Recommendation 2

Defra has not set out precisely what environmental regulation should achieve and how the regulators should be set up to achieve this. Regulators currently operate across a complex landscape, with overlapping responsibilities, differing cultures and inconsistent approaches. Yet Defra has not set out clearly what environmental regulation is intended to achieve, nor how regulators should be configured to deliver those outcomes. Regulators want greater clarity from Defra. The lack of strategic direction from Defra limits the regulators’ ability to plan coherently, target resources effectively or demonstrate how their work contributes to statutory environmental objectives. Defra sees no overall benefit in merging the regulatory responsibilities of Natural England and the Environment 3 Agency, despite forthcoming changes to water regulation presenting an opportunity for further wide-ranging reform. The Environment Agency has yet to establish a responsive and proportionate approach to inspections, and both regulators lack clarity from Defra over where they are empowered to take risks and innovate. recommendation a. As a first step towards developing a coordinated plan, Defra should set out a clear vision for environmental regulation with a focus on what matters and what makes the most difference b. Defra should take the opportunity presented by the changes in water regulation to explore the merits of bringing all its regulatory functions together to improve efficiency and enable the establishment of a single organisational culture which balances protection and enhancement of nature and the environment with supporting economic growth. c. If Natural England and the Environment Agency are not to be merged, then Defra should conduct a thorough examination to determine where they could cooperate more closely, such as in planning, legal functions, comprehensive advice and IT.