In his first speech as business secretary, Sajid Javid will today announce measures to support entrepreneurs and job creation as part of the Enterprise Bill which will feature in the Queen’s Speech.
Announcing the plans in Bristol, Javid will say the government’s target for cutting red tape will look beyond Whitehall and extend to independent regulators, which will be expected to contribute at least £10bn.
Javid will say: “As part of our long-term economic plan, we will sweep away burdensome red tape, get heavy handed regulators off firms’ backs and create a Small Business Conciliation Service to help resolve disputes.”
The announcement comes as the European Commission is expected to launch proposals today to cut red tape in Europe following recommendations for reform from a UK-led taskforce.
The government’s Enterprise Bill will introduce the creation of a Small Business Conciliation Service to help settle disputes between small and large businesses, particularly over late payment practices.
Additionally, the business secretary will announce the extension and simplification of Primary Authority. The service allows businesses to get advice on regulation from a single local council which must be adhered to by all other councils.
John Allan, National Federation of Small Businesses (FSB) chairman, said: “Our members have been clear on the need to make progress on cutting burdensome red tape and on addressing issues like the billions owed to small businesses in overdue payments. These are not easy issues to tackle and we will need the minister to work closely with our members and the wider business community to find solutions.”
According to the FSB, 53% of small businesses want new government to focus on reducing regulatory burden over the next five years, followed by introducing a more simplified tax system (51%) and reforming business rates (44%).
