The growth duty came into statutory effect on 29 March 2017 under the Deregulation Act 2015 and requires regulators to have regard to the desirability of promoting economic growth, alongside the delivery of protections set out in relevant legislation.
The regulators and regulatory functions to which the growth duty applies are specified in the Economic Growth (Regulatory Functions) Order 2017. They include most national regulators but not local authorities nor fire and rescue authorities.
This guidance clarifies how regulators can work in accordance with the growth duty. In essence, this is by applying an understanding of the business environment, their business community and individual businesses that they regulate and the impact of their activities on businesses to ensure that they are acting where needed, and in a proportionate manner.
The Deregulation Act 2015 was extended by the Enterprise Act 2016, requiring regulators to formally report on the effect that the growth duty has on the way they exercise their regulatory functions and the impacts of this on business. However, this additional obligation is not yet in force, and BEIS will engage with regulators before it is introduced.