The trade secretary, Stephen Byers, has attacked those who confuse red tape with legislation required to provide minimum standards at work. Speaking to the Equal Opportunities Commission on Wednesday, Byers criticised those who saw all regulation as bad regulation.

"There are those who say that paying a minimum wage is a bureaucratic burden," he said. "Try telling that to the security guard who was being paid £1.80 an hour for night and weekend working and who now has his hard work rewarded by his pay being more than doubled."

He was critical of those who sought to repeal the government's workplace laws. "Some say being required to provide four weeks paid holiday a year is red tape. Claims that red tape is costing business more that £10 billion are simply wrong. The majority of costs result from improved pay and conditions, not administrative costs."

Byers said the real cost of red tape was much less than his critics suggested. "We estimate that the actual cost of red tape is around 50p per employee per year for the introduction of the National Minimum wage, paid holidays, parental leave, time off for family emergencies, fair treatment for part timers and improved maternity arrangements," the trade secretary claimed.

But he said that he agreed with business that light touch regulation was the best way forward. "We need to get past this futile label of 'red tape' for decent standards and concentrate on the real issues. The government is listening to business and will regulate only where necessary and with a light touch."