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Davidson Review of the implementation of EU legislation final report

Lord Davidson QC today published his final report on the implementation of European legislation in the UK. It proposes action to cut the burden of regulation particularly in the areas of consumer sales, financial services, transport and waste - creating an estimated £670 million saving to business and consumers.

The review, commissioned by the Government as part of its better regulation agenda, concluded that over-implementation may not be as widespread in the UK as is sometimes claimed. However, there are areas in the stock of existing legislation where regulatory burdens due to gold-plating, double-banking and regulatory creep in the past have led to unnecessary regulatory burdens.

Lord Davidson QC said:

'In some cases, additions made during the transposition of European legislation provide benefits to business such as greater legal clarity and the streamlining of existing domestic legislation. However, there are examples where UK implementation could be less burdensome without harming the intended protection provided by the regulation. My proposals should enable business to compete more effectively. My hope is that they will also reduce the chance of unnecessary over-implementation in the future.'

Proposals to simplify existing legislation include:

• MOT Tests - UK authorities should consult on reducing test frequency for passenger cars towards EU minimum requirements balanced against potential safety implications;
• Fisheries - Proposed Marine Bill should be used to repeal outdated primary legislation and consolidate much of the rest;
• Insurance Mediation - UK authorities should consult on removing the gold-plating by the end of 2007.

The report notes recent improvements in the way European law is brought into effect in the UK but calls for stronger measures to help prevent future over implementation. The proposals to ensure that the UK economy remains competitive include:

• Departments should be required to justify maintaining existing national standards higher than the European minimum.
• UK post-implementation reviews should be timed to allow departments to compare implementation with other Member States.

The Review received over 160 written responses from businesses and their representative bodies, government departments, academics, NGOs and others. Initial estimates suggest that the simplification recommendations will benefit UK businesses and the wider public by up to £240m and £430m respectively

Notes to Editors

1. The review adopted a broad definition of over-implementation that included:
   • gold-plating, such as extending the scope of European legislation;
   • double-banking, i.e. failing to streamline the overlap between existing legislation in force in the UK and new EU-sourced legislation; and
   • regulatory creep, such as uncertainty created by lack of clarity about the objectives or status of regulations and guidance, or over-zealous enforcement.
2. The report is available online on the Davidson Review pages.
3. Lord Davidson QC was commissioned by the Government to carry out his review in November 2005. In March 2006 he became Advocate General for Scotland.
4. The Better Regulation Executive in the Cabinet Office oversee the Governments drive for better regulation. More information is available on the BRE website.

Cabinet Office Press Office, Press Officer: Stephen Coomber

Tel: 020 7276 0317
Fax: 020 7276 0618

www.cabinetoffice.gov.uk