APPENDIX ONE
TERMS OF REFERENCE
In February 2009 the Regulatory Reform Committee
asked the NAO to undertake research into whether Government departments
understand how businesses respond to and interpret regulations.
This included:
— what is known in Government about "regulatory
myths" and what is being done to ensure that regulations
are implemented as intended; and
— how departments seek to understand whether
regulations are being interpreted in practice and what drives
businesses' perception and interpretation of regulations; and
— what action departments are taking to
ensure that businesses understand and comply with the requirements
of regulations.
These issues will be addressed by looking at
how two departments—HSE and BERR—approach these issues.
The rationale for choosing HSE and BERR is that businesses identified
health and safety and employment law as the most "unnecessary"
areas of regulation in the NAO's 2007 survey. The NAO will also
use its 2009 business survey to address these issues in more detail.
As part of this work, the NAO will consider
what is known about whether legislative requirements are translated
by businesses, including consultants, in the manner which was
intended. This will draw on existing departmental research and
the NAO's annual survey.
The NAO agreed to consider these issues and
prepare a briefing paper for the Committee summarising what action
is being taken in HSE and BERR.
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