Thanks for the background.
Some people may assume that some amorphous body called "they" regulates everything. In reality, of course, free market Capitalism is only regulated in certain sectors of activity.
OP, your business will succeed or fail as a result of what it has to offer the market, general economic circumstances, and luck. Some good ideas fail. Some bad ideas succeed.
The UK is not East Germany. Nobody is going to be spying on you or monitoring you. Your biggest problem may be getting noticed. Web development businesses are ten a penny.