An introduction of tougher rules for health and safety sees
fines rising sharply for UK firms with more than £61m paid out in total.
It has been just over a year since the tougher rules for
health and safety guidelines were introduced. According to new research from
law firm BLM fines have risen by 148% since 2015 with a total of 292 fines
issued during the year. New tougher rules for health and safety offences came
into force in February 2016. Under the new rules, courts must take into consideration
a variety of factors including the severity of the offence, risk of harm and
size of the business. This is instead of courts using a universal figure for
all offences. The new rules have been put in place to try improve the standards
of compliance with health and safety regulations. The size of the fine is as
follows;
- · Large businesses with a turnover of more than £50m could now reach fines of up to £10m.
- · Medium sized businesses with a turnover between £10m and £50m can reach fines up to £4m.
- · Small businesses with a turnover between £2m and £10m can face fines up to £1.6m.
- · Micro-businesses with a turnover of less than £2m can face fines up to £450,000.
In 2016 more than 18 fines topped £1m, compared to 2015 where there was just two. An average cost for a fine rose from £69,500 to £211,000. These fines come from a total of 358 incidents in 2015 and 292 in 2016.
Helen Devery, a partner at BLM said:
“The new sentencing guidelines send a strong message to all businesses big or small: it is people and business critical to ensure that safety processes and systems are a board level priority. The introduction of the risk of harm means that near misses will be reviewed and subject to potential prosecution so this has been a game-changing 12 months for the industry.”
In accordance to figures published by BLM, the construction
industry has been the most highly struck industry since the new regulations
have been put into place, racking up fines of almost £14m. This was closely
followed by manufacturing at £12m, Utilities at £8.4m, Leisure at £7.4m, Logistics
and Transport at £7.2m, Industrials at £3.9m and the Public Sector at £2.6m.
The increased fines help to show how determined courts are
to get the message across that health and safety regulations are vital for
every business to comply with.
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