Last updated: 24 June 2009
25 October 2005
CAB 057/05
The UK Presidency today welcomes action by the European Commission that will save business money by removing unnecessary regulatory burdens.
The European Commission is announcing that it will simplify certain EU laws to make it easier for companies to do business in Europe. There will be a focus on making laws clearer and more consistent, thereby reducing compliance costs for business.
The Commission is tackling a wide range of legislation, including targeting over 100 specific proposals, in a move that marks another significant step forward on the EU's better regulation agenda.
There will be a new rolling programme for simplification up to 2008, covering issues that have been identified following consultation with business and member states.
Welcoming the announcement, UK Minister for the Cabinet Office with responsibility for better regulation, John Hutton said: “The UK Presidency fully supports this initiative by the Commission. Simplification of current legislation can bring real benefits to EU business. This Communication is further welcome evidence that the Commission is pushing forward with commitments it has made to modernise the EU regulatory framework.”
UK Secretary of State for Trade and Industry, Alan Johnson – who has chaired the Competitiveness Council of Ministers during the UK Presidency – also welcomed the announcement. He said:
“The challenge now is to turn words into action and to ensure that Better Regulation remains at the top of the EU agenda.
Simplification of existing EU law is a vital element of the growth and jobs agenda and the Commission's programme is rightly focused on improving the competitiveness of EU firms. The Commission and business must now work together to shape the individual measures in the programme and ensure delivery of results that make a real difference.”
Areas that will be subject to simplification include food labelling, pollution control, statistics and company law. The Commission has also announced its intention to review the regulatory framework that applies in particular sectors, with a view to simplification, starting with automotive vehicles, construction and waste.
John Hutton added: “The automotive sector is a good example of an area in which the regulatory framework that has developed over the years can be streamlined to improve its clarity and consistency, reducing costs for the automotive manufacturing sector.”
The aim of this initiative is to simplify EU legislation without changing the policy objective. For example, in some areas, such as food labelling and environmental legislation, conflicting legal requirements and definitions have appeared as the regulatory framework has developed over time.
Simplification should remove these inconsistencies, making it easier for business to comply with the law and reduce the administrative costs of doing so.
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