HC Deb 09 May 1996 vol 277 cc265-6W
Mr. O'Hara

To ask the Minister of Agriculture, Fisheries and Food (1) how many customers are currently disputing the bills submitted to them by the Meat Hygiene Service; [28335]

(2) how many customers to date have refused to pay some or all bills submitted to them by the Meat Hygiene Service since the inception of the service. [28334]

Mrs. Browning

[holding answer 7 May 1996]: I have asked the chief executive of the Meat Hygiene Service to reply.

Letter from Johnston McNeill to Mr. Edward O'Hara, dated 9 May 1996:

As Chief Executive of the Meat Hygiene Service (MHS) your questions to the Minister of Agriculture, Fisheries and Food concerning the number of customers currently disputing and refusing to pay the bills submitted to them by the MHS has been passed to me for reply. (28335 + 28334)

124 customers are currently disputing the bills submitted to them by the MHS. 125 customers have refused to pay some or all bills since the launch of the MHS on 1 April 1995.

As you may be aware the majority of these outstanding debts relate to payment strikes by some plants in support of the Woodspring Case, a civil action brought by Woodspring District Council against Bakers of Nailsea to recover unpaid meat inspection charges. The Association of District Councils calculated that by the end of the 1994–5 financial year, local authorities would be owed some £2.5 million in unpaid charges. The High Court found in favour of Woodspring Council in 1994, but the case is under appeal and also being considered by the European Court of Justice. A judgement is expected in the autumn of 1996. However, I would like to stress that the MHS continues to provide a 100% inspection service to all customers regardless of whether there is a dispute over the charge for the services. The MHS also allowed for debt arising from the Woodspring Case in its 1995–96 Business Plan. Costs arising as a result of Specified Bovine Material enforcement action by the MHS are paid for by central Government.

The Agency does operate rigorous debt recovery procedures. Invoices which remain unpaid after 21 days and which are not subject to query are passed to the Legal Department of MAFF who issue a warning "letter" before action. The intention is that a summons will be issued 14 days later unless payment has been received in the meantime.