Written answers

Thursday, 10 July 2008

Department of Enterprise, Trade and Employment

Regulatory Reform

4:00 pm

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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Question 308: To ask the Tánaiste and Minister for Enterprise, Trade and Employment the progress made regarding the programme for Government proposal to review the regulatory regimes to better assist small and medium size businesses to conduct their own business; and if she will make a statement on the matter. [28645/08]

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)
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There are a number of commitments in the Programme for Government relating to regulatory reform. I am assuming that the Deputy's question refers to the reduction in 'administrative burdens' — or so-called 'red tape' — on business.

In so far as my Department is concerned, the Government has agreed that I should lead the effort across Government to reduce the administrative burden on business, including small and medium sized firms, arising from regulations.

In July 2007, the High-level Group on Business Regulation was established to seek concrete actions to reduce administrative burdens on business in five policy areas i.e. Taxation, Statistics, Environment, Health and Safety and Employment and Company Law. The Group comprises representatives of the business sector, trade union and relevant Government Departments and Agencies. In particular, the Group will seek to respond to specific suggestions from the business sector. I expect to publish the Group's First Report in the near future

In March 2008, the Government set a target to reduce the administrative burden of regulations on business by 25% by 2012. My Department is currently devising the approach and methodology to be used across Government and is responsible for coordinating the work across Government Departments and Agencies and for reporting on progress.

Initially, all Departments will be required to list the Information Obligations which their regulations impose on business. From that listing, Departments will assess which requirements are the most burdensome and will then measure the actual cost to business of these requirements. At that point, the most appropriate approach to achieving the overall 25% target will be re-examined.

Finally, as part of the Government decision last March, it was also agreed that in relation to proposals for future regulations, all Departments should (a) assess the proportionality of the burden imposed to the risk foreseen (b) measure the administrative cost on business (c) examine the impact on small business and (d) consider what education and advice requirements are necessary to improve compliance. This decision will be addressed through the Regulatory Impact Analysis (RIA) process.

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