Government report acknowledges health and safety cost and confusion

A GOVERNMENT report has acknowledged the cost and confusion felt by SMEs across the country over health and safety laws.

The report, from government agency the Risk and Regulatory Advisory Council (RRAC), said that millions of pounds are wasted each year due to small organisations’ uncertainty on health and safety-related issues.

It concludes that many small organisations, including small businesses, are “uncertain and confused” about their health and safety responsibilities under the law.

It blames the situation on three key factors, including the often contradictory messages that small organisations receive on the subject from the Government, insurers and the media.

It also criticises “risk-mongers”, such as unscrupulous health and safety consultants, who the RRAC say play on small businesses’ fears in order to make money.

Phil Orford, the chief executive of the Forum of Private Businesses (FPB), who advised on the report, welcomed the RRAC’s comments.

He said: “While we would argue that much of the confusion felt by smaller businesses in connection with health and safety law is brought about by the legislation itself, we do accept that a certain amount of scaremongering and exaggeration goes on.

“Inevitably the ambulance-chasing law firms have added a considerable burden to the health and safety worries faced by small firms and perhaps some unscrupulous consultants have played on those worries in order to create work for themselves.

In June, research carried out by the FPB as part of its quarterly referendum survey of members calculated that small and medium-sized companies face an annual overall bill of £2bn in time and money spent on health and safety guidelines.

The RRAC’s report can be viewed at www.berr.gov.uk/files/file52348.pdf.