Batt O'Keeffe (Cork North West, Fianna Fail)
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International benchmarking statistics reveal that Ireland imposes a relatively low burden of regulation on business. The Forfás Annual Competitiveness Report 2010 states that Ireland's regulatory environment is one of the least restrictive in the OECD in relation to product market regulation, the time taken to comply with tax payments is one of the lowest in the OECD across all categories and Ireland's employment framework is less rigid than the OECD average.

The work to reduce red tape in Ireland is being progressed on two fronts. The High Level Group on Business Regulation works to fast-track simplifications to specific red tape issues identified by business; and an Inter-Departmental Group of officials from all Departments, having regulation affecting business, coordinates the measurement and reduction of administrative burdens in a systematic manner, based on the internationally recognized Standard Cost Model. The Government has decided in the National Recovery Plan 2011-2014 to bring forward the targeted 25% reduction of the regulatory burden on business from 2012 to end 2011.

To date the High Level Group has processed thirty specific red tape issues brought to its attention by business and continues to drive progress on a further thirty-eight items. The Group announced over €20m of annual business savings in its first Report and continues to work with business interests to identify opportunities for simplification. In addition, my Department is in the process of measuring other burden reductions achieved across Government. The results of this measurement exercise are expected to be published in the second half of 2011. Recent measurements by my Department have demonstrated a further potential €32.7m of savings for business, resulting from simplification in the company law area.

The measurement of administrative burdens using the Standard Cost Model is an exercise that was called for by business, as part of the 25% administrative burden reduction programme, and is being carried out on a prioritised basis across all Departments with any substantive regulation that affects business. My Department and the Central Statistics Office have already measured burdens arising from regulations under their responsibility and all other Departments will shortly measure the current costs on business arising from their regulation. Measurement is expected to be completed in 2011; simplification plans will then be developed and implemented.

Business workshops have already been held to identify ideas for simplification in the areas of Company Law and Employment Law and Health & Safety Law, and draft simplification plans are currently being prepared for implementation.