Lord Macdonald

The government has claimed it is making progress in reducing the burden of red tape on business.

Publishing the first annual report from the Business Regulation Team, the Cabinet Office said ministers are working with industry to reduce regulation.

Out-dated laws set to be swept away following recommendations from the team include a prohibition on the sale of methylated spirits on a Sunday.

The report says a major review of operational enforcement in the chemicals manufacturing industry has taken place over the last 12 months.

It also says progress has been made on the Proof of Age Standards Scheme, requirements of the Sunday Trading Act and the way in which retailers have to notify TV Licensing of television sales and rentals.

A review of the Poisons Act has also led to less red tape, says the report.

The study also pledged to "take a fresh look" at the burdens imposed by the game licensing regime.

Cabinet Office minister Lord Macdonald said the government wanted to work with business to reduce the burden of red-tape.

"Government and business want the same thing: simple regulations, sensibly enforced," he argued.

"The Business Regulation Team has talked to over 100 representatives from companies and business organisations and has identified bureaucratic burdens that are now being removed.

"The cumulative results will have a beneficial effect on both the retail and chemicals sectors. The report illustrates the government's industry-focused approach to regulatory reform."

John Emmins, the national chairman of the Federation of Small Businesses, said the initial signs were cause for optimism.

"We are encouraged that the Business Regulation Team has listened to small businesses as well as major companies and has made a start in getting rid of unnecessary red tape," he said.

"The use of private sector secondees seems to reinforce the government's commitment to understanding and working with the business community."