The Institute of Directors has claimed that the recurrent annual cost of employment regulations introduced in the past five years is £6 billion.

The IoD says the computation is based strictly on government figures and omits regulations for which such figures are unavailable.

Forum Response: Institute of Directors

Richard Baron, deputy head of the policy unit at the IoD, told ePolitix.com: "It is dispiriting to find that both the number of regulations and the cost has risen. And we have only looked at employment regulations, regulation in other areas has also risen sharply.

"It is small wonder that, with the regulatory and national insurance burdens on employers rising, more and more business people would rather not expand their businesses and take on employees. Regulation is holding back the thriving economy which we all need."