Government launches full regulatory review to slash red tape
The government has launched a full review into all regulators across the country with a view to cutting red tape and capitalising on post-Brexit freedoms.
The full 12-week review calls on industry, businesses, consumers and regulators to streamline Smarter Regulation for the economy and ensure that regulators are working efficiently.
It was found that 39% of small businesses claimed that red tape is holding them back, prompting a review of the regulatory landscape to drive economic growth.
Khalid Talukder, co-founder of DKK Partners, commented: “Businesses have faced turbulent times over the past few years and it is time for the government to take action to support the recovery of SMEs and the economy. In the post-Brexit era we are experiencing, we must look to capitalise upon the opportunities it brings but this can only be achievable with government support.”
“As the UK goes for growth, our aim should be to develop an open marketplace for business activity, attractive to overseas investors and supportive of international relations. Strict regulations have held back business growth for too long and to retain our position as a financial hub and cement ourselves as a leader in FinTech, regulations must be eased to spearhead development.”
The review forms the next stage of the government’s smarter regulation and deregulation programme, aimed at improving safety, cutting business burdens and improving regulations for the economy. The findings will ensure regulators are made more accountable and responsive to the needs of the sectors they represent.
Wayne Johnson, CEO and co-founder of Encompass Corporation, commented: “While collaboration between businesses, the government and regulators, in the form of an evidence review, should shine a light on core issues affecting the financial services industry, the ultimate aims centre on fostering a more effective landscape that also enables growth.
“Within this, it is vital that both meeting regulatory requirements and powering business efficiency remain top of mind. Finding the right balance between the focus on regulation and innovation at all stages is key.
“Taking Know Your Customer (KYC) due diligence, for example, banks need more robust, efficient KYC processes to boost compliance, customer experience and find this efficiency.
”Across all areas of regulation, supporting innovation must be a strong consideration, and we should continuously work to create an environment that allows game-changing technology-driven solutions and processes, such as KYC process automation, to be developed and implemented in order for the benefits to be seen.”
Meanwhile, Kemi Badenoch, Secretary of State for Business and Trade, said: “I want us to use our Brexit freedoms to scrap unnecessary regulations that hold back firms and hamper growth. It’s clear that the regulators that enforce the rules can also sometimes be a blocker to businesses, so our review will seek to root out the bad practices with the aim of making companies’ lives easier and reducing costs for consumers.”
