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FSB in Scotland calls for regulatory overhaul

By Jamie Lawrence | February 16, 2012

The regulatory burden is stifling Scottish SMEs, according to the FSB. Image courtesy of: sxc.hu
The regulatory burden is stifling Scottish SMEs, according to the FSB. Image courtesy of: sxc.hu
The Federation of Small Businesses (FSB) has said that small firms in Scotland are being hurt by the country’s current system of regulation.

According to the group, which is urging ministers to set up a statutory body to handle local business regulation, post-devolution regulation has become “burdensome or ineffective.”

The FSB will tell a local authority conference in Fife that councils across Scotland have made little progress in tackling bad regulatory practice.

In addition, the organisation wants to see the Scottish Government adopt a national approach to regulation, unless there is an “overwhelming case” for localism.

Last December, the Scottish Government said they open consultations over a Better Regulation Bill which would come into a play in 2012-2013 to bolster economic growth.

FSB policy manager Susan Love said: "We believe that Scotland's approach to regulation is hurting the country's interests.

"We also believe that councils can do a lot to help local businesses survive and thrive, but they're letting businesses down by failing to tackle bad regulatory practice.

"We've demonstrated that the same problems occur time and again and that's unacceptable at a time when we need government at all levels to support economic growth."

The FSB will present its findings to a Convention of Sccotish Local Authorities (Cosla) conference in St Andrews, Fife.

Cosla said it welcomed the FSB’s support in improving the regulatory landscape for small businesses.

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