Overview

This bill aims to regulate the scrap metal industry in England and Wales by introducing a licensing system for scrap metal dealers, stricter rules on record-keeping and payment methods, and powers for authorities to close unlicensed sites.

Description

Licensing

The bill requires all scrap metal dealers to obtain a licence from their local authority. Licences will be of two types: site licences (for fixed locations) and collector's licences (for mobile collectors). Authorities will assess applicants' suitability, considering criminal records and previous enforcement actions. Licences can be revoked or have conditions added if the licensee is unsuitable or violates the Act.

Business Conduct

The bill mandates identity verification of suppliers, prohibiting cash payments and requiring payments by cheque or electronic transfer. Dealers must keep detailed records of all transactions for three years. Authorities and police have the right to inspect licensed sites and records.

Unlicensed Sites

The bill grants authorities and police powers to issue closure notices for unlicensed sites, with the option to obtain a court order for closure if necessary. This includes the power to enter and inspect premises suspected of illegal activity.

Other Provisions

The bill repeals previous legislation related to scrap metal dealers and includes provisions for a review of the Act after five years.

Government Spending

The bill does not directly provide figures on government spending. However, it is likely to involve costs for local authorities in administering the licensing system and for enforcement. The Environment Agency and Natural Resources Body for Wales will also incur costs related to maintaining registers.

Groups Affected

• Scrap Metal Dealers: Will be required to obtain licences, follow stricter rules on record-keeping and payment, and face potential penalties for non-compliance.
• Local Authorities: Will be responsible for issuing and managing licences, enforcing the Act, and potentially incurring costs in administering the new regulations.
• Police Forces: Will have additional powers to inspect sites and investigate offences.
• Environment Agency and Natural Resources Body for Wales: Will maintain registers of licensed dealers.
• Suppliers of Scrap Metal: Will need to provide identification when selling scrap metal.

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