Scrap metal reforms take step closer to law

Proposed reforms of the laws governing the scrap metal trade have progressed to the committee stage, after MPs voted in favour of proposals at a debate in the House of Commons today (July 13).

The reforms have been tabled as a Private Members Bill by Conservative backbench MP Richard Ottaway, having gained support from opposition MPs and the Home Office.

Although Private Members Bills rarely find their way into law, it is thought that government support could be crucial to seeing the Scrap Metal Dealers Bill passed.

Introducing the Bill, Mr Ottaway, the MP for Croydon South, said: We are talking not about petty theft but about an industry, with criminals holding our society to ransom. Why? It is because they see metal theft as a soft target. The police tell us that metal theft is emerging as a new acquisitive crime. It is a low-risk enterprise, with plenty of vulnerable targets to plunder.

Around 80% of people linked to cable theft live within six miles of the crime location. Clearly, they have no fear of being caught. The surge is driven partly by the low risk of detection. The lack of an effective framework to combat metal theft has a lot to answer for. We need new legislation to disrupt and then shut down the trade in stolen metal.

Licensing

Among the measures proposed to tighten rules around trading scrap metal are plans to make local authorities responsible for issuing a licence to trade in scrap metal, paid for by the licensee, for which the local authority will have the power to revoke or suspend should scrap dealers be found to be acting illegally.

Also, the Environment Agency will be responsible for maintaining a register of all licensed scrap dealers in the UK, which will be made publicly available. And, the Bill will make it a legal requirement for identity to be produced at the point of sale of scrap.

Police and local authorities will be given greater powers to enter and inspect unlicensed scrap yards, with clause nine of the bill allowing entry to these premises with a court order. In addition, the Bill would remove the loophole created by the Legal Aid, Sentencing and Punishment of Offenders Act 2012 allowing itinerant scrap dealers to trade in cash, and will see a cash ban enforced across the whole of the industry.

Home Office

Home Office minister James Brokenshire MP spoke out in support of the proposed bill in parliament today, describing current legislation as ineffective. He said: Through the private Members Bill introduced by my hon. Friend the Member for Croydon South, we have an opportunity better to regulate the industry. The Act is ineffective and needs change.

It does not reflect the 21st-century scrap metal industry, and the materials that dealers now purchase. It does little to ensure that dealers maintain accurate records of transactions, or verify a sellers identity. The Act merely requires records of transactions to be made.

The Bill will now face further scrutiny when it reaches the committee stage expected to be in mid September.