Select Committee · Public Accounts Committee

Principles of effective regulation

Status: Closed Opened: 21 May 2021 Closed: 16 Nov 2021 6 recommendations 12 conclusions 1 report

Government and Parliament use regulation – written rules about the way a policy should be delivered - to deliver public policy objectives across many areas, particularly where government does not provide or commission services directly. Well written, effective regulation supports more efficient and effective policy delivery - including reduced costs to the public purse, improved … Show more

Clear

Reports

1 report
Title HC No. Published Items Response
Sixteenth Report - Principles of effective regulation HC 176 15 Sep 2021 18 Responded

Recommendations & Conclusions

4 items
2 Recommendation Sixteenth Report - Principles of effect… Deferred

The Department and regulators have been slow to follow best practice in facilitating innovation.

The Department and regulators have been slow to follow best practice in facilitating innovation. The Government’s 2019 White Paper ‘Regulation for the 4th Industrial Revolution’ found that only 29% of businesses believed that government’s approach to regulation facilitates innovation. The Department aims to promote innovation in various ways, primarily through … Read more

Government response AI summary
The government agrees with the recommendation to require regulators to engage with businesses and adopt regulatory sandbox approaches, but states it already encourages such innovation and will consider how to build upon this after responding to a consultation that closed in October 2021.
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HM Treasury
3 Recommendation Sixteenth Report - Principles of effect… Deferred

Regulators may fail to protect citizens, businesses and the environment if they do not successfully...

Regulators may fail to protect citizens, businesses and the environment if they do not successfully adapt to major changes in their sectors. To remain effective, 6 Principles of effective regulation regulators must adapt and respond to change. Rapid technological development is disrupting traditional business models, the climate emergency is driving … Read more

Government response AI summary
The government agrees with the recommendation to ensure responsive frameworks and well-equipped regulators, but outlines generic principles and defers specific action, pending consideration of an ongoing consultation and future publication of a detailed response.
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HM Treasury
4 Recommendation Sixteenth Report - Principles of effect… Deferred

Regulatory bodies do not have a good enough understanding of the costs and benefits of...

Regulatory bodies do not have a good enough understanding of the costs and benefits of regulation, risking value for money. Robust analysis of the costs and benefits of regulatory activity is essential for effective regulation, value for money and accountability. The regulators we questioned were not able to put a … Read more

Government response AI summary
The government agrees with the recommendation to consult on and include proposals for robust analysis of regulatory costs and benefits, stating this work is underway as part of a consultation which closed in October 2021, and that its proposals will be set out in the …
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HM Treasury
17 Conclusion Sixteenth Report - Principles of effect… Deferred

An outcomes-focused regulatory approach is one characterised by setting overall outcomes or principles expected of...

An outcomes-focused regulatory approach is one characterised by setting overall outcomes or principles expected of the regulated industry, rather than specifying rules. This has the benefit of often being more responsive to change because the regulatory objective or outcome remains the same even where the process or activity being regulated … Read more

Government response AI summary
The government agrees with the underlying principle of balancing outcomes-based and rules-based regulation but defers specific action, indicating it will review responses to an ongoing consultation and publish its decisions later in 2021.
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HM Treasury

Oral evidence sessions

1 session
Date Witnesses
14 Jun 2021 Chris Carr · Department for Business, Energy & Industrial Strategy, Dame Melanie Dawes · Ofcom, Jaee Samant · Department for Business, Energy and Industrial Strategy, Sarah Albon · Health and Safety Executive, Sarah Munby · Department for Business, Energy and Industrial Strategy, Sir James Bevan · Environment Agency View ↗

Who gave evidence

6 witnesses
WitnessOrganisationSessions
Chris Carr · Director of Better Regulation Department for Business, Energy & Industrial Strategy 1
Dame Melanie Dawes · Chief Executive Ofcom 1
Jaee Samant · Director General for Market Frameworks Department for Business, Energy and Industrial Strategy 1
Sarah Albon · Chief Executive Health and Safety Executive 1
Sarah Munby · Permanent Secretary Department for Business, Energy and Industrial Strategy 1
Sir James Bevan · Chief Executive Environment Agency 1

Correspondence

4 letters
DateDirectionTitle
25 Oct 2021 Correspondence Catherine Little, Director General, Public Spending Head of Gove…
13 Jul 2021 Correspondence from Sarah Albon,Chief Executive, Health and Safety Executive, r…
29 Jun 2021 From cttee Correspondence from Sir James Bevan, Chief Executive’s Office, Environment Agen…
28 Jun 2021 Correspondence from Jaee Samant, Director General Market Frameworks, Department…