Titov announced a record reduction in business inspections

In Russia, at the end of 2022, the number of business inspections decreased by 70%. This should from the appendix to the report “Index of Administrative Pressure”, prepared by Business Ombudsman Boris Titov.

In 2022, the number of inspections was 292,027, while in 2021 it was 975,373. The document says that this is a record low figure, which is due to the introduction of a moratorium on inspections and control and oversight activities. Titov added that departments began to use warnings more often in the total share of punishments. The indicator increased from 22.49% to 41.7%.

The business ombudsman also noted an increase in the volume of administrative fines in the economy. In 2022, it increased by 23.6 billion rubles. – up to 53.97 billion rubles. As reasons, Titov names an increase in fines under three articles of the Code of Administrative Offenses of the Russian Federation – abuse of a dominant position in the goods market (Article 14.31), illegal movement across the customs border (Article 16.1) and the conclusion of an agreement restricting competition (Article 14.32). In the first case, the amount of fines amounted to 26 billion rubles, in the second – 8.6 billion rubles, in the third – 3.2 billion rubles. However, fines under other items showed a negative trend and decreased by 12 billion rubles.

Titov said that entrepreneurs noted an increase in the administrative burden outside the control and supervisory activities carried out under Law No. 248-FZ (on state and municipal control). “Three factors are at work here: increased tax control; substitution of control and supervisory activities by law enforcement agencies (initiation of criminal cases by investigation); as well as expanding the scope of state automated control systems, which often duplicate each other,” the business ombudsman said.

“In general, despite the problems that remain “behind the scenes” of the new law on state control, the quality of control and supervision activities in the country has changed for the better over the year,” Titov added.

The leaders in the ranking of regions with the least administrative pressure in 2023 were the Smolensk and Voronezh regions, as well as Tatarstan, Chuvashia, and Udmurtia.