Bold proposals to reform and modernise the way regulation and
rules are set in the UK to slash Brexit red tape have been
unveiled by Ministers today (Thursday 22 July).
For the first time in a generation, the UK has the freedom to
make and implement rules that put British businesses and
consumers first – freeing businesses from overbearing bureaucracy
and reducing costs for consumers, whilst boosting competition,
innovation and growth across the economy.
The consultation launched today marks an initial response to the
report by the independent Taskforce on Innovation, Growth and
Regulatory Reform (TIGRR) commissioned by the Prime Minister,
exploring a number of recommendations on the UK’s regulatory
framework.
This includes looking at ways to dispense with unnecessary red
tape that no longer meets the UK’s needs, including those the UK
inherited when it was a former member of the EU – for example
reintroducing a way to ‘offset’ new regulations, like the
One-In-Two-Out method whereby to introduce a new regulation,
unnecessary regulations would need to be removed.
To enable innovative companies
to trial ground-breaking ideas safely, the Government could also
look to make more use and impact of ‘sandboxes’, where certain
regulations are lifted to test new products in a real-world
setting, under the regulator’s supervision – this was another
reform recommended by TIGRR.
Another TIGRR proposal to move away from the EU’s excessive use
of the ‘precautionary principle’ inherited in the UK and adopt a
‘proportionality principle’ in our regulatory framework has been
set out. This would mean regulation is reset to focus on
outcomes, not process, and be proportionate to the issues and
impacts on businesses and people.
Proposals set out today also look at regulation across its
lifetime, including:
- Changes to the process for making new rules, such as
introducing tougher scrutiny of proposed regulations within
government before they are implemented – helping to ensure
regulations do not impose excessive burdens on businesses or
consumers, or scrapping poor proposals for regulations before
they become law.
- How best to measure their impact, with a swifter mandatory
review of regulations two years after they are introduced, rather
than after five years – repealing or adjusting them more quickly
where they are not working as they should, are too burdensome or
cost too much.
- Reviewing the role of regulators, including placing a duty on
the regulator to promote innovation and competition – ensuring
they contribute to the UK’s economic growth while enforcing the
rules and protecting people’s rights.
Lord , Minister of State at the Cabinet Office,
said:
"Now is the time to think boldly about how we regulate, as we
seize our new opportunities as an independent nation.
“For the first time in a generation, we are free to implement
rules that put the UK first. This is the next step in driving
forward ambitious reform, following the work of the Taskforce on
Innovation, Growth and Regulatory Reform.
"Our job is to help people and businesses thrive across the UK.
That was what taking back control was about. Reforming the way we
regulate will be a big part of delivering that for people."
Business Secretary said:
“Taking back control means setting regulation in a way that works
best for British businesses, workers and our wider economy.
“As an independent trading nation once more, we will use our
newfound freedoms to promote competition, unleash innovation and
enable the development of new technologies – without imposing
unwieldy burdens on business.
“By taking a more nimble approach, suited to our national
interest, we can maintain our valued high standards and cement
the UK’s status as an attractive place to start and grow
business.”
The consultation sets out five principles that will underpin the
Government’s approach to regulation to ensure it benefits the
British people:
- A sovereign approach: the UK will use its freedoms to take a
tailored approach to setting rules in a way that boosts growth
and benefits the British people
- Leading from the front: we will act nimbly to support the
development of new technologies
- Proportionality: where possible, the Government will use
non-regulatory options, allowing markets to move dynamically,
while acting decisively to put in place strong rules where they
are needed
- Recognising what works: regulations will be thoroughly
analysed to ensure they work in the real world.
-
Setting highstandards at home and globally: the UK will
pursue robust regulatory diplomacy and help to solve global
problems
Notes to editors
The TIGRR report made over 100 recommendations on how the UK can
reshape regulation and seize new opportunities from Brexit. Their
report can be found here.
The consultation today responds to the first part of the TIGRR
report which set out proposals for reforming the overall
framework for regulation.
The Government will respond to the remainder of the report in due
course.
