A government review of the impact wildlife protection regulations have on business has found the legislation presents virtually no barrier to growth. The review, which was commissioned by Chancellor George Osborne in his Autumn Statement after he suggested European legislation is placing "ridiculous costs on British businesses", found the rules are “working well”.

Conservationists and wildlife groups have welcomed the report and commended Defra chief Caroline Spelman for having “stood her ground” following Mr Osborne’s attacks on conservation policy; the chancellor had claimed that the government had ‘gold-plated’ European directives to the detriment of businesses. The Defra report showed that this was categorically not the case.

As a result of its investigation, Defra announced fairly minor reforms, mostly relating to planning. The department will create a cross-government body, the Major Infrastructure and Environment Unit, to promote ‘sustainable development’ through balancing growth with support for threatened habitats and species. Defra also said it would work to improve guidance on complying with European directives.

A Natural England study from 2010 revealed that the extinction rate in the UK is 40 times higher than the natural level, with an average of two plant and animal species becoming extinct each year.

Nevertheless, the Defra report revealed, "In the large majority of cases the implementation of the Directives is working well, allowing both development of key infrastructure and ensuring that a high level of environmental protection is maintained".

Commenting on the review, Environment Secretary Caroline Spelman stated, “I strongly support the aims of the Habitats and Wild Birds Directives, and I have said all along that I want them to continue to be effective in protecting important wildlife sites. Central to that is ensuring that we maintain their integrity, and the best way of doing that is to make it as simple as possible for people to comply with them. What the Review has shown us is that the Directives have been working well to provide the vital protection nature needs.”

The review showed that Natural England, the body responsible for administering the regulation, objects to under 0.5 per cent of the 26,500 consultations received annually. In fact, the only example which was not eventually rectified was the abandonment of a 90 turbine wind farm off the Blackpool coast, which would have threatened a colony of endangered sea ducks.

The findings have been widely praised by environmental groups who feared the review could have been used to undermine environmental legislation. Carol Day, a spokesperson for WWF-UK, said, "Defra has done a great job with the review. In his Autumn Statement George Osborne issued an unjustified attack on the European laws protecting our most precious species and habitats.

"Not only were his claims that environmental regulations are a burden on business unhelpful, they were completely wrong. We are pleased to see that Caroline Spelman stood her ground and strongly defended the principles and purpose of these Directives."

According to figures from the Institute for European Environmental Policy, the sites and species protected under the European Habitats Directive are worth €200-300 billion each year to the European economy, as they provide valuable ecosystem services and, in many cases, tourism.

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