Vince Cable to chair tough new cabinet committee to reduce regulation

12.00.00am BST (GMT +0100) Thu 1st Jul 2010

A tough new Cabinet committee with the job of reducing the heavy burden of red tape on business, which is chaired by Business Secretary Vince Cable, met for the first time today.

Vince Cable Secretary of State for Business

As the Deputy Prime Minister launched the "Your Freedom" campaign to change the balance of power away from the state, the Reducing Regulation Committee discussed its fundamentally different approach to regulation and began its major review of all regulations in the pipeline inherited from the last Government.

The Committee, which includes Chief Secretary to the Treasury Danny Alexander and Cabinet Office minister Francis Maude, will ensure that there is a robust case for any new regulations. It has the unprecedented power to send burdensome red tape back to Departments and also guarantees that all other options have been considered before more regulations are introduced.

Chair of the Committee, Business Secretary Vince Cable said:

"As the Deputy Prime Minister said today, we need to change the balance of power away from the state and back to individuals, businesses and communities. For too long, there has been a misplaced notion that Government's job is to regulate. That is not the case. Regulation should be the last resort.

"This committee, along with the new "challenge group", will help change the culture of Government and find new ways of solving problems, reducing the red tape that is strangling enterprise.

"We need businesses to drive the growth our economy needs, not be tied up with form filling, and the Government is determined to do all it can to make that happen."