Regulatory round-up – April/May 2018


Consumer and Retail Finance – April/May 2018
Latest from the FCA, including high-cost credit, and unfair contract terms consultation. Other sector news. […]
Latest from the FCA, including high-cost credit, and unfair contract terms consultation. Other sector news.
Financial Conduct Authority (FCA)
On 9 April 2018, the FCA published its Business Plan 2018/19. Retail lending is one of the FCA’s sector priorities. Details are set out on pages 41 to 43, and include the launch of a credit information market study in Q4 2018. Cross-sector priorities include high-cost credit, firms’ culture and governance, financial crime and anti-money laundering, data security, and treatment of existing customers. The FCA plans to launch an initial discussion paper in summer 2018 on the introduction of a new duty of care provision for firms.
The FCA also published its Sector Views 2018 document, which reports that consumer credit lending has continued to grow significantly, driven primarily by credit cards, motor finance and unsecured personal loans. The chapter on retail lending, including consumer credit, can be found on pages 17 to 23.
On 2 May 2018, FCA Chief Executive Andrew Bailey gave a speech ‘High-cost credit: what next?’, in which he explained that the FCA’s current focus is on overdrafts, rent-to-own, home-collected credit and catalogue credit, because of the particular risks to consumers that the FCA has found in these areas. He said that the FCA’s Financial Lives survey has given the FCA “an important set of insights, which we have married up with an enormous amount of data in our review of high-cost credit. We’ve looked at tens of millions of credit files, conducted randomised trials, surveyed thousands of people and run more than a hundred in-depth interviews and focus groups”.
Mr Bailey said that the FCA has a responsibility to ensure there is a framework of rules that firms comply with which reduces the risk of consumer harm but allows the provision of credit where it is appropriate and affordable: “For many, but not all, users of high-cost credit, access to borrowing is an important feature which can allow sensible smoothing of income flows and the purchase of necessary durable goods. I do not take the view that credit should not be available to this part of the population”.
The FCA is aware that some stakeholders have called for it to introduce price capping in other areas of high-cost credit (other than payday loans), and overdrafts. It is examining a range of potential approaches to address the harm it sees to consumers using these products, and Mr Bailey expects to set out the FCA’s views in the next month. The FCA is also exploring the development and scale of provision of alternatives to high-cost credit.
We reported in the March 2018 edition of the Regulatory round-up that Citizens Advice is calling on the FCA to extend its definition of high-cost short-term credit to include home credit loans (see the press release and Doorway to Debt publication). The issue was raised with the Prime Minister on 9 May 2018.
The FCA has updated the information sheets that consumer credit firms must use to accompany arrears and default notices. The information sheet on high-cost short-term loans has also been updated. The new sheets are effective from 27 July 2018. Firms must continue to use the current versions until then.
The FCA is consulting until 7 September 2018 on proposed new guidance outlining factors financial services firms should consider under the Consumer Rights Act 2015 when drafting and reviewing variation terms in their consumer contracts. It has also updated its pages on unfair contract terms.
On 4 May 2018, the FCA published its mortgages market study interim report. It found that competition in the mortgage market works well for many people, but is calling for more innovation to help consumers find the best deal. See our recent briefing for more details.
The FCA is currently consulting on FCA regulated fees and levies: rates proposals for 2018/19. Comments are requested by 1 June 2018.
The Prudential Regulatory Authority (PRA) and FCA consulted jointly on the Financial Services Compensation Scheme (FSCS) management expenses levy limit. The PRA published a policy statement and final rules. The FCA also published its amendments to the Fees manual, which came into force on 1 April 2018.
The FCA has since made final rules to change how the FSCS is funded, following consultation on reform proposals. It has also made rules to increase the FSCS compensation limit for investment provision, investment intermediation, home finance and debt management claims to £85,000. Both take effect in April 2019.
