The Department of Trade and Industry (DTI) has published a report proposing a cross-governmental cut in bureaucracy that could save up to £700 million per year.

Building on a draft published in 2005, the report outlines a level of regulatory simplification that would represent a significant step towards the ambitious plans to cut DTI administrative burdens by 25 per cent within the next three years.

To form the new proposals, the authors sought advice from all sectors, including employees, business leaders and customer bodies.

“By cutting unnecessary red tape and making essential regulation simpler we can help sustain a strong economy,” said trade and industry secretary Alistair Darling.

“By continuing to work closely every step of the way we can make simplification a reality. We are determined to do that,” he added.

Employment dispute resolution is a major focus of the latest DTI draft and a root and branch review led by Michael Gibbons, designed to simplify employment law without compromising workers’ rights, was announced last week.