New legislation coming into force today (Tuesday 1 April) will
slash regulatory burdens on the chemicals industry – saving
businesses £40 million over the next six years.
The move as part of the Government's Plan for Change means nearly
all current fees and charges for chemical businesses are going
down. Changes are expected to lead to a total reduction of costs
by £40 million for businesses across the next six years – from
2025/26 to 2030/31.
Included in the changes is a new standard registration fee of
£2,222, which will mean a significant reduction to the cost of
registration for 92% of firms. Alongside this, the continuation
of the small and medium enterprise discounts and a reduction in
legal identity changes will ensure the chemicals industry is
fairly regulated and remains competitive.
This will relieve the UK's chemicals industry of unnecessary cost
burdens, create conditions for them to invest in new
infrastructure and delivering growth for the sector.
Environment Minister said:
The UK chemicals sector is world-leading but has faced a range of
challenges in recent years, including high regulatory costs.
As part of Plan for Change, we're reducing UK REACH fees by £40
million over the next six years, helping businesses continue to
deliver growth in this vital sector.
UK REACH is the regulatory regime that applies to many chemical
substances that are manufactured or imported into the Great
Britain. It exists to provide a high level of protection of human
health and the environment when chemicals are used.
To ensure UK REACH is enforced effectively, chemical businesses
pay fees to recover the cost of the services provided. The new
charges will ensure businesses pay for what they get.
The Government is committed to protecting human health and the
environment from the risks posed by chemicals. This includes
reshaping the UK REACH Work Programme in future years to ensure
it delivers the Government's ambitions, while also setting out a
clear direction of travel to support businesses and the chemicals
industry, taking account of UK REACH's relationship with
regulation in the EU.