Handbook Notice 54 includes changes to the Handbook to reflect the FCA’s forthcoming office relocation. These come into effect on 1 July 2018. Firms should note the FCA’s response on pages 9 and 10 of the Notice to the consultation on this matter, regarding communications with customers and the content of credit agreements.
The FCA has issued a warning to the public about the increased threat of loan fee scams, where consumers are asked to hand over a fee when applying for a loan or credit that they never receive.
In the first case brought by the FCA and PRA under the Senior Managers Regime, Barclays Group’s Chief Executive has been fined and special requirements announced regarding whistleblowing systems and controls at Barclays. See the press release for details.
On 26 April 2018, the FCA’s Director of Competition gave a speech on ‘Blockchain: considering the risks to consumers and competition’, in which she discussed the background to the use of cryptocurrencies, other applications for distributed ledger technology, and the promises and risks of new technology-driven developments. The senior adviser on the long-term future of the financial system, recently appointed by the Governor of the Bank of England, will work with colleagues to deepen the Bank’s understanding of the prospects for new financial technologies to better serve UK households and businesses.
The FCA has published the final list of the most representative services linked to a payment account and subject to a fee within the meaning of Regulation 3 of the Payment Accounts Regulations. Payment accounts providers must begin using this standardised terminology from 31 October 2018. They will also need to provide a pre-contractual fee information document (see details here) and an annual statement of fees (see details here).
The FCA published the draft text of a speech delivered in March 2018 by its Director of Retail Banking Supervision, on ‘Payments after PSD2: evolution or revolution’. She discussed, among other things, the opportunities presented by PSD2 (the revised EU Payment Services Directive) and Open Banking. In her conclusion, she commented that PSD2 “is an opportunity for banks to demonstrate their trustworthiness to their customers – and to consumers generally. But trustworthiness is not a matter just for banks. It’s a matter for all players in the payments ecosystem. We all know that perceptions of trustworthiness are determined by actions and words. Perceptions are also shaped by how these new services are portrayed in the media. The payments and retail banking sectors are so inter-linked that where one player’s reputation is compromised, it affects the reputation of the ecosystem as a whole. Every firm in the ecosystem has a vested interest in each other ensuring good customer outcomes and market integrity, and helping educate and inform consumers through consistent and balanced messages”.
Other sector news
The Financial Guidance and Claims Bill, which provides for the creation of a single financial guidance body, received Royal Assent on 10 May 2018. It is now the Financial Guidance and Claims Act 2018. The Act also provides that the Secretary of State must keep under review whether a prohibition on unsolicited direct marketing in relation to consumer financial products and services other than pensions would be appropriate.
The Debt Advice Steering Group (an independent cross-sector group whose mission is to coordinate and improve the debt advice sector), has agreed to back the direction of travel set out by the Wyman Review, the independent review of the funding of debt advice in England, Wales, Scotland and Northern Ireland published earlier this year. See the press release for more details.
The government has decided not to bring forward the Law Commission’s Goods Mortgages Bill, which was intended to replace the existing Victorian legislation on bills of sale to govern the way that individuals can use their existing goods as security. It says that it will continue to work with the FCA as it carries out its high-cost credit review, and then further consider government action on alternatives to high-cost credit in light of the FCA’s review. See the government’s response to the consultation on the Bill, and the Law Commission’s press release, commenting on the announcement.
We reported in the March 2018 edition of the Regulatory round-up that the Financial Inclusion Policy Forum met for the first time on 19 March 2018 (following the government’s announcement earlier in the year that £55 million from dormant bank and building society accounts will fund financial inclusion initiatives). The government recently published a summary of the meeting. One of the key themes of the discussion was “the ambition of the forum to improve access to affordable credit and the importance of working jointly to address this issue”. The next meeting will take place in early autumn 2018.
