Cost of health and safety compliance for small firms falling says FPB

The new research puts the total cost of compliance at more than £18.2 billion – an 8.5% increase compared to 2011.

Firms are shown to be paying 11% more to external providers of payroll and tax support compared with two years ago, which the employer support organisation said was most likely down to the introduction of Real Time Information – a new HMRC payroll process introduced in April which all firms with employees have to use.

As in 2011 when the Forum did its last cost of compliance study, health and safety was still shown to be the the third biggest outlay for small firms.

"The changes in October should really see H&S costs come down as the onus shifts to employees having to take more of a responsibility for their own safety in the workplace, and the end of strict liability for employer will mean firms can’t be held responsible for accidents beyond their control,” said Downes.