Under the Enterprise Act 2016, the Insolvency Service and all other statutory regulators have a duty to report against the Government’s Business Impact Target. The target for the 2015-2020 Parliament is a £10 billion reduction in the cost of regulation to business.
The objectives of the BIT are to:
- Provide a wider focus for the reduction of regulatory burden on business and voluntary or community bodies (defined as “business”), enabling business to free up resources and boost productivity;
- Ensure that there is even greater transparency around the impact of regulation on business; and
- Provide greater incentives for regulators to design and deliver policies that better meet the needs of business
Reporting against the Business Impact Target
The Insolvency Service is required to assess the impact of any regulatory activity or changes to current activity by the Recognised Professional Bodies which qualify as impacting on business. We must publish these assessments annually from 2017. This will enable the Government to know whether it is on course to meet the
Business Impact Target.
We must also publish a summary of new and updated Regulatory Provisions which fall under the statutory and administrative exemptions annually: these are known as Non-Qualifying Regulatory Provisions (NQRPs) and do not need to be costed.