Chancellor unveils £800 million paperwork savings for businesses ahead of Budget

Tariff extensions, reporting changes and home-buying red tape cuts expected to ease costs for firms

By LineZotpaper

Published23 October 2026

Updated23 October 2026

Read Time2 min

Sources2 outlets

Chancellor John Healey has set out plans to deliver around £800 million in savings for businesses by cutting paperwork and red tape, in a package announced days before his first Budget. The measures include streamlined reporting requirements, lower costs in the home-buying chain and a year-long extension of paused import tariffs covering more than 250 products.

Unveiling the package, the Treasury said the goal was to give firms "breathing space" by reducing "form-filling and pointless paperwork". Streamlined reporting requirements are expected to save £290 million, while easing "duplicative reporting burdens" for asset managers should save £105 million.

A further £116 million is expected to come from cutting red tape involved in buying and selling homes. Import tariff suspensions covering sectors including chemicals, plastics, automotive and food and beverages, which had been due to expire at the end of December, will be extended for another year and are expected to save up to £155 million.

The measures form part of a wider effort to cut the regulatory administration businesses must carry out by 25 per cent by the end of this Parliament. Any remaining cost-saving measures will be set out in the Budget next week.

Prime Minister Andy Burnham said: "If you run a business, you want to spend your time serving your customers, creating jobs and growing your firm, not filling in unnecessary forms. It's not right that pointless bureaucracy gets in the way of people working hard to build something that matters to their high street."

Mr Healey said British firms were "fed up with form-filling and pointless paperwork that eats into valuable time and money" and that the government was "cutting unnecessary bureaucracy and giving businesses the breathing space they need to invest, innovate and create good jobs".

The announcement comes against a tight fiscal backdrop. Government borrowing rose by more than expected to £24.5 billion last month, and higher borrowing costs are weighing on fiscal headroom. Mr Healey is expected to increase bank taxes in response, and has rejected calls to hike capital gains tax over concerns it could hamper economic growth.

Mr Healey and Mr Burnham are due to meet small business leaders at No 10 North on Friday.

Analysis

Why This Matters

The package lands days before the government's first Budget, which will set the fiscal direction for the Parliament.
Business groups have been pressing for relief from regulatory costs while the government faces strained public finances.
The measures are an early instalment of a pledge to cut regulatory administration by 25 per cent by the end of this Parliament.

Background

The savings package is the latest step in the government's push to reduce the administrative burden on business. Alongside the announcement, ministers have committed to trimming regulatory paperwork by a quarter over the Parliament. The moves come as the government balances business relief against rising borrowing costs and shrinking fiscal headroom, with the Chancellor expected to use the Budget to raise revenue from banks.

Key Perspectives

Government: Ministers argue that cutting bureaucracy lets businesses invest, innovate and create jobs, and gives firms the room to grow and serve their communities. Small business leaders: The stated beneficiaries of the package are due to meet the Prime Minister and Chancellor on Friday, with the government saying firms are "fed up" with form-filling that eats into time and money. Critics/Skeptics: The fiscal backdrop is tight: borrowing rose more than expected to £24.5 billion last month and higher borrowing costs are eroding headroom, leaving the government expected to offset the package with higher bank taxes.

What to Watch

The Budget next week, which will set out any remaining cost-saving measures.
Whether the expected increase in bank taxes materialises and how lenders respond.
Progress towards the 25 per cent cut in regulatory administration by the end of the Parliament.

Sources

Chancellor unveils £800 million savings for businesses by slashing 'pointless paperwork' · The Independent UK
Healey moves to slash red tape and save firms £800m a year · City AM

Checked

12 claims in this story checked against 1 source: 10 supported.

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SupportedThe Chancellor announced a package expected to save businesses around £800 million by cutting paperwork and red tape ahead of his first Budget.The Independent UK: “Businesses are in line for around £800 million in savings on paperwork under plans announced by the Chancellor”
Partly supportedThe Treasury said the package’s goal was to give firms “breathing space” by reducing “form-filling and pointless paperwork”.The Independent UK: “The measures, designed to give businesses “breathing space””
SupportedStreamlined reporting requirements are expected to save £290 million.The Independent UK: “The Treasury expects streamlined reporting requirements to save £290 million.”
SupportedEasing duplicative reporting burdens for asset managers is expected to save £105 million.The Independent UK: “Easing “duplicative reporting burdens” for asset managers is expected to save £105 million.”
SupportedCutting red tape in buying and selling homes is expected to save £116 million.The Independent UK: “A further £116 million in savings is expected for businesses in the transaction chain from cutting red tape involved in buying and selling homes.”
SupportedPaused import tariff suspensions will be extended for another year, covering more than 250 products.The Independent UK: “Instead, the suspensions are being extended for another year, covering more than 250 products.”
SupportedThe tariff extension is expected to save up to £155 million.The Independent UK: “According to the Treasury, that extension is due to save up to £155 million.”
SupportedThe measures are part of an effort to cut businesses’ required regulatory administration by 25 per cent by the end of this Parliament.The Independent UK: “The measures form part of efforts to cut back the regulatory admin businesses are required to do by 25 per cent by the end of this Parliament.”
SupportedAndy Burnham said businesses should spend their time serving customers, creating jobs and growing rather than filling in unnecessary forms, and that pointless bureaucracy gets in the way of people building something for their high street.The Independent UK: “If you run a business, you want to spend your time serving your customers, creating jobs and growing your firm, not filling in unnecessary forms. “It’s not right that pointless bureaucracy gets in the way of people working hard to build something that matters to their high street.””
SupportedJohn Healey said British firms were fed up with paperwork and that the government was cutting bureaucracy to give businesses breathing space.The Independent UK: “British firms are fed up with form-filling and pointless paperwork that eats into valuable time and money when they simply want to get on with running their businesses. “That is why we are cutting unnecessary bureaucracy and giving businesses the breathing space they need to invest, innovate and create good jobs.””
SupportedGovernment borrowing rose by more than expected to £24.5 billion last month.The Independent UK: “UK government borrowing rising by more than expected to £24.5 billion for last month.”
Partly supportedHealey rejected calls to raise capital gains tax because of concerns it could hamper economic growth.The Independent UK: “He has rejected calls to hike capital gains tax at the Budget, amid concerns it could hamper economic growth.”