Chancellor reveals plan to boost enterprise with increased competition and productivity

Together with Business Secretary Sajid Javid, Chancellor George Osborne has launched a plan to increase competition in Britain’s economy, potentially reducing bills for businesses and creating conditions for them to thrive.

The plan, outlined in a 25-page blueprint titled ‘A Better Deal: Boosting competition to bring down bills for families and firms’, highlights the steps the government will take to create competitive conditions for enterprise.

The government has said that effective competition is crucial for markets to stimulate innovation and productivity.

With its focus on fostering competition, the Better Deal plan forms part of the government’s long-term move to boost productivity, which was first outlined in July in its ‘Fixing the foundations: Creating a more prosperous nation’ report.

Among the aims for businesses in the Better Deal blueprint, the government wants to open markets and encourage new companies to offer pharmacy, water and legal services, as well as cut red tape to help businesses thrive.

The Chancellor said: “This broad package of reforms will make markets work better for families. Driving competition will improve choice for people and ensure they get a better deal. And cutting red tape will help businesses grow and thrive.

“It’s the government’s responsibility to help foster the right conditions for competition and investment across the UK – that’s why the concrete steps we’re announcing make sure government, regulators and local authorities all play their part in promoting competition and removing market distortions.”

He added: “‎It’s all part of our long-term plan to boost productivity and make the UK the most prosperous and secure of any of the major economies of the world.”

Richard Lloyd, the executive director of consumer organisation Which?, “warmly welcomed” the government’s plan.

He said: “Hidden charges, confusing contracts running to dozens of pages, and complicated switching are still too common in markets we all rely on.

“By making it easier for consumers to save time and money, these reforms are good for people, businesses and growth in the economy.”