The Institute of Directors (IoD) has backed the Government’s drive to increase competition across the economy, to benefit both consumers and businesses.

The Treasury recently launched the publication of ‘A better deal: Boosting competition to bring down bills for families and firms’.

The government says the document provides a blueprint for ambitious action to increase competition in the economy – bringing down bills for families and firms while creating the conditions for businesses to thrive. It sets out concrete steps the government is taking to secure rising living standards and create competitive business conditions for firms.

James Sproule, Director of Policy at the IoD, said:

“Competition is the single most effective force for improving standards, driving down prices, and creating a healthy economy. Governments should always strive to make it as simple as possible for new firms to start up and create flexibility and choice for customers, so we thoroughly support the ambition of this plan.

“IoD members will particularly welcome measures to open up government procurement, and more rights for small firms when it comes to dealing with utility providers. The commitment to dynamic markets which encourage innovation and investment is very positive, but the key test will be how the state responds to disruptive new technologies and business models. Regulators must avoid knee-jerk reactions when established industries complain about competition, as we are unfortunately seeing with Transport for London’s excessive and counterproductive proposals for taxi apps.”