Having been outlined in the Queen’s speech earlier this month, details of the Enterprise and Regulatory Reform Bill were presented to Parliament yesterday by Business Secretary Vince Cable.

Subject to the will of Parliament, the Bill will deliver legislation aimed at encouraging long-term growth by improving the employment tribunal system by encouraging parties to come together to settle their dispute before an employment tribunal claim is lodged, through Acas early conciliation and greater use of Settlement Agreements, formerly called Compromise Agreements.

It will also make the determination of less complex disputes quicker and cheaper for employers and employees alike, through a new ‘Rapid Resolution’ scheme.

The legislation will also tackle the gap between Directors’ pay and company performance by giving shareholders binding votes on how much Directors are paid. It is hoped this will encourage shareholders to be more engaged and companies to listen to what they say.

Under the Bill, SMEs will be given greater access to reliable and consistent advice on regulations within the areas of health and safety, trading standards and environmental health.  And businesses of all sizes will benefit from a reduction of inspection by such bodies.

Mr Cable said: “Growing our economy out of a period of acute crisis is the most pressing issue for this Government. We want to make sure the right conditions are in place to encourage investment and exports, boost enterprise, support green growth and build a responsible business culture.

“The measures in the Enterprise and Regulatory Reform Bill will help make Britain one of the most enterprise-friendly countries in the world. It will improve our employment tribunals, reform and strengthen competition enforcement, scrap unnecessary red tape and help ensure that people who work hard and do the right thing are rewarded.”