Select Committee on Regulatory Reform First Special Report


SUMMARY OF RECOMMENDATIONS AND CONCLUSIONS


1.  We recommend that, as a matter of urgency, the Cabinet Office should retrospectively assess the estimates of costs and benefits that have previously been submitted to the House for each RRO with a view to establishing whether or not the estimated savings have been realised and that, if the savings cannot be validated, the Cabinet Office should investigate why and suggest how the RIA process or the delivery of benefits itself could be improved. (Paragraph 25)

2.  We reaffirm the recommendation of our predecessor Committee that Departments should be assessed on their progress in removing unnecessary regulations and controls and not simply on their progress in simplifying measures. We recommend accordingly. (Paragraph 26)

3.  Given the range of views expressed in the consultation submissions, and in the interests of completeness, we consider that the individual submissions be published on the BRE website alongside its brief summary. We recommend accordingly. (Paragraph 35)

4.  We invite the House to consider whether the Part 1 of the Bill should be amended to reserve further specified areas from the scope of the new powers (and, if so, to identify the areas to be reserved). (Paragraph 50)

5.  We recommend that Part 1 of the Bill should be amended to provide scope for an effective veto, on the following basis:

first, during the preliminary period for procedural consideration, it should be possible -

for either House of Parliament by resolution, or

for the relevant committee of either House charged with reporting on the order by recommendation (if not rejected by House resolution),

not only to vary the Minister's recommended procedure on a given draft order, but also to determine that the Part 1 procedure should not apply to it at all;

secondly, if that determination has been made, no further draft order to the same effect (or to the same effect but for modifications) should be laid within two years of the determination date. (Paragraph 59)

6.  We invite the House to consider whether - in the case of super-affirmative instruments (however introduced by the relevant Minister) - the Houses or their committees should have their power of suggesting amendments reinforced by a provision to the effect that, if the amendments were agreed by both Houses, the Minister would either have to take the amendments on or discontinue his proposal to legislate by order. (Paragraph 60)

7.  We recommend that the Bill should be amended to reinforce Parliamentary procedures in relation to Part 1 orders, so as to reduce the risk of effective scrutiny being by-passed. We offer three options (mutually exclusive in structural terms), in ascending order of preference, for consideration by the House. The first option is closest to the current text of the Bill, the second goes further and the third further still. But none of them fundamentally alters the Bill and none of them extends the scrutiny period beyond what the Cabinet Office states that it needs itself. (Paragraph 65)

8.  We invite the House, as a first option, to consider amending Part 1

  • to change the 21 day time limit (for not following the Minister's recommended procedure) into a 30 day time limit, and then -
  • to provide that the parliamentary time limits for consideration of a Part 1 order should be adjustable upwards, with a maximum adjustment of 30 days, on -

a resolution of either House, or

a recommendation of the responsible committee of either House (not rejected by such a resolution). - (Paragraph 67)

9.  We invite the House to consider, as a second option providing for stronger reinforcement of Parliamentary control, amending Part 1 -

  • to remove the option of negative procedure,
  • to merge all time limits into a 60 day limit both for scrutiny and for either House not to follow the Minister's recommended procedure, and also
  • to provide that the Parliamentary time limits for consideration of a Part 1 order should be adjustable upwards, with a maximum adjustment of 30 days, on

a resolution of either House, or

a recommendation of the responsible committee of either House (not rejected by such a resolution). - (Paragraph 71)

10.  We invite the House to consider, as a third option providing for still stronger reinforcement of Parliamentary control, amending Part 1 -

  • to delete the negative option,
  • to introduce a default rule of super-affirmative procedure,
  • to merge all time limits into a 60 day limit (both for scrutiny and for either House not to follow the default procedure), and also
  • to provide that the Parliamentary time limits for consideration of a Part 1 order should be adjustable upwards, with a maximum adjustment of 30 days, on -

a resolution of either House, or

a recommendation of the responsible committee of either House (not rejected by such a resolution). (Paragraph 73)

11.  The Cabinet Office's Final Regulatory Impact Assessment in effect addresses four possibilities: doing nothing; altering parliamentary procedures alone; adding extras to the 2001 Act; and providing for radical change by conferring on Ministers a power with no outer limit on coverage, as in Part 1 of the Bill. In summary, this Special Report offers for consideration a fifth possibility: leaving the outer limit on coverage unspecified while identifying areas that should be off limits, as not appropriate for delegated legislation, and also tightening aspects of Parliamentary control. All of the recommendations and issues highlighted for consideration in this section identify ways in which the Bill can be amended at Committee and/or Report Stage in a way that ought to be manageable if the principle of the Bill is accepted by the House. (Paragraph 74)

12.  We recommend that the Standing Orders be amended to require the responsible Committee to assess the validity, in relation to any order, of any new preconditions (for example the first precondition: that the policy objective could not be satisfactorily secured by non-legislative means). (Paragraph 77)

13.  In order to undertake inquiries into regulation more generally, we recommend that the Standing Orders of any successor committee also include the same powers as those granted to departmental select committees under S.O. No. 152. (Paragraph 78)

14.  We recommend that the relevant Committee be able to recommend that no further draft order to the same effect (or to the same effect but for modifications) should be laid within two years. In our view, it is essential that the Standing Orders reflects this provision so that the committee has power to indicate its view on the merits of an order i.e. as to whether an order should be made or not and - in the case of a super-affirmative - whether it should be amended. (Paragraph 81)

15.  We also recommend that the current provision, as set out in S.O. No. 18(1)(b), that allows us to trigger a debate on the motion to approve the order be retained and supplemented by a further provision to allow the relevant successor committee to require a debate to be held, if (in the committee's view) a draft order is of sufficient political or legal importance (Paragraph 82)

16.  The revisions to the Standing Orders, as recommended, would in our view remove uncertainty and would enhance the power of the committee to scrutinise the draft orders while also providing an opportunity for other Members to debate the orders, regardless of whether they had been scrutinised under the super-affirmative procedure. (Paragraph 84)

17.  We recommend that the resource implications of the eventual provisions of any Act for our successor committee be assessed at the earliest opportunity with a view to identifying how best the expected extra workload can be scrutinised effectively.(Paragraph 85)


 
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