Not worth the risk: businesses caught out by health and safety regulations

Since the updated health and safety guidelines came into force last February, a number of businesses have been hit with heavy fines, including Merlin Attractions who were fined £5M over the malfunction of the Smiler ride.

Within the new rules, the courts must assess each case in terms of the overall seriousness of the offence based on the offender’s culpability and the risk of serious harm, regardless of whether any harm was actually caused.

The guidelines state ‘The fine must be sufficiently substantial to have a real economic impact which will bring home to both management and shareholders the need to operate within the law’.

Businesses should be aware that the sentences can extend to the turnover of a whole group of companies and not just the defendant company. It is advised to proactively review existing risk management and assessment systems to ensure regulatory compliance and minimise risks of breach.