Sentencing of very large organisations: Emma Davies & Rosie Nelson report
The common theme running through the recent changes to legislation and guidelines on sentencing is that big businesses must step up their efforts to improve their regulatory compliance—or pay the hefty price.
In the past, less serious regulatory offences were tried in the magistrates’ courts, where the cap on fines at £20,000 proved to be a mere slap on the wrists for big businesses. But the Legal Aid, Sentencing and Punishment of Offenders Act 2012 (LASPO) now gives magistrates powers to issue unlimited fines. This alone should be sufficient to strike fear into the hearts of large organisations with poor track records for regulatory compliance.
In relation to environmental offences, the recent Court of Appeal case, R v Thames Water Utilities Ltd [2015] EWCA Crim 960, [2015] All ER (D) 31 (Jun), demonstrates the new, tougher sentencing that judges are willing to impose. In this case, the court at first instance found Thames Water to have been negligent in its failure to replace
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