Bureaucracy: Regulatory Control Council recognizes trend reversal

In its assessment of the status of bureaucracy reduction for 2024, the National Regulatory Control Council notes a flattening of the burden trend. The skilled trades sector is calling for net bureaucracy reduction targets and practice reviews from all ministries.

This article is part of the special topic Bureaucratic madness in the craft industry

The National Standards Control Council (NKR) has its Annual Report 2024 In it he draws Assessment of the status of bureaucracy reduction and the federal government's efforts to improve legislation and digitalize administration. The report is titled "Good laws. Digital administration. Less bureaucracy. Harness momentum, increase impact.". The NKR analyses the period from July 2023 to June of this year. According to the growth of time and costs slows downthat cause new laws.

Compared to the billion-dollar increases of previous years, the increase this year is only 400 million euros, according to the NKR. "While the administration has to shoulder an increase of €821 million, the economy will be relieved for the first time since 2019 – by €433 million. The bureaucratic costs caused by information obligations – as a subset of the compliance costs of companies – will even fall by €655 million." To counteract the burden trend to permanently reverse, need it further efforts, at them all political departments would have to go along.

Annual Bureaucracy Reduction Act

Annual reportHere you will find the detailed NKR report for download.A annual bureaucracy reduction law be the "right announcement at the right time" and has been a demand of the NKR for years. The Council also calls for a concrete, measurable reduction target and consideration of the Expenses from EU directivesHe recommends practical checks binding in all political areas to use – and this already during a legislative process, "in order to involve those affected at an early stage in finding solutions and weighing up alternatives". 

A collection concrete examples to reduce bureaucracy, the NKR has in its 60-point paper summarized and covers various Suggestions from the trade He sees the bundling of administrative services and the standardization of processes as an effective measure to offer better services. federal distribution of tasks should therefore be examined. Furthermore, the digitalisation of the administration must go deeper – the right measures have been taken, but there is a lack of speed, determination and commitment.

Restrained praise for the federal government

"In view of the billion-dollar increases in recent years, the NKR considers it positive that the Stress trend has flattened", explained Lutz Goebel, Chairman of the NKR. "The efforts of the Federal government Measures to reduce bureaucracy are beginning to pay off. This deserves cautious praise. This is because we have reached a very high level of expenditure overall. We urgently need to get off this plateau. Policymakers must continue their efforts: not only prevent excessive growth, but also simplify existing law."

He calls for a binding target of 25 percent less compliance costs in four years. The practical check, combined with the goal of simplifying laws so that unnecessary hurdles to implementation are removed, must be applied not only by the Ministry of Economic Affairs, but also by all other ministries. Together with the digital check, the citizen check, a completely new philosophy of legislation could emerge. "With intensive participation from those affected and enforcement experts, the law will be made practical and simple," Goebel hopes.

Make bureaucracy reduction the norm

"To achieve this state, the federal government still has to do a lot. Otherwise, all announcements will fall on deaf ears and we will create the desired cultural change never. The Federal Government, especially the Ministry of Justice, must make the necessary decisions and provide the necessary resources. The avoidance and reduction of unnecessary regulations and the simplification of enforcement have long been no longer a marginal issue. Politicians must not let the momentum slip by. They must permanent will to reduce bureaucracy from individual to systematic rule close."

It is a good signalthat the increase in new bureaucracy for craft businesses and the economy as a whole was slowed down last year, commented Holger Schwannecke. "But this can no reason to relax but rather must be a motivation for further necessary relief measures. Crafts businesses need a permanent net relief. Otherwise, competitive framework conditions for the local crafts cannot be achieved," said the Secretary General of the Central Association of German Crafts. 

Use the practical expertise of the trade

The recently adopted Bureaucracy Reduction Act is an important step, but not enough to achieve noticeable effects. "In its annual report, the NKR takes up various suggestions and demands from the skilled trades and thus points out to the Federal Government the right pathIn addition to the consistent implementation of the announced annual bureaucracy reduction laws, net bureaucracy reduction targets must be set and practice checks must be carried out by all ministries. The skilled trades sector supports the policy in this with his suggestions and practical expertise."

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