Question to the HM Treasury:

To ask His Majesty's Government, with regard to the Action Plan to ensure regulators and regulation support growth, published on 17 March 2025, what assessment they have made of the potential for more novel and contentious funding proposals to drive private investment and encourage regulators to increase innovation.

Well-designed and well-implemented regulation has an essential role in unlocking investment and innovation. In the Action Plan, the Government is clear that the cumulative burden of regulation has grown to disproportionate levels, fuelling complexity and uncertainty; and that excessive baked-in risk-aversion and unpredictable regulatory processes can negatively impact growth.

The Government is addressing these challenges by bringing the administrative burden of regulation down by 25 per cent; increasing the strategic alignment between the Government's objectives and regulator activity; and backing regulators to challenge excessive risk aversion across the system.

To ensure regulation keeps pace with technological change, the Business Secretary will soon legislate for our new ‘Growth Labs’. This is a new approach to regulation, with the power to make rapid, temporary amendments to regulation to safely test and prove application of new tech.