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Scrap Metal Dealers

The Scrap Metal Dealers’ Act 2013 applies in England and Wales and commenced on 1 October 2013. it places significant regulation on the idustry and it is essential those in the profession seek proper advice in order to ensure compliance.

• All site-based and mobile scrap dealers, including motor salvage operators, must obtain a scrap metal dealer’s licence from their local authority in order to continue operating legally.

• Councils will check the suitability of applicants to operate as a scrap metal dealer which will include checking criminal records.

• The ban of cash payments for scrap metal will be extended to all metal dealers including traditional scrap yards, mobile collectors and motor vehicle salvage operators.

• Scrap metal dealers must verify the identity of anyone from whom they buy scrap metal.

• There will be increased penalties including higher fines and sentences for breaking the law.

 

All site-based and mobile scrap dealers, including motor salvage operators, must obtain a scrap metal dealer’s licence from their local authority in order to continue operating legally.

• Councils will check the suitability of applicants to operate as a scrap metal dealer which will include checking criminal records.

• The ban of cash payments for scrap metal will be extended to all metal dealers including traditional scrap yards, mobile collectors and motor vehicle salvage operators.

• Scrap metal dealers must verify the identity of anyone from whom they buy scrap metal.

• There will be increased penalties including higher fines and sentences for breaking the law.

There are two types of licences available, each valid for three years:

• A site licence – which authorises the licensee to carry on business from any site in the authority’s area as identified in the licence.

• A collector’s licence – which authorises the licensee to carry on business as a mobile collector in the authority’s area. NB mobile collectors will need licences for every local authority area in which they collect.

An individual may hold more than one licence issued by different local authorities, but may not hold more than one licence issued by any one authority.

Local authorities can set their own fee for the licence which covers the cost of the administration and compliance checks.