The government has today announced that it will not be implementing regulatory budgets.
Regulatory budgets, which have the support of business, are designed to help limit the amount of red tape stemming from government departments. Delaying their implementation means departments will not face the required scrutiny of the burden that existing and upcoming legislation may place on UK firms.
Commenting David Frost, Director General of the British Chambers of Commerce (BCC), said:
“With the cumulative cost of regulation on business totalling £77 billion since 1998, it is imperative that the government recognises the huge burden it places on the private sector.
“This is not the time to scrap regulatory budgets as this is the mechanism that would force departments to take account of the burden of their legislation on business. It is a vital discipline in these current economic times.
“In the absence of regulatory budgets, government must enforce a moratorium on further burdensome regulation.”