Corporate health and safety fines in the UK have risen significantly thanks to stringent new guidelines introduced in February 2016.
Fines for health and safety breaches in UK workplaces are on the rise; this is the finding of a new report on corporate health and safety convictions. The Thomson Reuters Corporate Convictions Tracker has revealed that the total fines issued for corporate health and safety breaches jumped by almost a fifth in just one year to reach £57.3 million. The average value of each fine also rose by more than a third, climbing from £232,451 to £311,343.
New guidelines
This increase in fines has been attributed to tougher health and safety guidelines introduced by the Sentencing Council in February 2016. These guidelines place an additional emphasis on the level of management culpability, as well as taking into account such considerations as the profitability of the company, its ability to make restitution to the victim or victims, and how a fine could impact on its employees. As a result, the number of fines issued rose by 18% during the first year of the new guidelines’ implementation.
The report also found that, since the introduction of the new guidelines, the majority of companies accused of health and safety breaches choose to admit liability early on in the process in order to reduce their fine and avoid going to court.
Morag Rea, head of Business Crime and Investigations at Thomson Reuters Practical Law, explained the impact of these new, more stringent assessments: “Fines for health and safety breaches continue to rise considerably, as companies are held increasingly accountable for failing to adhere to standards.
“The rise in the value of fines shows the significant financial costs for businesses if health and safety regulations are breached – the rise comes as part of attempts to get the issue on the board level agenda.
“The health and safety of the work force is a business priority, and failure to prioritise is considered a significant business risk.”
Health and safety responsibilities
This new report is a stark reminder to businesses of the importance of complying with health and safety regulations. Each year, more than three million people in the UK experience a work-related illness or injury, and around 200 are killed in workplace accidents. As well as the very real human cost, a serious health and safety breach can also have significant financial and reputational ramifications for the company involved.
As a UK business owner, you are legally responsible for ensuring the health and safety of your employees. This can seem daunting but, it’s easier to comply with health and safety law than you might think and contrary to popular belief, it doesn’t need to be complicated, time consuming or costly. For most small low-risk businesses all that is needed is a series of straightforward practical steps that protect employees from harm, such as carrying out a risk assessment, providing training and information, and displaying health and safety signs.
If you can show that you have taken reasonable steps to protect your employees from accidents or harm, you should avoid falling foul of regulations and, in turn, avoid finding yourself on the wrong end of a large health and safety fine.