Business Secretary Vince Cable has announced an immediate review of 200 regulations that have yet to come in force and will cost £19bn to implement.
He detailed the first phase of the Coalition Government’s action plan to reduce regulation following the Prime Minister’s commitment last week to “re-open Britain for business”.
In addition to the new regulation review, the action plan involves the creation of a new Cabinet “Star Chamber” that will lead the Government’s drive to reduce regulation which is stifling growth, especially of small businesses. This Reducing Regulation Committee will be chaired by the Business Secretary and will enforce a new approach to new laws and regulations, ensuring that their costs are being properly addressed across the entire British economy. A new “challenge group” will also be established to come up with innovative approaches to achieving social and environmental goals in a non-regulatory way.
Cable also announced a “one-in, one-out” approach, designed to change the culture of government, would make sure that new regulatory burdens on business are only brought in when reductions can be made to existing regulation.
“The deluge of new regulations has been choking off enterprise for too long,” said Business Secretary Vince Cable. “We must move away from the view that the only way to solve problems is to regulate.
“The Government has wide-ranging social and ecological goals including protecting consumers and protecting the environment. This requires increased social responsibility on the part of businesses and individuals.
“This is a real challenge and it will not be easy. We need to reduce regulation and at the same time meet our social and environmental ambitions. This demands a radical change in culture away from the tick box approach to regulation only as a last resort. It’s a big task but one worth striving for.”