Let's talk about right-touch regulation - a Q&A

Q. What is the main purpose of a right-touch approach to regulation? 

A. It’s all about finding the right balance to keep people safe and services working well.

Q. Sometimes it feels like rules can be either too strict and slow things down, or too weak and let risks slip through.

A. Exactly. Right-touch regulation tries to fix that by using just the right amount of control – not too much, not too little. Think about road speed limits. No limits at all would be dangerous, but really low limits everywhere would slow life down too much.

Q. So, it’s about managing risks to an acceptable level. But what does that mean exactly?

A. Well, it’s like balancing scales. Too little regulation means not enough control, exposing people to an unacceptable level. Too much means wasted effort and can block progress. The goal is to find that “just right” point where risks are managed well without unnecessary burden.

Q. That makes sense. Are there guiding ideas behind this approach?

A. Yes, six principles: regulation should be proportionate, transparent, consistent, accountable, targeted, and agile. So, rules are fair, clear, focused on real risks, and can adapt as things change.

Q. How does this help with common problems like costly or complicated regulation?

A. Right-touch regulation encourages regulators to explain why rules are needed and how they have reached that decision. It also supports ongoing review as circumstances change. It helps to avoid duplication and encourages innovation by managing risks only as much as necessary. 

Q. Is regulation always the answer or is there a way to solve problems locally?

A. In the latest edition of Right-touch regulation we talk about a “lines of defence” model. The first line is professionals managing risks day-to-day. The second is internal checks like audits and quality controls. The third line is external regulation, used only when needed. Regulation supports and improves local efforts rather than replacing them.

Q. So regulators do more than just set standards?

A. Yes. They also provide guidance, analyse data to learn from mistakes, engage with the public and stakeholders, and share best practices. This helps improve safety and trust without unnecessary interference.

Q. So right-touch regulation is about smart, balanced control that protects people while allowing innovation and growth?

A. Yes. It’s flexible and transparent, adapting as risks and technologies change. Ultimately, it helps keep services safe and effective without getting in the way.

Q. It really helps to think about regulation like setting speed limits – finding that balance.

A. It’s a simple idea but powerful. Managing risk, not eliminating it, while supporting progress and growth.