One-in one-out red tape rules will cover licensing shake-up

The Home Office has confirmed its overhaul of the licensing regime will be covered by the new "one-in, one-out" rules on regulation.

The Department for Business, Innovation and Skills (BIS) announced today the new rules would begin on September 1.

This means when ministers introduce new regulations which "impose costs on business" they will have to remove a similar rule.

And the new system promises to "capture the net cost to business of any given measure". This means the benefits to business will be offset against the costs to business, BIS said.

A Home Office spokesman told The Publican ​the licensing regime changes would be covered by the new system.

"It will come under that, but it's a while before we have to consider it, as the changes will not come in until next year," he said.

The Home Office is currently consulting on plans to shake-up licensing, including introducing a late-night levy and giving greater powers to police and residents over licensing decisions.

Speaking about the new rules on regulation, Business Secretary Vince Cable said: "By ensuring regulation becomes a last resort, we will create an environment that frees business from the burden of red tape, helping to create the right conditions for recovery and growth in the UK economy."

The Forum of Private Business gave a tentative welcome to the proposed changes.

"It is good to see the government pushing ahead with its commitment to improving the regulatory landscape," said the FPB's head of campaigns Jane Bennett.

"The concept of introducing regulations only as they are needed is absolutely necessary given the existing burden on small businesses, but it will require a change in behaviour from many government departments."