Reducing the administrative burden on businesses

The objective is to reduce the administrative burden by 25% compared to the 2006 level, by the end of 2012. Companies are subject to administrative costs due to collect, adapt and supply information to authorities and third parties, such as employees. Statutory information obligations include for example various notifications and reporting, product labelling, permit procedures and subsidy applications.

The part of administrative costs incurred from activities performed purely due to statutory requirements rather than for business reasons, are termed the ‘administrative burden’.

Action Plan for reducing administrative burden on businesses

In its session held on 12 March 2009, the Government approved a decision-in-principle on an Action Plan aimed at reducing the administrative burden on businesses during 2009–2012.

Reducing the administrative burden will enhance companies’ productivity and competitiveness. Because the administrative burden caused by complying with information obligations is proportionally heaviest on small enterprises, they in particular will benefit from the reduction.

The administrative burden will be eased by simplifying reporting obligations stipulated by the existing legislation and by developing communication with the authorities, particularly electronic communication. Efforts should also be made to ensure that new legislation under preparation does not create unnecessarily heavy, additional administrative obligations for businesses.

EU Action Plan to reduce administrative burden on businesses

In January 2007, the European Commission published an action plan to reduce the administrative burden on businesses. Implementation of the EU’s Action Plan began in the spring of 2007. The objective of the EU Action Plan is to reduce the administrative burdens on businesses, caused by EU legislation and its implementation, by 25% by 2012.

Progress report of the Action Plan 2010 (in Finnish) (pdf) (189.2 KB) Action Plan for the reduction of the AB State of play 9.2.2011 (pdf) (52.9 KB) Progress report of the Action Plan 2009 (in Finnish) (pdf) (189.2 KB) The Government's Decision-in-Principle (pdf) (62.2 KB)Reduction of the administrative burden on businesses -proposal for a national action plan. Steering's Group's interim report (in FInnish) (pdf) (638.2 KB)Steering Group appointment decision (pdf) (90.4 KB) Project group appoinment decision (pdf) (86.6 KB)