Legislative and Regulatory Reform Act 2006

JurisdictionUK Non-devolved
Citation2006 c. 51


Legislative and Regulatory Reform Act 2006

2006 Chapter 51

An Act to enable provision to be made for the purpose of removing or reducing burdens resulting from legislation and promoting regulatory principles; to make provision about the exercise of regulatory functions; to make provision about the interpretation of legislation relating to the European Communities and the European Economic Area; to make provision relating to section 2(2) of the European Communities Act 1972; and for connected purposes.

[8th November 2006]

Be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—

1 Order-making powers

Part 1

Order-making powers

Powers

Powers

S-1 Power to remove or reduce burdens

1 Power to remove or reduce burdens

(1) A Minister of the Crown may by order under this section make any provision which he considers would serve the purpose in subsection (2).

(2) That purpose is removing or reducing any burden, or the overall burdens, resulting directly or indirectly for any person from any legislation.

(3) In this section "burden" means any of the following—

(a) a financial cost;

(b) an administrative inconvenience;

(c) an obstacle to efficiency, productivity or profitability; or

(d) a sanction, criminal or otherwise, which affects the carrying on of any lawful activity.

(4) Provision may not be made under subsection (1) in relation to any burden which affects only a Minister of the Crown or government department, unless it affects the Minister or department in the exercise of a regulatory function.

(5) For the purposes of subsection (2), a financial cost or administrative inconvenience may result from the form of any legislation (for example, where the legislation is hard to understand).

(6) In this section "legislation" means any of the following or a provision of any of the following—

(a) a public general Act or local Act (whether passed before or after the commencement of this section), or

(b) any Order in Council, order, rules, regulations, scheme, warrant, byelaw or other subordinate instrument made at any time under an Act referred to in paragraph (a),

but does not include any instrument which is, or is made under, Northern Ireland legislation.

(7) Subject to this Part, the provision that may be made under subsection (1) includes—

(a) provision abolishing, conferring or transferring, or providing for the delegation of, functions of any description,

(b) provision creating or abolishing a body or office,

and provision made by amending or repealing any enactment.

(8) An order under this section may contain such consequential, supplementary, incidental or transitional provision (including provision made by amending or repealing any enactment or other provision) as the Minister making it considers appropriate.

(9) An order under this section may bind the Crown.

(10) An order under this section must be made in accordance with this Part.

S-2 Power to promote regulatory principles

2 Power to promote regulatory principles

(1) A Minister of the Crown may by order under this section make any provision which he considers would serve the purpose in subsection (2).

(2) That purpose is securing that regulatory functions are exercised so as to comply with the principles in subsection (3).

(3) Those principles are that—

(a) regulatory activities should be carried out in a way which is transparent, accountable, proportionate and consistent;

(b) regulatory activities should be targeted only at cases in which action is needed.

(4) Subject to this Part, the provision that may be made under subsection (1) for the purpose in subsection (2) includes—

(a) provision modifying the way in which a regulatory function is exercised by any person,

(b) provision amending the constitution of a body exercising regulatory functions which is established by or under an enactment,

(c) provision transferring, or providing for the delegation of, the regulatory functions conferred on any person,

and provision made by amending or repealing any enactment.

(5) The provision referred to in subsection (4)(c) includes provision—

(a) to create a new body to which, or a new office to the holder of which, regulatory functions are transferred;

(b) to abolish a body from which, or office from the holder of which, regulatory functions are transferred.

(6) The provision that may be made under subsection (1) does not include provision conferring any new regulatory function or abolishing any regulatory function.

(7) An order under this section may contain such consequential, supplementary, incidental or transitional provision (including provision made by amending or repealing any enactment or other provision) as the Minister making it considers appropriate.

(8) An order under this section may bind the Crown.

(9) An order under this section must be made in accordance with this Part.

Restrictions

Restrictions

S-3 Preconditions

3 Preconditions

(1) A Minister may not make provision under section 1(1) or 2(1), other than provision which merely restates an enactment, unless he considers that the conditions in subsection (2), where relevant, are satisfied in relation to that provision.

(2) Those conditions are that—

(a) the policy objective intended to be secured by the provision could not be satisfactorily secured by non-legislative means;

(b) the effect of the provision is proportionate to the policy objective;

(c) the provision, taken as a whole, strikes a fair balance between the public interest and the interests of any person adversely affected by it;

(d) the provision does not remove any necessary protection;

(e) the provision does not prevent any person from continuing to exercise any right or freedom which that person might reasonably expect to continue to exercise;

(f) the provision is not of constitutional significance.

(3) A Minister may not make provision under section 1(1) or 2(1) which merely restates an enactment unless he considers that the condition in subsection (4) is satisfied in relation to that provision.

(4) That condition is that the provision made would make the law more accessible or more easily understood.

(5) In this section and sections 4 to 7, to "restate" an enactment means to replace it with alterations only of form or arrangement (and for these purposes to remove an ambiguity is to make an alteration other than one of form or arrangement).

S-4 Subordinate legislation

4 Subordinate legislation

(1) An order under this Part may only confer or transfer a function of legislating on or to—

(a) a Minister of the Crown;

(b) any person on or to whom functions are conferred or have been transferred by an enactment; or

(c) a body which, or the holder of an office which, is created by the order.

(2) An order under this Part may not make provision for the delegation of any function of legislating.

(3) An order...

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