What does deregulate mean?
Deregulate is a verb meaning to remove or reduce government regulations and legal controls from an industry, sector, or activity. It is most commonly encountered in discussions of economics and public policy: governments may deregulate airlines, banking, energy, telecommunications, or labor markets, either by repealing existing rules or by choosing not to enforce new ones. The word is inherently comparative — it implies that regulation existed before and is now being lifted. Because it sits at the centre of long-running political debates, its connotation shifts with perspective: supporters associate it with competition, lower prices, and innovation, while critics link it to reduced oversight and increased risk, as in the argument that financial deregulation contributed to the 2008 crisis. The standard noun form is 'deregulation'. Deregulate is formal in register and appears chiefly in news reporting, academic writing, and policy discussion rather than everyday conversation.
verbTo remove government regulations or legal controls from an industry, activity, or market.
- To remove or reduce state regulations and legal restrictions governing an industry, sector, or economic activity.
"The government voted to deregulate the airline industry in the late 1970s."
"Congress moved to deregulate telecommunications in the mid-1990s."
"Critics argued that the decision to deregulate energy markets left consumers exposed to price spikes."
When the U.S. deregulated its airlines in 1978, airfares dropped so sharply that flying went from a luxury to an everyday habit for millions of people.
Reviewed by Deb Chak, Editor. AI-assisted content curated by RJS Tech Solutions LLP.
Etymology of deregulate
Deregulate is formed from the prefix 'de-' (indicating removal or reversal), attached to 'regulate', which derives from the Latin 'regula', meaning a straight bar, rule, or pattern; the same Latin root gives English words such as 'regular', 'regulation', and 'regime'. The verb emerged in twentieth-century English, gaining prominence from the 1970s onward as governments in the United States and Britain pursued policies of economic liberalization. Its noun derivative, 'deregulation', became especially widespread during that period.
Related word forms
How deregulate is actually used
Primarily used in formal, political, and economic contexts. It typically carries connotations tied to debates about free markets versus consumer protection, so its tone can be positive or negative depending on the speaker's viewpoint. It is almost always transitive, taking an industry, sector, or market as its direct object.
Easily confused with deregulate
'Regulate' means to impose or maintain official rules over an activity, while 'deregulate' means the opposite — removing such rules.