Rogue company directors and managers - including fleet operators - that turn a blind eye to occupational road risk management could find themselves being jailed for up to two years following the introduction of the Health and Safety (Offences) Act 2008.

The new Act will be implemented on January 16, 2009. It amends the sentencing provisions contained in the Health and Safety at Work Act 1974.

The Act is aimed at punishing individuals just as the 2007 Corporate Manslaughter and Corporate Homicide Act, which was implemented in April this year, targets rogue organisations.

However, unlike the Corporate Manslaughter and Corporate Homicide Act a breach of health and safety rules will not have to result in a death.

The Health and Safety (Offences) Act 2008 extends the £20,000 maximum Magistrates’ Court fine to a wider range of health and safety offences for which fleet managers and fleet decision-makers, including directors, could be prosecuted for, to up to two years in a prison, if convicted in a Crown Court, a fine or both.

Health and safety legislation could be used to prosecute an employee whose management failings resulted in a car crash that was caused by, for example:

·        Illegal/unsafe tyres

·        A poorly maintained vehicle

·        An employee being forced to work long hours

The Health and Safety (Offences) Act 2008 has become law amid concerns among MPs and peers that existing punishments for individuals that breach health and safety laws are too low.

Health and safety specialist lawyer Michael Appleby, of Housemans in London, who is an adviser to Fleet Support Group and its RiskMaster at-work driving safety programme, said: “Those investigating a road crash will aim to identify who is responsible for managing occupational road risk. Where no evidence of an organisation planning, delivering, monitoring and reviewing road safety can be found charges could result.

“Businesses must be able to demonstrate how they manage road risk and that someone is responsible for managing that risk. But bosses cannot simply delegate the management of that risk and expect no comeback if things go wrong. Fleet managers must be given the support, the tools and the authority to be able to manage the risk effectively.”

Fleet decision-makers are both confused and concerned over the forthcoming changes in corporation tax rules as the clock continues to tick down to their introduction in April 2009.

That was the overwhelming consensus from two seminars organised by fleet operators’ organisation ACFO.

The confusion and concern expressed springs from the continuing failure of the Government to announce the final details of the capital allowances and the rental disallowance (currently called the expensive car disallowance) tax changes, the outline of which was announced in the Budget.

As a result, ACFO is demanding that HM Treasury publishes the full details of the new capital allowance rules for fleet cars in the 2008 Pre-Budget Report at the very latest. The speech is due to be held in the next few weeks, although a firm date has yet to be announced.

The key figure under the new rules is 160 g/km of CO₂. Essentially, the complex new rules will make it more expensive for companies to run vehicles over 160 g/km irrespective of whether they lease or buy. Current projections indicate that the post tax net effect could see ‘effective’ costs for a company car increase by £20 per month or more on vehicles emitting over 160 g/km.

However, within that broad guideline there are numerous other factors such as the cost of funding that need to be taken into account in calculating vehicle operating costs. Full wholelife costs including the value of any tax relief will be required to establish the real costs to the business. As a direct result, many fleets will need to give serious consideration to their allocation policies if they are to avoid significant increases in costs at both pre-tax and after-tax levels.

Alison Chapman, lead tax partner of the Deloitte & Touche Automotive Sector Group and one of the seminar speakers, said:  “The changes mean that every single model has to be examined for its tax impact. Employers who do not review their policies could well find the depreciation and funding elements of their fleet costs increase by up to 15% as a direct result of these changes, whether they lease or buy. It is likely that leasing may prove more attractive for some models.”

As the clock towards the introduction of the tax changes continues to tick there is also major concern from fleets about their ability to set up the necessary accounting and administrative functions to handle the tax changes at back-office level, according to ACFO.

Darker evenings return to the UK with the changing of the clocks on Sunday, October 26 prompting calls from Interactive Driving Systems for all road users to play a part in trying to reduce the toll of deaths and injuries on the country’s roads.

With the clocks being put back later this month following Monday’s (October 13) awareness raising ‘European Road Safety Day’, Dr Will Murray, research director, Interactive Driving Systems, said: ‘Take extra care as the nights draw in, as collision rates rise after the clocks change in October and visibility and weather conditions begin to worsen.’ 

Department for Transport data suggests that about 50% of all reported road collisions at night occur in wet conditions; even though in the UK it is wet on average only 10% of the nights.

Between 3-6pm is also a dangerous time - when people are travelling home after a busy day at work and children are making their way home from school. In summer up to a quarter of all collisions happen during these hours, but when the clocks go back, heavy traffic and rapidly deteriorating light increases this statistic to a third.

Dr Murray added: “Now is therefore a good time to focus on staying safe on the road this winter - whether you are driving on business or in your own time.

“The risks are particularly high during dark evenings, and drivers need to watch their speed as they are less likely to see vulnerable road users such as children, the elderly, pedestrians, cyclists and motorcyclists.”