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Regulations 'harming British companies'

May 20 2009

There is little communication between European Union (EU) and UK regulatory systems for businesses, with the volume of new legislation reducing the competitiveness of firms, says the British Chambers of Commerce (BCC).

It adds that MPs are not acting to stem the level of new laws coming to Britain from Europe, meaning the competitiveness of the UK's small businesses is being harmed.

David Frost, director general of the BCC, says a 'clear consultation process' between Brussels and Britain is needed.

'Without timely engagement and substantive consultation, the UK's ability to influence EU policy to the benefit of British business, and also the EU as a whole, is severely limited,' he adds.

According to the BCC, the cost of regulation to businesses is £76 billion since 1998, with £53 billion of this coming from the EU.

The BCC recently released a manifesto ahead of the European parliamentary elections this summer, stating there should be a radical review of EU and member state legislation.

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