REGULATORY NEWSLETTER MAY 2012 Health and safety EXPO 2012 This year’s Health and Safety Expo brought together members of industry, health and safety consultants and lawyers for a 3 day health and safety event. The event provided practitioners with the latest information and developments in the field and considered the legal questions of the moment. The Vice Chair of HSE addressed the legal arena on the key changes to health and safety investigations. He confirmed that HSE’s focus is set to shift in order to reduce proactive investigations. Instead, a more targeted and reactionary stance will be taken and investigations will take place on the basis of risk to health and safety. It is thought that the fresh approach will ensure a more effective management of resources. HSE confirmed that as a result of both Lord Young’s Report - “Common sense, common safety” and in light of the Government proposals to address the health and safety legislative regime in light of Lofstedt, HSE is taking steps to consolidate and produce simplified guidance to health and safety legislation. _______________________________________________________________________ Costs Recovery Scheme The government supports the concept The HSE new cost recovery scheme “Fee that businesses and organisations found for Intervention” will come into force on 1 to be in material breach of health and October 2012, subject to Parliamentary safety laws, should pay for the HSE approval of the Health and Safety (Fees) investigation, enforcement action and any Regulations. The regulations will place a steps taken to redress the failings. duty on HSE to recover its costs from Currently, the public purse funds such those found to be in material breach of action. health and safety law. 1 The proposed Fee for Intervention hourly receive more letters of advice from HSE rate for 2012/13 is £124 and HSE (which they will pay for). estimate that in the first year, £31m will be recovered. Fees For Intervention is Perhaps the most concerning expected to be used widely. Currently, consequence of Fees for Intervention is Local Authorities who enforce health and the negative impact the scheme might safety have opted out of the scheme, have on the health and safety record of however, if cost recovery is successful for businesses and organisations. HSE, the scheme is likely to be adopted by Local Authorities. If, as a result of the scheme, Inspectors provide What the scheme means for businesses: numerous letters of advice, businesses may be less likely to comply with such advice than with a formal Improvement Notice. stipulates An Improvement There is little information available which Notice a set time for clarifies how HSE will determine if there compliance and accordingly, is likely to has been a “material breach”. HSE will assist businesses in incurring less future use the enforcement management model action from HSE. provided at www.hse.gov.uk but those letter of advice, or a number of letters of accused will not be informed as to how advice, a business may be tempted to the criteria is applied and the decision ignore the “advice” and as a result, process will remain unclear. accrue a wealth of letters which will, on Alternatively, with a paper, amount to a poor health and safety In a world of monetary targets, if HSE are record. expected to emerge as a self-funding body, this could lead to additional and At this stage, it is not known how the cost unnecessary action being taken, at the recovery scheme will progress but it is expense likely that the focus will be towards of businesses. Inspectors required to work in 6 minute units and to generating costs and the mass production meet monetary targets, in practice, will be of perhaps unnecessary advices. more easily persuaded to take potentially Ultimately, it is likely that the scheme will unnecessary action than currently. The increase the costs of health and safety new scheme will mean that although the compliance for businesses. “material risk” test will remain the same, under the new scheme businesses may 2