last resort, we will create an environment that frees business from the burden of red tape, helping to create the right conditions for recovery and growth in the UK economy," he added.
“It
is good to see the Government pushing ahead with its commitment to
improving the regulatory landscape,” said the Forum For Private Business Head of Campaigns
Jane Bennett. “The concept of introducing regulations only as they are
needed is absolutely necessary given the existing burden on small
businesses, but it will require a change in behaviour for many
government departments.”
She added: “The independent
Regulatory Policy Committee must be a real watchdog influencing
departmental practice if it is to bridge the gap between
over-regulation, which is what we have now, and lighter-touch
intervention. That means being able to enforce these principles of
regulation, which are as yet undefined. As with many of the coalition’s
new policies, the follow-through is what will be important.”
