British businesses feel the pinch of ‘bureaucratic burden’

British businesses are experiencing a signifcant financial ‘burden’ as a result of new regulations introduced since 1998, according to new research by the British Chambers of Commerce (BCC).

The BCC ‘Burdens Barometer,’ which measures the financial implications of legislation introduced by the Government, has revealed that the cumulative cost of new regulations for UK businesses increased by £10 billion in the last year, taking the total figure to almost £66bn.

The BCC is now urging the Government to carry out a review of two of the ‘top ten burdens’ – the Data Protection Act and the Flexible Working Regulations 2002.

‘The success of the Government’s drive for better regulation must be judged on the extent to which the UK’s regulatory burden has been reduced,’ said Sally Low, director of policy at the BCC.

‘On this basis the Government’s record does not stand up to scrutiny.’

However, for the first time since the study began, three new regulations, including the Fire Regulatory Reform Order, have been found to provide businesses an unprecedented annual saving of around £67 million.

Whilst many view this as a step in the right direction, Professor Francis Chittenden from the Manchester Business School, claims that more must be done to curb the spiraling cost of new legislation for UK enterprises.

‘The annual costs of regulation are still rising and Government must deliver much more if its promises to business are to be realised,’ he said.