The Government has launched a website allowing employers to nominate which regulations should be scrapped to make running a business easier.
The Your Freedom site will also ask the public which laws they would like to see abolished.
A third (33%) of small business owners say regulation was the biggest barrier to growth in 2009, according to the Federation of Small Businesses (FSB).
It has welcomed the Government's launch of Your Freedom, and has set up its own portal to encourage member feedback on regulations they would like to see removed.
A new Cabinet committee chaired by Business Secretary Vince Cable also met for the first time yesterday to discuss reducing the heavy burden of red tape on business.
FSB policy chairman Mike Cherry says:"Giving the public and business owners the chance to shape the regulation and legislation which directly affects them is a welcome move by the Government.
"We urge our members to log on to the website to help reduce the bureaucracy faced by small firms.
He says small businesses want to grow, but are "stifled" by red tape and "excessive" legislation.
"We have seen similar initiatives from previous administrations and we hope that the Government puts the needs of the 4.8 million small businesses in the UK first."
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