Scrap Metal Dealers Act 2013
On the 1st October 2013 the Scrap Metal Dealers Act 2013 was enforced. This act was proposed in 2012 but was legally enforced by parliament in 2013 with more individuals being given the power to enforce the rules and regulations of the new act.
The new act focuses on improving the standards of trade whilst reducing the amount of metal theft that is carried out within the UK. The following information is for members of the public and for scrap dealers that aren’t aware of the changes that have been made to law in regards to scrap metal and dealers.
Obtaining a Licence
The new, which was proposed in early 2012, states that all scrap dealers have to contact their local authority such as their local council in order to apply for a licence to deal and to trade in scrap metal. Having to apply for this licence reduces the amount of scrap dealers that are collecting scrap without permission or through illegal means.
As of early October it was made an offence to make cash payments for scrap metal – we have already seen a decrease in the levels of crime related to the illegal trade of scrap metal. Those in authoritative positions within your area will be allowed to cease all onsite operations if they suspect that cash payments have been made in relation to the trade of scrap metal.
If individuals are found guilty of accepting or using cash payments to trade scrap metal they can have their scrap dealers licence suspended until legal proceedings are initiated; these proceedings can leave dealers without a licence to trade further if found guilty.
As cash payments are no longer acceptable all payments for scrap metal must be done through electronic transfers of funds and through a cheque. The changes to the act that were proposed in 2012 focus on encouraging the use of electronic payments such as debit cards, credit cards and online banking. By focusing on the use of electronic payments illegal operations such as money laundering can be significantly reduced throughout the UK.
Verification & Proof of Identity
Another change that is being enforced with the new act is that when a scrap metal dealer is collecting metal they must now confirm the identity and address of the person that they are purchasing or accepting the scrap metal from.
Once the scrap metal dealer has verified the identity and the home address of the individual they have to make and keep a record of their identity, their address and a brief description of the objects that they have submitted. This information should be kept for a minimum of three years before being destroyed.
If the scrap metal is not collected from a person but instead from a location such as a roadside the scrap metal dealer must still make a note of the items that they have collected but do not need to record an identity or address for obvious reasons. By making notes on what the scrap metal dealer has found they can aid in the identification of the owner at a later date.
All of the changes that have been enforced were developed to protect the public and to prevent scrap metal theft within the UK. In this case the changes in the act were made to make the trade and the operation of scrap metal much smoother without allowing for criminal behaviour to occur.
For more information on the enforcement of the scrap metal act or for information on our expert services you can get in touch with us here at Taroni Metal. We’d be more than happy to help you with any questions that you may have.