Government unveils 'action plan' to tackle red tape

Licensees and other small business people can look forward to a relaxation of red tape if a government 'action plan' to tackle the issue proves successful.

Chancellor Gordon Brown has revealed a new strategy aimed at replacing rules deemed as unnecessary with a "risk-based approach".

The announcement, launched in front of business leaders in Downing Street, follows Labour's manifesto commitment to cut red tape and ensure that the public interest is kept with the "minimum unnecessary bureaucracy" (The Publican, May 2).

Unveiling the plans, Mr Brown said he would be consulting with businesses to identify regualtions that should be removed or simplified.

Legislation planned for early next year will cut the number of regulatory bodies from 29 to seven, with a bill to remove unessecary and outmoded laws coming later.

"In a risk-based approach there is no inspection without justification, no form filling without justification, and no information requirements without justification," said Mr Brown.

"Instead of routine regulation attempting to cover all, we should adopt a risk-based approach which targets only the necessary few."

The Chancellor added that the government would focus its energies on dealing "not with every trader, but with the rogue trade, the bad trader who should not be allowed to undercut the good".

The measures will come as welcome news to licensees. A recent study by the British Chambers of Commerce (BCC) showed the number of business regulations had risen by 46% in the first half of 2004, compared with a year earlier.

Nick Bish from the Association of Licensed Multiple Retailers said the plans represented an "excellent prospect" and a reward after years of lobbying by the industry.

But he added that problems would remain. "The local authorities are planning to go out reguarly to carry out inspections once the Licensing Act comes into effect, but this is simply not necessary," he said.