The Chair of the Treasury Committee responded to a letter from the Chief Ombudsman and Chief Executive at the Financial Ombudsman Service (FOS), setting out the Committee’s expectations of the review which will be carried out following concerns about decision-making and governance at the FOS raised in a recent Channel 4 Dispatches programme. The FOS’ non-executive board will be appointing an independent person to carry out the review. The FOS previously published its plans for 2018/19. It expects to freeze the case fee at £550 for the sixth year (with no fee chargeable for each business’s first 25 complaints) and to freeze the levy at £24.5 million.
The government will spend over £5.5 million to fund the fight against loan sharks, helping to investigate and prosecute illegal lenders, and support their victims. £100,000 of money already seized from loan sharks will also be spent to encourage people in England at risk of being targeted by loan sharks to join a credit union, helping them to access a safer form of finance and get their lives back on track. See the press release for more details.
The University of Bristol Personal Finance Research Centre has published a report on whether data-sharing can improve the support provided to customers in vulnerable situations.
The FSCS announced its final levy for 2018/19 at £407 million.
The Treasury Committee launched a new inquiry into economic crime. It will cover anti-money laundering and the sanctions regime, and consumers and economic crime (including the effectiveness of financial institutions in combatting economic crime, and the security of consumer data).
On 14 May 2018, the Council of the European Union formally adopted the Fifth Money Laundering Directive. See the press release.
The Sanctions and Anti-Money Laundering Bill received Royal Assent on 23 May 2018. It is now the Sanctions and Anti-Money Laundering Act 2018. The Act is intended to ensure that the UK can continue to meet its international obligations and to implement UK sanctions and anti-money laundering measures after the UK leaves the EU.
Line by line examination of the Creditworthiness Assessment Bill took place in the House of Lords on 11 May 2018. The Bill seeks to impose a requirement on the FCA to make rules to ensure that firms carrying on credit-related regulated activities and connected activities, and those entering into or varying a regulated mortgage contract or home purchase plan, take into account rental payment history and council tax payment history when assessing a borrower’s creditworthiness.
The Advertising Standards Authority has upheld a complaint against Intelligent Lending Ltd t/a Ocean Finance, in relation to a radio ad for Ocean credit cards. It ruled that the ad included claims that triggered the requirement in the Consumer Credit Sourcebook to include a representative APR.
The Payment Systems Regulator (PSR) wrote to LINK setting out in detail its expectations of LINK’s monitoring and reporting activity. Concerns were raised previously regarding LINK’s consultation on proposals for the future level of its interchange fee, which funds the UK’s free-to-use ATM network. LINK addressed the PSR’s key requirements to ensure that consumers continue to have widespread free access to cash, but the PSR has said that it will continue to actively monitor developments. It also published a one-page factsheet explaining what LINK must report to the PSR on a monthly basis.
The Electronic Money Association, Financial Data and Technology Association, techUK and UK Finance published voluntary guidelines and encouraged market behaviours under PSD2 in the ‘transitional period’. The main aims of the guidelines are to “foster a collaborative and cooperative industry ecosystem around account information services and payment initiation services, and to further boost customer protections”.
HM Treasury has published its response to the consultation on legislation for two measures to support the introduction of the Image Clearing System (ICS) for cheques. The first concerns the use of cheques as evidence of payment, and the second concerns compensation for customers in the event that they suffer a loss. The stated aim is to ensure that the ICS, which will clear all cheques by October 2018, has no detrimental impact on the existing position of cheque users.
UK Finance published a set of Frequently Asked Questions on the General Data Protection Regulation (GDPR), the new data protection regime which comes into force tomorrow.
The European Supervisory Authorities published their latest report on the risks and vulnerabilities in the EU financial system. Cyber risks are identified as a significant and escalating threat. Risks related to virtual currencies are also mentioned. See the press release with a link through to the report.
The European Central Bank published a European framework for testing financial sector resilience to cyber attacks. See the press release for details.
See the Data Protection section of this Regulatory round-up for the latest on GDPR and cyber security.

Data Protection – April/May 2018
GDPR and UK Data Protection Act 2018 in force tomorrow, news from the ICO, cybersecurity update […]
GDPR and UK Data Protection Act 2018 in force tomorrow, news from the ICO, cybersecurity update and more.
Latest on the EU General Data Protection Regulation (GDPR) – in force tomorrow!
The waiting is finally over! GDPR, the new data protection regime, comes into force tomorrow. Guidance has been coming in thick and fast at both UK and European level. We provided a round-up of the latest guidance in our recent newsletter. Since then, the UK’s Information Commissioner’s Office (ICO):
- published its final detailed guidance on consent (and the accompanying blog post)
- published its final detailed guidance on Data Protection Impact Assessments
- published detailed guidance on the right to be informed
- published detailed guidance on automated decision-making and profiling
- expanded the pages in its Guide to the GDPR covering the right of access, the right to object, the right to data portability and data protection by design and default
- published new pages on codes of conduct and certification.
The European Commission recently published a Seven steps for businesses to get ready for the GDPR factsheet.
On 18 May 2018, the National Cyber Security Centre (NCSC) published guidance developed jointly with the ICO, describing a set of technical security outcomes that are considered to represent “appropriate” measures under GDPR.
The Crown Commercial Service published a procurement policy note, reminding in-scope organisations of their obligations under the new data protection legislation. It previously published GDPR customer toolkit guidance and guidance for suppliers on next steps.
The Committee of Advertising Practice is consulting until 19 June 2018 on changes to its rules on the collection and use of data for marketing, in light of GDPR.
Nominet UK, the .uk domain name registry in the UK, published the response to its consultation on proposed changes to comply with GDPR. Among other things, registrant data will be redacted from the WHOIS database, unless explicit consent has been given.
In her speech at the Data Protection Practitioners’ Conference on 9 April 2018, the UK’s Information Commissioner referred to enforcement being a last resort: “Hefty fines will be reserved for those organisations that persistently, deliberately or negligently flout the law. Those organisations that self-report, engage with us to resolve issues and can demonstrate effective accountability arrangements can expect this to be a factor when we consider any regulatory action. It’s not just about fines though, is it? The GDPR has handed the ICO a whole new set of tools to motivate organisations towards compliance. Privacy by default and design, codes of practice, privacy seals, Data Protection Impact Assessments, accountability mechanisms, data protection officers …all these things – and more – form an integrated package. All of them are necessary; none of them is sufficient on their own. And when we do need to apply a sanction, fines will not always be the most appropriate or effective choice. Compulsory data protection audits, warnings, reprimands, and enforcement notices are all important enforcement tools. The ICO can even stop an organisation processing data. None of these will require an organisation to write a cheque to the Treasury, but they will have a significant impact on their reputation and, ultimately, their bottom line”.
Please do not hesitate to contact us should you require assistance on any aspect of GDPR compliance.
Latest on the UK Data Protection Act 2018 – in force tomorrow!
After both Houses of Parliament agreed on the text of the UK’s Data Protection Bill, to be read alongside GDPR, it received Royal Assent on 23 May 2018. Now known as the Data Protection Act 2018, it comes into force tomorrow. The Information Commissioner has published a blog post on the new Act. The ICO previously published an introduction to the Data Protection Bill and a Guide to Law Enforcement Processing, which highlights the key requirements under Part 3. Watch out for our separate upcoming briefing on the new Act.
Latest on the ePrivacy Regulation
The new ePrivacy Regulation (which, among other things, sets out rules for direct marketing via phone, text and email) was due to apply at the same time as GDPR. The government has confirmed that delays in negotiations in Europe mean that the deadline will be missed. In light of Brexit, it is not clear when (if at all) the new rules will apply in the UK. Until the new Regulation is finalised, the existing PECR (Privacy and Electronic Communications Regulations) rules will apply using the GDPR definition of consent. On 15 May 2018, the European Commission published a factsheet on the proposed Regulation, as part of a wider press release about concrete actions European leaders can take to protect citizens’ privacy and make the EU’s Digital Single Market a reality before the end of 2018.
