According to the BCC's Burdens Barometer, which was launched in 1998, the cumulative impact of red tape reached £88.3bn under Labour, with a further £11bn set to come in within the next four years.

David Frost, director general of the BCC, said: "The Burdens Barometer highlights a clear problem for UK business. The cost of dealing and complying with new laws and regulations over the past 12 years has been far too high."

Francis Chittenden, of the Manchester Business School, which together with the London Business School was responsible for compiling the 2010 Barometer, added: "Regulation is like taxation. It raises business costs and so reduces the amount of business activity conducted in the UK."

According to the 2010 Barometer, 40 additional regulations were added in 2009. However, in his speech today, the business secretary is expected to outline the coalition government's plans to review the £5bn worth of new regulations in the pipeline for the current year.

Frost welcomed the government's determination to cut red tape as a "positive sign" and its 'one in, one out' approach to new regulation, designed to change the 'Big Government' culture.

"At a time when we need business to drive recovery and create jobs, the cost of employing people clearly needs to be reduced," Frost said.

"Employers consistently tell us that they will get on with creating jobs and wealth, but they need government to get off their backs and let them do it.

"While the initial signs from this government are very positive on reducing the burden of red tape, the coalition should remember that we will be subjecting them to the same level of scrutiny that we have with other initiatives over the years."