Standards & Guidance
UK government unveils plans to cut red tape
Tony Blair, the prime minister, has released a
government action plan designed to cut red tape and save business and the
voluntary sector over £2bn in administrative costs. The measures stretch across
19 government departments and plan to cut the administrative burden by 25% by
2010.
The Department of Trade
and Industry’s contribution is estimated at cuts in administrative costs of
up to £700m a year, and includes initiatives which are already being
implemented, to automate filing and access at Companies House and allow
companies to communicate electronically with shareholders rather than in
writing.
Pat McFadden, Cabinet Office minister, described the
plan as not just a new pledge, but a detailed and specific plan of action. The
initiative was welcomed by John Walker, Federation of Small Business policy
chairman, but he also warned that there have been too many false dawns on red
tape in the past, and officials must ensure the momentum of the announcement is
maintained through the measures’ implementation.
The Better Regulation Commission, which advises the
government on regulation and will review the plans, said that the early signs
were positive but it would be looking for more progress in 2007.
Brendan Barber, general secretary of the
TUC, said that while regulations should be
reviewed to ensure they are needed, "promises of an arbitrary yet precise cut of
25% in something that is impossible to measure runs the risk of undermining the
case for regulation and feeding red tape myths."
A report by the STUC accused the debate on
red-tape of “getting seriously out of hand” as a result of “the hysterical
contributions of employer bodies”. Grahame Smith, general secretary of the
Scottish union body, said swinging deregulation is dangerous for workers,
communities and the environment.
Links
Department of Trade and Industry
Cabinet Office
Better Regulation Commission
TUC
STUC
January, 2007 |