More news from Europe…
The Article 29 Working Party (WP29), which will be replaced tomorrow by the European Data Protection Board, held its last plenary meeting on 10 and 11 April 2018. Among other things, the WP29:
- published a statement on encryption
- established a social media working group (whose work will continue after tomorrow)
- published a list of the European national data protection authorities including contact details
- wrote to the International Organisation for Standardisation (ISO) requesting that ISO 17065 be published free of charge, allowing the national data protection authorities to fulfil GDPR obligations in relation to accreditation
- wrote to Facebook requesting information regarding its use of facial recognition.
We reported previously that the Irish High Court is referring questions over the validity of the European Commission’s adequacy decisions on model contract clauses to the Court of Justice of the European Union (CJEU), following the complaint by Austrian privacy campaigner Max Schrems to the Irish Data Protection Commissioner about Facebook Ireland’s transfer of his personal data to Facebook Inc. in the US. The High Court made a request to the CJEU for a preliminary ruling, which sets out the 11 questions to be referred. On 2 May 2018, the High Court rejected Facebook’s application for a stay pending an appeal against the making of the reference. It held that the least injustice would be caused by the High Court refusing any stay and delivering the reference immediately to the CJEU.
‘Snooper’s Charter’ incompatible with EU law
In a victory for human rights organisation Liberty, the English High Court ruled that Part 4 of the Investigatory Powers Act 2016, dubbed the ‘Snooper’s Charter’, is incompatible with fundamental rights in EU law. The government now has until 1 November 2018 to rewrite this section of the legislation, which deals with the retention of communications data. Liberty launched a second crowdfunding campaign to continue with its legal challenge against the Act.
ICO news and recent enforcement action
- The University of Greenwich was fined £120,000 following a serious security breach involving the personal data of nearly 20,000 people, including staff, students and alumni, some of which was sensitive data.
- Two West Yorkshire firms were fined a total of £400,000 for nuisance calls to subscribers of the Telephone Preference Service (TPS).
- Two Stockport firms were fined for nuisance marketing. The first had made more than 69,000 calls to people registered with the TPS and was issued with an enforcement notice ordering it to stop illegal marketing; the second had sent more than 260,000 spam texts.
- Royal Mail was fined £12,000 for sending more than 300,000 emails to people who had already opted out of receiving direct marketing.
- The Crown Prosecution Service was fined £325,000 after it lost unencrypted DVDs containing recordings of police interviews with child abuse victims. It was previously fined £200,000 for a separate breach in November 2015.
- Humberside Police was fined £130,000 after unencrypted disks containing the interview of an alleged rape victim, and accompanying paperwork, went missing.
- A former hospital employee was prosecuted after she accessed patient records without authorisation.
- Kensington and Chelsea Council was fined £120,000 after it unlawfully identified 943 owners of vacant properties in response to Freedom of Information Act requests by journalists.
- A former recruitment consultant was fined for stealing personal data from his employer when he left to set up a rival company.
The ICO is consulting until 28 June 2018 on how it will use increased powers under upcoming data protection reform. It has also published a blog post on the consultation.
The ICO’s latest statement on its investigation into data analytics for political purposes can be found here.
The ICO served an enforcement notice on SCL Elections Ltd (said to be Cambridge Analytica’s agent) in relation to an inadequate response to a data subject access request submitted to Cambridge Analytica by a US academic.
Cybersecurity update
The Network and Information Systems Regulations 2018 (NIS Regulations) came into force on 10 May 2018. They were made to implement the EU Directive on Security of Network and Information Systems (NIS Directive). The government previously consulted on its plans to implement the NIS Directive. More information can be found here. Businesses identified as “operators of essential services” will be required to take appropriate and proportionate security measures to manage the risks to their systems and to notify serious incidents to the relevant authority. Key digital service providers will also have to comply with security and incident notification requirements. The government has published a health sector guide and a transport sector guide to assist with compliance with the NIS Regulations. Ofcom has published interim guidance for operators of essential services in the digital infrastructure subsector. The NCSC has also updated its guidance.
