February 09, 2011

Deregulation - too hard or just unglamorous?

An enjoyably pointed post from Eamonn Butler of the Adam Smith Institute, suggesting the best thing the government can do for business growth is to "get out of the way".
The trouble is, though, that deregulation has been found too difficult. Nick Clegg's intended repeal of outdated laws has been put in a drawer because there's too much outdated law for him to get his head round
The trouble is, it's grinding, detailed work and it's not glamorous. Clegg's non-department was the wrong place for this task. The Business Department should be driving it, but goodness knows what they're doing. Maybe Vince's ego is obstructing micro measures.

Strategically it's perfectly clear what the government should be doing. However, they've been criticised for lacking a growth strategy, as if that was a macroeconomic issue. So expect something botched in the budget.

In fact the government has had plenty of micro input. They don't need to do the whole thing at once, they just need to make their masters officials get on with it.

0 comments: