On the day a Government Minister meets Yorkshire business leaders to discuss cutting red tape, we reveal more potential bureaucratic threats to the region's small ventures. Business Editor RON GODFREY reports.
PREPARE to be snarled up in yet more red tape, accountants in York and North and East Yorkshire have warned the region's small businesses.
Jonathan Beckerlegge, spokesman for the Association of Certified Chartered Accountants, today issued his own "bureaucracy checklist", consisting of details of recent legislation and laws-to-come that could prove costly to small businesses.
His guide was launched as Cabinet Office Minister Jim Murphy this afternoon met Yorkshire's big business leaders to hear how they wanted the Government to cut red tape.
It was part of a nationwide fact-finding tour by Cabinet Office Ministers and the Department of Trade and Industry.
But Mr Beckerlegge, the group chief financial officer of the York-based Global Procurement Group, said he was not invited to Leeds for today's discussions.
He said: "This checklist demonstrates that the Government should be thinking small businesses first because they represent the engine room of the British economy; and then they should worry about the plcs ands major corporations.
"The big boys have the systems in place to tackle the complications and the financial muscle to deal with problems. But small businesses are hit disproportionately and are often taken by surprise. This checklist is for their benefit, but Mr Murphy please take note."
New laws to heed
Asbestos controls: Business owners are now expected to presume there is asbestos present in their premises unless there is evidence to prove that there is not. This may mean consulting a qualified asbestos surveyor. Cost: About £800 to survey 1,000sq ft of commercial space.
The Disability Discrimination Act (DDA): Businesses of all sizes now need to make reasonable adjustments to their premises to cater for the needs of disabled people. Failure to comply can lead to compensation claims of at least £1,000.
New three-step procedure: Companies now have to follow a three-step procedure for dealing with dismissal, disciplinary and grievance procedures in the workplace.
credit card fraud: Businesses which choose not to adopt the chip & PIN system will be held responsible for any credit card fraud undertaken on a chip & PIN card and will be liable to repay the cost to the credit card company.
The Information And Consultation Of Employees Regulations 2004: Employers with 150 or more staff on April 6 must consult with employees about the firm's economic situation, future business developments, employment prospects and any decisions likely to lead to substantial changes in work practices to contractual term, or face heavy fines. Companies with 100 to 149 employers must comply from April 2007. Those with 50 to 99 employees must comply from April 2008. Failure could result in fines of up to £75,000
Maternity pay must incorporate pay rises: Following a European Court of Justice decision, the UK Court of Appeal has confirmed that women are now entitled to receive pay rises awarded while they are away from work on maternity leave.
Return to sender: Businesses unaware of a new Royal Mail rule to destroy all undeliverable mail without a return address, could potentially waste hundreds of pounds a year and damage their customer relationships. To avoid this small businesses have to ensure that their post has an External Return Address (ERA).
Breach of data law: Businesses which hold personal information on a living person need to ensure that they are registered with the Information Commissioner's Office - costing £35 a year. Failure could result in a breach of the Data Protection Act and fines of up to £5,000.
Hand and arm vibration: new health and safety regulations setting out acceptable levels of occupational exposure to vibration took effect last month. Risk assessments must be conducted if the work exposes employees to levels of vibration that could pose a risk to health and safety, and action must be taken.
Laws to come
National Minimum Wage increase: From this October the National Minimum Wage will breach the £5 mark. The Government has announced that the national rate for adults will increase by 4.1 per cent to £5.05 per hour. A further rise to £5.35 comes into effect next year.
New framework for employees' rights when businesses change hands: Revisions to regulations take effect in October which protect employees' rights when ownership of a business is transferred from one employer to another.
NHS Liability for businesses: From this October, businesses could be faced with NHS bills up to £34,000 and higher insurance premiums if they fail to take all possible steps to minimise the risk of employee or customer injury.
Updated: 11:55 Thursday, August 18, 2005
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