In other developments:
- On 16 May 2018, the NCSC published guidance outlining the security steps that organisations should take in response to an increased threat of cyber attack.
- The Department for Digital, Culture, Media and Sport published the Cyber Security Breaches Survey 2018. A summary is set out on pages 1 to 3.
- TheCityUK published a report outlining a new framework for boards to meet the growing cyber threat.
- The NCSC and the National Crime Agency (NCA) produced a joint report on the cyber threat to UK business.
- A website linked to more than four million cyber attacks globally, was shut down following an investigation led by the NCA and the Dutch National Police. See the NCA’s press release.
- The Home Secretary announced that the government will be investing over £50 million over the next year to bolster cyber capabilities within law enforcement at a national, regional and local level. See the press release for more details on how some of the funds will be allocated.
- In a speech given at the same event, the Information Commissioner spoke of how security “is a boardroom-level issue. We have seen too many major breaches where companies process data in a technical context, but security gets precious little airtime at board meetings. If left solely to the technology teams, security will fail through lack of attention and investment. These companies may have the best policies in the world – but if those policies are not enforced, and personal data sits on unpatched systems with unmanaged levels of employee access, then a breach is just waiting to happen”.

Health and Safety – April/May 2018
Final report on building regulations and fire safety; latest £1 million-plus fines; other sentencing news […]
Final report on building regulations and fire safety; latest £1 million-plus fines; other sentencing news and more.
Independent review of building regulations and fire safety – final report published
Dame Judith Hackitt’s long-awaited final report on building regulations and fire safety was published on 17 May 2018. The government announced an independent review following the Grenfell Tower disaster and an interim report was published in December 2017. Dame Hackitt concludes that the regulatory system covering high-rise and complex buildings is not fit for purpose and there is a need for a “radical rethink” of the whole system and how it works. She calls for major cultural change.
The review identified numerous weaknesses in the system and the report sets out a series of recommendations to address these. This includes a possible new regulatory framework which is intended to be more straightforward, comprehensible, rigorous and effective. The proposed framework is outcomes-based, rather than prescriptive, a move which is likely to raise concerns among industry experts and MPs who have been calling for a more prescriptive approach to building regulation. The report recommends, among other things, the establishment of a new Joint Competent Authority to oversee better management of safety risks across a building’s entire life cycle. The need to consider each building as a single inter-locking system is a key theme. See our recent newsflash for further details.
The fire at Grenfell Tower appeared to be accelerated by the exterior cladding system. Shortly after the final report was released, the government confirmed that it will consult on banning the use of combustible materials and cladding systems on high-rise residential buildings. The report stopped short of recommending an outright ban.
In other developments:
- The separate, extensive, public inquiry into the disaster opened on 21 May 2018. It will start to hear evidence in June 2018. This phase will focus on the factual narrative of the events of the night of 14 June 2017.
- The government issued a consultation on restricting or banning the use of desktop studies as a way of assessing the fire performance of external cladding systems.
- Research commissioned by the Association of British Insurers has “exposed the utter inadequacy of the laboratory tests currently used to check the fire safety of building materials”. See the press release.
£1 million-plus fines continue to bite
The rate at which fines of £1 million or more are being handed down for health and safety breaches shows no sign of slowing down:
- In a prosecution brought by Milton Keynes Council, logistics company DHL was fined £2 million after a worker was fatally crushed between a reversing lorry and a loading bay at its Milton Keynes depot.
- Royal Mail was fined £1.6 million – its largest ever for health and safety offences – after a member of the Communications Union was knocked unconscious by a departing vehicle at the Jubilee Royal Mail Centre in Hounslow, suffering multiple serious injuries.
- A car parts manufacturer was fined a total of £1.6 million in relation to two separate incidents, after five people fell seriously ill with Legionnaires’ Disease and a worker suffered serious burns in an explosion. The company had failed to effectively manage the water cooling systems in its factory, and the Health and Safety Executive (HSE) found that adequate measures were not put in place to protect operators from explosion risks. There had been previous explosion incidents.
