Friday 23 September 2011

Cost Recovery: HSE Proposal CD235

From April next year, the HSE will charge companies if they visit them and that visit results in some form of enforcement action. This is not something that the HSE will have discretion about, it will be mandatory.

Gordon MacDonald (the HSE's programme director), said:

"The Government has agreed that it is right that those who break the law should pay their fair share of the costs to put things right - and not the public purse. These proposals provide a further incentive for people to operate within the law, levelling the playing field between those who comply and those who don't. Compliant firms will not pay a penny in intervention fees."

How much might I be charged by the HSE?

Cost recovery would be at an averaged hourly fee for intervention rate, currently estimated at £133, for nearly all HSE staff. The actual costs that will recovered by the HSE will be dependent on the complexity of the investigation that is required to follow all reasonable lines of enquiry, but some guideline figures have been offered:

• Inspection with no action taken - No costs will be recovered
• Inspection which results in a letter - Approximately £750
• Inspection which results in Enforcement Notice - Approximately £1500
• Investigations carried out by the HSE - Ranging from approximately £750 through to several thousands of pounds to, in extreme cases, tens of thousands of pounds.

Want to avoid the HSE Charges?


Ensure that you are (and remain) compliant with the relevant Health and Safety legislation and this will help you to avoid attracting the attention of the HSE:

• Keep your risk assessments reviewed and up to date.
• Ensure that you have adequate control over your contractors.
• Take prompt action to prevent situations developing that may attract the interest of the HSE.
• Ensure that you keep suitable records.
• Keep that employee training is kept up to date.Keep your policies and procedures up to date.

Want to see more detailed information?

Have a look at the HSE's Consultative Document on this subject - Click here

The underlying policy of recovering costs for the HSE’s intervention through the introduction of fees where there is a material breach of the law has already been agreed by the Government. This is, therefore, not in question in this consultation. The consultation document seeks views on the systems being proposed by HSE for how it would implement this policy.

Update (21 October 2011)
The Chemical Business Association (CBA) has branded the Health & Safety Executive’s (HSE) plans to extend cost recovery as the equivalent of seeking a blank cheque from industry to compensate for cuts in its departmental budget. This would see plant owner/operators charged for any ’material breach’ found by its Inspectors and for any ’formal intervention’ required


Mike Ellerby
LRB Consulting Ltd
01509 550023
Web address

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