The UK Parliament House of Lords Industry and Regulators Committee has published a report warning that unclear Government guidance, legislative constraints and the need for regulators to balance growth with other statutory duties could leave regulators unable to meet the Government’s expectation that they support innovation and economic growth. The report argues that this could deter investment in the UK, and calls for clearer direction on how regulators should weigh growth against protections such as consumer and environmental safeguards. It also says regulators need to provide greater speed and certainty in decision-making so businesses can invest and plan with more confidence. The Committee urges the Government to provide political cover where it wants regulators to take a less risk-averse approach, and to legislate where necessary so the regulatory framework can adapt to new technologies, products and services, including through a possible Regulatory Reform Bill. It also calls for an assessment of whether the Government’s Action Plan will reduce the actual cost of regulatory compliance rather than only administrative costs, wider and faster use of lead regulator models across and within departments, and better metrics for sponsoring departments to hold regulators accountable for timeliness and outcomes. For regulators, the report highlights faster internal processes, more proactive engagement with industry and greater use of regulatory sandboxes to test innovative products, services and technologies.
UK Parliament 2026-05-12
UK Parliament House of Lords Industry and Regulators Committee calls for clearer growth guidance and faster regulatory decisions
The UK Parliament House of Lords Industry and Regulators Committee warns that unclear Government guidance, legislative constraints and competing statutory duties risk leaving regulators unable to meet expectations to support innovation and economic growth, potentially deterring investment. It calls for clearer direction on balancing growth with consumer and environmental protections, political backing and legislative change where a less risk-averse approach is desired, and better metrics and lead regulator models to improve accountability and reduce regulatory costs. The report also urges regulators to speed up processes, engage more proactively with industry and expand regulatory sandboxes.