Centre targets about 70% of Phase II deregulation reforms by year-end, industrial housing in focus

The Centre is targeting implementation of about 70% of its Phase II deregulation reforms by year-end 2026, a senior government official said on October 12, 2026. The senior government official said industrial housing, building regulations and land-use rules would remain focus areas in the second phase.

About 70% of Phase II reforms targeted by year-end 2026

The senior government official said the Centre’s year-end 2026 aim was to complete about 70% of the reforms included in Phase II. The official said the exercise was intended to reduce constraints on economic activity and make it easier for businesses to invest and expand.

Industrial housing remains tied to land-use and building rules

Industrial housing will remain part of the second phase’s housing focus, alongside building regulations and land-use rules, the senior government official said.

During the first year, the work covered building-control regulations, housing, industrial land and the reclassification of land from one permitted use to another. The senior government official said the exercise covers all 28 states and eight Union Territories.

Changes associated with Delhi’s master plan were cited by the official as an example of progress involving building regulations.

630 of 828 actionable reforms implemented by January 23, 2026

The first phase had reached around 76% implementation of its targeted reforms, according to the senior government official. The Economic Survey 2025-26 gave a dated progress count for the exercise, recording 630 implemented reforms out of 828 actionable reforms on January 23, 2026.

In the same assessment, the Economic Survey 2025-26 placed 79 additional actionable reforms under active implementation on January 23, 2026.

The task force on compliance reduction and deregulation was constituted by the Cabinet Secretariat in January 2025 and is chaired by Cabinet Secretary T. V. Somanathan.

The task force is working with states and Union ministries to identify and remove unnecessary regulatory requirements and reduce compliance burdens.

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