Uttar Pradesh tops ‘deregulation 1.0’, becomes first state to fully implement all 23 priority reforms

Update: 2026-01-06 06:37 GMT

Lucknow: The Yogi Government’s sustained efforts to transform Uttar Pradesh into an Uttam Pradesh have culminated in a significant national achievement. Uttar Pradesh has secured the first position in the country under the Government of India’s “Deregulation 1.0” programme, emerging as the only state to fully implement all 23 identified priority reforms aimed at simplifying, streamlining and modernising business regulations.

The ranking is based on the effective, transparent and comprehensive execution of reforms designed to make business processes investor-friendly and time-efficient. These initiatives have given a new dimension to the Ease of Doing Business, reinforcing Uttar Pradesh’s growing stature as a preferred destination for investment.

Under the national evaluation conducted by the Government of India, Uttar Pradesh delivered an outstanding performance across five core sectors—land, building and construction, labour, utilities, and regulatory approvals. Reforms in these areas have enhanced transparency, reduced procedural complexity and improved predictability for investors and entrepreneurs.

Land reforms have provided fresh momentum to investment through the adoption of a flexible zoning framework to promote mixed-use development. The land-use change process has been fully digitised, significantly reducing delays and discretion. To support industrial development in rural areas, minimum road width standards have been rationalised. A GIS-based industrial land bank, integrated with the India Industrial Land Bank, now offers investors accurate, real-time and transparent information on available land.

In the building and construction sector, regulatory amendments have been introduced to minimise land loss in industrial and commercial plots. The approval ecosystem has been strengthened by empowering listed third-party institutions for online building approvals, joint inspections, fire safety inspections, and issuance of occupancy and completion certificates, leading to a substantial reduction in approval timelines.

Labour reforms have expanded workforce participation and operational flexibility. Restrictions on women’s employment in select hazardous industries have been removed, and women have been permitted to work during night hours in factories, shops and commercial establishments. Working-hour norms have been rationalised, while under the Shop and Establishment Act, the minimum threshold for statutory compliance has been increased to 20 or more workers, easing the regulatory burden on small enterprises.

The adoption of digital systems has further accelerated approval processes. The state has introduced third-party certification for environmental clearances, simplified factory and trade licence approvals through online platforms, and integrated electricity and water connection services via a unified digital system. Additionally, non-polluting industries have been reclassified under the White Category, reducing unnecessary regulatory hurdles.

To institutionalise these reforms, Uttar Pradesh has implemented the Uttar Pradesh Sugamya Vyapar (Provisions Amendment) Act, 2025. All state-level services have also been integrated with the National Single Window System through the state’s Single Window mechanism, ensuring seamless coordination and faster clearances across departments.

With the successful implementation of these comprehensive reforms, Uttar Pradesh has firmly positioned itself among the most progressive and investor-friendly states in India, moving steadily towards a robust, transparent and growth-oriented business environment.

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