GOVERNMENT REGULATION FAILING BUSINESS AND UK COMPETITIVENESS
02/04/07 | 11:09
Commenting on the report Sally Low Director of Policy and External Affairs at the BCC said:
“Today’s report highlights serious cracks in the regulatory system which urgently need to be repaired if we are to realise the vision of a globally competitive economy.
“What is most worrying is that government, at both a UK and EU level, are failing to think small first. Considering that SMEs employ most of the private sector workforce and are the drivers of growth across Europe, this is a deeply concerning omission”.
Tim Ambler London Business School commented: “Government talks less regulation but has actually increased it by 50%. Parliamentarians have to power to stem the flow but fail to exercise it.” Key statistics in today’s report include:
UK findings
- 71% of RIAs assign benefits to business without quantifying them.
- 16% have no small firms impact test (against Cabinet Office guidance)
- Less than 8% of those that carry out a small firms impact test assign additional costs to small business.
- More than 50% of RIAs do not explore the ‘do nothing’ option.
EU findings
- less than 10% quantify the costs and benefits to business.
- Only one EU Impact Assessment (IA) quantifies the impact for SMEs. Another 38 identify additional costs but don’t quantify them.
- 98 (of the 160 produced between 2003-06) do not consider the cost to SMEs at all.
- Nearly 40% of EU IAs are targeted at non-binding instruments
ENDS
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MEDIA CONTACT:NOTES TO EDITORS:The British Chambers of Commerce (BCC) is the National Voice of Local Business.
The BCC sits at the heart of a powerful nationwide network of Accredited Chambers of Commerce serving business across the UK, which employ over five million people.