FFI hourly rates increase
The HSE are set to increase the hourly FFI rates after HSE’s annual report revealed that the staff and operating costs of the scheme had increased.
The HSE are set to increase the hourly Fee For Intervention (FFI) rates after HSE’s annual report and accounts revealed that the staff and operating costs of the scheme had increased, totalling £17.5 million compared to £11.9 million last year.
The FFI cost recovery scheme, which came into effect on 1 October 2012, puts a duty on the HSE to recover its costs for carrying out its regulatory functions from those found to be in material breach of health and safety law.
Dutyholders who are compliant with the law, or where a breach is not material, will not be charged FFI for any work that HSE does with them. A material breach is when, in the opinion of the HSE inspector, there is or has been a contravention of health and safety law that requires them to issue a notice in writing of that opinion to the dutyholder.
Since 6 April 2016, the new hourly fee is £129, an increase of 4% since FFI was introduced.
According to the most recent figures, the average cost of an FFI invoice was £650. At the new rate, this would become £675.
It is well known that the FFI scheme is unpopular with some, but it has been argued that FFI has been effective in achieving the overarching policy aim of shifting the cost of health and safety regulation from the public purse to those businesses that break health and safety laws.
The HSE stated that “the many businesses that comply with their legal obligations will continue to pay nothing.”