London, UK — The government is launching ambitious reviews into burdensome red tape in 5 key industry sectors, Business Secretary Sajid Javid has announced. The reviews are the first step to working with British businesses to axe unnecessary regulation and its poor implementation by a further £10 billion over the course of this Parliament. The government is appealing to businesses to come forward and flag areas for change through the new Cutting Red Tape programme.
Among the ambitious reviews into burdensome red tape in 5 key industry sectors, the Secretary of the Department for Business, Innovation & Skills notified, there are
- government commits to cutting red tape in the energy, waste, agriculture, care homes and mineral extraction sectors
- first wave of sector reviews will help towards saving businesses £10 billion over the next 5 years
- new Cutting Red Tape programme responds to the needs of business by examining both regulation and its enforcement and implementation – businesses are encouraged to report burdens and recommend other sectors which need change
Business Secretary Sajid Javid commented: „I am determined to take the brakes off British businesses and set them free from heavy-handed regulators. The government’s pledge to cut £10 billion in red tape over the course of this parliament will help create more jobs for working people, boost productivity and keep our economy growing. For the first time, these reviews will look not only at the rules themselves but the way they are enforced. We want firms to tell us where red tape is holding them back and help us make Britain the best place in Europe to start and grow a business.“
Examples where businesses have said regulation, and the way it is implemented, is getting in the way of doing business in the sectors under review include:
- waste businesses have said that regulators could respond better to innovation, and thereby help the sector to maximise opportunities to recycle or re-use material that could otherwise end up in landfill
- mining and quarrying companies have to apply for both planning permission and environmental permits, but once planning consent is given, environmental permitting can then require a different approach, requiring a new planning consent and thus delaying investments and incurring further costs companies in the agriculture sector spend over £77 million a year on average – and lose 1.7 million working hours – complying with often duplicated information checks
This programme of work will build on the better regulation measures announced in May as part of the government’s Enterprise Bill. These include plans to extend and simplify the primary authority scheme, and make sure the activities of regulators contribute to the government’s better regulation target. It also builds on the £10 billion of savings achieved by government through better regulation over the last 5 years.
In addition to energy, care homes and agriculture, the areas being reviewed are:
- Waste: This review will look at the impact of regulations across the waste industry, from production and processing to collection, disposal and treatment. It will be used to identify and remove barriers to advancing the sector while ensuring human health and the environment remain protected.
- Mineral extraction: This industry is subject to strict environmental and planning regulatory control, the necessity of which is readily accepted by business. However, businesses have said there are unnecessary regulatory burdens around the interaction of planning and permitting regimes, and that enforcement and implementation practices, application processes and inspection regimes could be simplified and applied more consistently and coordinated better by the many different regulatory bodies a business must interact with.
Source: Department for Business, Innovation & Skills