Role of Oversight Bodies for Regulatory Reform

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Role of Oversight Bodies for Regulatory Reform

• Claire Chaubert
• February 2007

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Regulation
is any government measure that seeks to change
the behaviour of individuals or groups
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Why does Regulation matter?

• Government intervention can
• Create unnecessary bureaucracy for private and
  public sectors
• Add to firms costs
• Reduce innovation, productivity and ultimately
  growth of the economy
• Distort competition, e.g. create barriers to new
  firms
• Damage small businesses
• Have adverse impacts on different groups
• But regulation is central to making markets work

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Institutions

• Better Regulation Executive
• Better Regulation Commission
• Line Ministries
• Cabinet Committees (Panel on Regulatory
  Accountability)
• Parliament
• National Audit Office

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Better Regulation Executive

• In 2005 the new Better Regulation Executive
  was established
• Supports and challenges departments and
  regulators to reduce and remove regulation across
  the private, public and voluntary sectors
• The Better Regulation Commission an independent
  organisation made up of people from business,
  trade unions, professions and voluntary sector

• Listens to frontline staff, business and other
  stakeholders

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Key Tools for regulatory oversight

• Principles of good regulation
• Regulatory Impact Assessments
• RIA Guidance
• Effective consultation
• Networks across government
• Policy and legislative clearance procedures

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Line Ministries
Three levels of control
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Ministers

• PANEL FOR REGULATORY ACCOUNTABILITY
• (Top level committee chaired by PM)
• Scrutiny role on departmental regulations
• Approves all regulations costing 20m
• Challenges and, where necessary, approves
• over-implementation of EU law

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UK Parliament

• All legislation laid before Parliament must be
  accompanied by an RIA
• Includes secondary legislation such as Statutory
  Instruments, Orders, etc

• Increased scrutiny of RIAs in legislative
  process
• Select Committee interest

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More information

• Websites
• www.betterregulation.gov.uk
• www.cabinetoffice.gov.uk/regulation
• www.brc.gov.uk