Doing business in the UK

The HSE can now recover their investigation costs under the Fee For Intervention Scheme. To be able to do so, they must identify a ‘material breach’ of health and safety legislation and confirm the same with the duty-holder by way of a Notification of Contravention. Duty-holders who are convicted of health and safety offences are liable to an unlimited fine and, in the case of individuals, a custodial sentence of up to two years. A new Sentencing Guideline came into force on 1 February 2016 and applies to any sentence imposed after this date, regardless of the date of the offence. This Guideline is unquestionably a “game changer” in respect of how the criminal courts will now be required to sentence health and safety, corporate manslaughter, and food safety offences and makes uneasy reading for large increase in fines takes certain health and safety and corporate manslaughter penalties to levels previously only seen within the financial services markets. The message is clear; non-compliant big businesses can expect larger fines and, for very large businesses, this could mean penalties in excess of GBP 100 million. Secondly, there is an important codification in respect of sentencing individual directors which introduces a custodial sentence even for offences that have the lowest degree of culpability. businesses operating within the UK. Firstly, the inevitable unprecedented

Construction (Design and management) Regulations 2015 These Regulations implement an EU directive, and impose duties on a construction Client (as defined in the Regulations) to appoint in writing a Principal Designer and a Principal Contractor for any construction project with more than one contractor. The Principal Designer’s role is to co-ordinate the health and safety aspects of the early stages of the project, when the design is being developed, and also to collect on an ongoing basis all relevant information for inclusion in a health and safety file. The Principal Contractor is under an obligation to produce a construction phase plan for the safe carrying out of the works, prior to commencing work on site. It must also manage and supervise the site, monitor risks, and liaise with other duty holders under the Regulations. The Principal Contractor will contribute relevant information to the health and safety file (or may itself complete the health and safety file, in circumstances where the Principal Designer’s appointment has already concluded).

Rod Hunt Partner, Manchester T: +44 (0)161 240 2610 E: rod.hunt@clydeco.com

Nathan Buckley Legal Director, Manchester T: +44 (0)161 240 2535 E: nathan.buckley@clydeco.com

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