One In, One Out Rule Is Step In Right Direction, Says Chamber

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Derbyshire and Nottinghamshire Chamber of Commerce has hailed Vince Cable’s announcement on red tape and business regulations as a step in the right direction, but says that more can still be done to reduce the burdens placed on business.

 

 The Business Secretary today confirmed plans to introduce a one-in, one-out system for any new regulations that impose costs on businesses. From September, ministers will have to identify an existing piece of regulation to be removed for every new rule proposed.

In addition, a panel of business experts will scrutinise all new legislation before it is introduced. The new measures will apply initially to UK legislation only.

 

Earlier this year, the Chamber revealed* that businesses in Derbyshire have shouldered a total bill of almost £1.3bn since 1998, including some £110m of extra administrative burdens over the last 12 months alone.

 

And recent Chamber research also found that around 15% were in favour of a “one in, one out” limit on new regulations.

 

ichard Wilkins, President of the Derbyshire and Nottinghamshire Chamber, said: “The Chamber welcomes today’s positive announcement by the Business Secretary and recognises that it is a step in the right direction towards a less burdensome regulatory regime.

 

“However, the Chamber feels that more can still be done. Whilst the ‘one in, one out’ rule is a welcome move, this in itself won’t necessarily reduce the amount of red tape businesses face, just maintain it at current levels, so government now needs to give serious consideration to ways to reduce the burdens placed on business.

 

“It also needs to deliver on its pledge to take a more rigorous approach to tackling EU regulations and gold plating, so that when European rules become UK law, they don’t put British business at a competitive disadvantage.

 

“Government needs to use today’s announcement as the springboard to creating a more flexible and less burdensome trading environment by repealing regulations where it’s clear the costs outweigh the benefits to the economy and by avoiding the introduction of further regulations which place unnecessary financial strain on businesses.”