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Government consultation on local authorities being obliged to pay its EU fines

Under the Localism Act 2011, if the Government is fined by the Court of Justice of the EU for failure to meet environmental targets, it is entitled to require local authorities or other public authorities who may have contributed to or be responsible for the Government to be in breach to pay the fine rather than pay the fine itself. An obvious example of where this might happen is in relation to the failure to meet air quality standards, a default which is widespread across the country.

The consultation sets out four principles.

  1. First, when negotiating and transposing EU legislation, the government will work with all bodies which might potentially be affected.
  2. Secondly, the government will allow bodies affected in a particular case time to put matters right before the passing of any penalty.
  3. Thirdly, an independent panel of experts will be appointed to ensure that the government's decision in any case is fair, reasonable and proportionate and is only applied to bodies which can rightly be said to have contributed to the government's default.
  4. Finally, bodies required to pay the fine will be able to make representations on the amount to be paid.

 

In essence, the principles are designed to avoid the government simply passing the buck: before a body can be liable to pay, the government must have provided it with the tools to enable compliance and must have been responsible in some way for the default.

For more information, please contact John Mitchell, head of Blake Lapthorn solicitors' Environment team on 023 8085 7231; email john.mitchell@bllaw.co.uk.
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