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Regulation in Practice - The Regulators' Compliance Code

The Regulators' Compliance Code asks regulators to perform their duties in a business-friendly way, by planning regulation and inspections in a way that causes least disruption to the economy.

Regulators should consider the Code when determining policies, setting standards or giving guidance in relation to their duties.

The Code was drafted in response to the Hampton Review of the UK’s regulatory system, which proposed the principles of better regulation based on a risk-based approach and proportionality to regulatory enforcement.

It asks regulators to consider:

• Supporting economic progress
  Performing regulatory duties should not impede business productivity.
• Risk assessment
  Undertaking a risk assessment of all their activities.
• Information and advice
  Providing information and advice in a way that enables businesses to clearly understand what is required by law.
• Inspections
  Only performing inspections following a risk assessment, so resources are focused on those least likely to comply.
• Data requirements
  Collaborating with other regulators to share data and minimise demand on businesses.
• Compliance and enforcement actions
  How formal enforcement actions, including sanctions and penalties, should be applied following the Macrory principles on penalties.
• Accountability
  Increasing the transparency of regulatory organisations by asking them to report on outcomes, costs and perceptions of their enforcement approach.

By ensuring that regulators review their policies, the Government is confident that the Code will help deliver a risk-based approach to the exercise of regulatory activity. High-performing, compliant businesses will bear less of a burden, with regulators focusing their efforts on rogue and higher-risk businesses.

Regulators' compliance code: statutory code of practice for regulators  (107KB)

Compliance Code workshop

•  (166KB)
• Applying the Compliance Code - An Implementation Workshop for Regulators - Presentation - 27 Feb 2008  (314KB)

Compliance Code consultation

The Compliance Code consultation closed in August 2007 and the Government published its response in October 2007. Both documents are available below:

• A code of practice for regulators: a consultation. Consultation on the regulators’ compliance code and the scope of the code and the principles of good regulation  (310KB)
• Government response to the consultation on the draft regulators' compliance code and the application of the principles of good regulation  (471KB)

The Government laid the Code before Parliament during autumn 2007, and it will come into force on 6 April 2008.

Compliance Code consultation responses

Responses to the Compliance Code consultation are available:

Compliance code: consultation responses A-C  (2014KB)

Compliance code: consultation responses D-H  (1903KB)

Compliance code: consultation responses I-L  (346KB)

Compliance code: consultation responses M-O  (1117KB)

Compliance code: consultation responses P-S  (1616KB)

Compliance code: consultation responses T-U  (349KB)

Compliance code: consultation responses W-Z  (185KB)

Data - sharing and protection for businesses

The Information Commissioner has provided guidance for businesses on data-sharing and protection.

Letter from the Information Commissioner on data protection and the sharing of regulatory data on businesses  (1095KB)

Please contact Olu Fasan if you have any questions about the Compliance Code.

Phone: 020 7215 0318

Email: olu.fasan@berr.gsi.gov.uk

Status of the Enforcement Concordat and relationship with the Compliance Code

The Compliance Code does not replace the Enforcement Concordat, introduced in 1998. The Enforcement Concordat should continue to apply to those who have adopted it. However, the Government proposes to revise the Concordat to bring it up to date with the Compliance Code.

The Enforcement Concordat, the Good Practice Guide, and information about the proposal to update the Concordat are available on this site.