- In a prosecution brought by Ealing London Borough Council, Tesco was fined a total of £1.6 million after a member of the public suffered serious and life-changing injuries when a driver carried out an unassisted reverse (which was contrary to internal procedures) into the loading bay.
- A civil engineering firm and a district heating firm were each fined £1 million after a worker was fatally crushed when a large heating pipe which he was unloading fell on top of him. The pipes were incorrectly stacked. The HSE inspector said: “This was a wholly avoidable incident, caused by the failure of both companies to follow safe systems of work, and a failure to identify the risks. This tragic incident led to the avoidable death of a young man. There was a lack of planning for the work carried out and, as a result, inadequate controls put in place”.
Round-up of other sentencing news
- Two fairground workers were convicted of gross negligence manslaughter following the death of a seven-year-old girl in a bouncy castle incident. The inflatable had not been adequately anchored to the ground and the couple failed to monitor weather conditions to ensure that it was safe to be in use. The Sentencing Council consulted in the second half of 2017 on a draft sentencing guideline for gross negligence manslaughter. See the August 2017 edition of our Regulatory round-up for more details.
- A pre-cast concrete products manufacturer was fined £660,000 after an employee carrying out maintenance work was fatally injured when he became trapped by machinery. The HSE investigation found that the company had not implemented procedures to ensure machinery was isolated before maintenance work was started. The HSE inspector said: “This tragic incident, which led to the avoidable death of a man, was easily prevented and the risk should have been identified. Employers should make sure they apply effective control measures to minimise the risk from dangerous parts of machinery. Maintenance work should only be carried out when the piece of plant/equipment is isolated and confirmed safe. There should not be any spare keys to captive key systems”.
- Two directors of a waste management company received suspended custodial sentences after an employee suffered serious injuries when his arm became caught in a conveyor.
- A company director received a suspended custodial sentence and was ordered to carry out 240 hours of unpaid work after a worker suffered life-changing injuries when he fell through a fragile roof.
- A building contractor was sentenced to five months’ and two months’ imprisonment respectively (to run concurrently) for breaches of the Construction (Design and Management) Regulations 2007 and the Reporting of Injuries, Diseases and Dangerous Occurrences Regulations 2013, following a house collapse in Brighton.
- The Office for Nuclear Regulation has notified Sellafield Ltd that it intends to prosecute the company in relation to an incident which resulted in personal contamination to an employee. See the press release.
- A company dealing in trucks and trailers has had its £475,000 fine, following the death of a contractor, reduced to £200,000 on appeal [1].
- A £300,000 fine imposed on University College London, which has charitable status, was upheld on appeal [2].
News from Europe
The European Agency for Safety and Health at Work launched an e-tool to help organisations assess and manage the risks of dangerous substances. This is one of the resources in its 2018-19 Healthy Workplaces campaign.
The European Commission published a report on the Product Liability Directive. As the Directive has never been evaluated since its entry into force in 1985, and in light of recent technological developments, the Commission carried out an evaluation to assess its performance. While the Directive remains an adequate tool, there are challenges relating to, among other things, digitisation, the Internet of Things, artificial intelligence and cybersecurity. The Commission has launched an expert group on liability, which will: assist the Commission in interpreting, applying and possibly updating the Directive, including in light of developments in EU and national case law, the implications of new and emerging technologies and any other development in the field of product liability; and assess whether the overall liability regime is adequate to facilitate the uptake of new technologies by fostering investment stability and consumer trust. The Commission will issue guidance on the Directive as well as a report concerning artificial intelligence, the Internet of Things and robotics in mid-2019.
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[1] R (on the application of Health and Safety Executive) v ATE Truck & Trailer Sales Ltd [2018] EWCA Crim 752
[2] R v University College London [2018] EWCA Crim 835