31/03/2017.
Most national regulators are now obliged to have due regard to the potential to promote economic growth alongside their core delivery of protections, under a provision in the Deregulation Act 2015 that came into force on 29 March.
‘Growth Duty’ links to statutory guidance clarifying how regulators should fulfil their new role by
- applying an understanding of the business environment, their business community and individual businesses that they regulate
- minimising burdens on business productivity
- proportionate decision making
- demonstrating regard for the growth duty
They will also be asked to consider how the legislation and enforcement frameworks within which they work could adapt to emerging technologies and innovative business models.
Under additional obligations in the Enterprise Act 2016 that are not yet in force, they will have to report on the effect that growth duty has on the way they exercise their regulatory functions and the impacts this has on businesses.
The regulators and regulatory functions to which the growth duty applies are specified in ‘The Economic Growth (Regulatory Functions) Order 2017’. They do not include local authorities and fire and rescue authorities.