Budget deregulation will "save businesses £350 million"
Measures aimed at cutting “red tape” for business announced in
yesterday’s budget will save business £350 million, according to a
statement released by the Treasury today.
The measures announced include not extending the right to
request flexible working arrangements to employees of businesses
with fewer than 250 employees and not implementing the “Dual
Discrimination” provisions in the Equality Act.
George Osborne also confirmed that micro-businesses (employing
fewer than 10 people) and genuine start-ups would be excused “new
domestic regulation” for three years.
Nick Soret of RBS
Mentor
Employment Law & HR commented:
“The deregulation measures announced in the Budget mostly repeat
those in last week’s speech to the FSB by government minister Mark
Prisk, although the news that the government will not now be
implementing the Equality Act’s Dual Discrimination provisions as
expected in April is new.
“Whilst the headline changes are not particularly significant in
themselves – and the decision to stop further implementation of
employment regulation comes a little late, given the changes that
are already happening in April – George Osborne’s announcement
seems to represent a recognition that growth is dependant on the
success of SME businesses. It’s also – finally – a sign that this
government will take the promised action to reduce the burden of
“red tape” on small business. There’s clearly an ideological change
from the previous government, in that more regulation is not now
automatically seen as a good thing.
“But it’s important to note that not proceeding with new red
tape will not “save” business £350 million – it will simply mean
business won’t be any worse off, as no existing regulations are
being repealed.