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Hong Kong is not over-regulated
Following is a question by the Hon Martin Barrow and a reply by the Secretary for Financial Services, Mr Michael Cartland, in the Legislative Council today (Wednesday):
Question:
It has recently been estimated that in the United Kingdom the direct cost of compliance with various forms of regulation to the private sector amounts to 43b pounds sterling (HK$520 billion), or twice the size of its defence budget. Will the Government inform this Council whether -
(a)
(b)
(c)
(d)
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it has attempted to calculate the equivalent figure for the territory; if not, why not;
it is concerned that the cost of such compliance to the private sector in the territory may now be at an excessive level; if not, why not;
it will undertake a review of the cost and benefits of the amount and extent of regulation; if not, why not; and
it will take steps to reduce the cost of such compliance and, through deregulation, return the territory to the traditions of positive non- interventionism, which brought so much benefit to the economy of the territory and its people?
Answer:
Mr President,
The Administration has no reason to believe that Hong Kong is over-regulated or that the cost to the private sector of compliance with regulation is excessive. It has not, therefore, attempted to calculate the cost of compliance to the private sector. Nor does it plan to conduct an overall review of the cost and benefits of the amount and extent of regulation. Indeed such an exercise would itself be likely to prove costly, complex and hard to justify.