Creating new legislation is one of the key levers that governments have to deliver their strategic plans. Whilst there are a number of different types of new legislation, businesses are often concerned when they hear about new regulations. The General Data Protection Regulation was a case in point as it required businesses to comply with a dizzying list of new regulations. Whilst larger businesses were able to hire teams of lawyers to advise them on GDPR compliance, smaller businesses struggled. SMEs have less money, less time and fewer resources and new legislation can cause significant friction, draining those precious resources and hindering growth. 

So, the government’s move to set up RIO is a welcomed move. It signals an understanding of the impact of current regulations and hints at a better appreciation of the need to create regulations that work for technology businesses. This requires regulation that is designed around the specifics of individual industry sectors (such as life sciences) or more broadly designed for the rapid evolution of emerging technologies. Setting up an office specifically for this purpose indicates not just the right direction of travel, but a deeper understanding of how technology businesses operate.

For now RIO is focused on four industry sectors: Engineering biology, space, AI and digital in healthcare and autonomous technology. Hopefully, if it is successful the same process can be extended to cover more industry sectors. RIO has 3 important aims: To coordinate existing regulators more effectively, to identify regulations that act as barriers to business growth and then to propose updates, with input from businesses. But the real business benefit is providing certainty. Businesses are by nature ‘glass-half-full’ but they view regulations as major risks, with the potential for significant impact. Although much of the detail is missing, this initial announcement indicates that the government is using its resources to mitigate that risk.