HL Deb 08 September 2003 vol 652 cc73-4WA
Lord Dixon-Smith

asked Her Majesty's Government:

What is the estimated annual cost of implementing the Control of Asbestos at Work Regulations 2002. [HL4136]

Baroness Hollis of Heigham

The cost of implementing the new measures in the Control of Asbestos at Work Regulations 2002 is some £1.7 billion over 50 years. The majority of the costs are for the new duty to manage asbestos in non-domestic premises (£1.4 billion). It is anticipated that much of the costs would be incurred during first 10 years but no annual breakdown of the costs has been made.

This is balanced against the benefits estimated at £3 billion reducing the risks from asbestos and so preventing an estimated 4,700 asbestos-related deaths.

Lord Dixon-Smith

asked Her Majesty's Government:

What is the estimated additional cost to the implementation of the Control of Asbestos at Work Regulations 2002 to businesses licensed to dispose of asbestos; and [HL4137]

What is the estimated additional cost of the implementation of the Control of Asbestos at Work Regulations 2002 to businesses licensed to remove asbestos from buildings and other installations for disposal. [HL4138]

Baroness Hollis of Heigham

Changes in the Control of Asbestos at Work Regulations 2002 and the supporting approved codes of practice (ACoP) will place some additional cost on asbestos removal contractors. Better control measures, clearance procedures and training are estimated to cost a total of £4 million but will have benefits of about £8 million in reduction of risks to workers. The regulations and ACoPs do not place any new costs on businesses licensed to dispose of asbestos.

Lord Dixon-Smith

asked Her Majesty's Government:

In the light of the Control of Asbestos at Work Regulations 2002, what is the estimated percentage annual increase in the cost of insurance premiums to businesses licensed to dispose of asbestos for the years 2001 to 2002, 2002 to 2003 and 2003 to 2004; and [HL4193]

In the light of the Control of Asbestos at Work Regulations 2002, what is the estimated percentage annual increase in the cost of insurance premiums to businesses licensed to remove asbestos from buildings and other installations for disposal for the years 2001 to 2002. 2002 to 2003 and 2003 to 2004; and [H4194]

In the light of the Control of Asbestos at Work Regulations 2002, how many businesses have ceased removing asbestos for disposal in the years 2001 to 2002, 2002 to 2003 and 2003 to 2004; and [HL4195]

In the light of the Control of Asbestos at Work Regulations 2002, how many firms now provide insurance to businesses that either remove for disposal, or dispose of, asbestos. [HL4196]

Baroness Hollis of Heigham

There is no direct connection between the Control of Asbestos at Work Regulations 2002 and insurance issues for those companies involved in asbestos removal and disposal; nor is there any relationship between the making of these regulations and the numbers of contractors who fail to renew their licence.

Currently three insurance underwriters provide employer liability cover for asbestos removal contractors. The Asbestos Removal Contractors Association has said that premiums have risen 200 per cent for removal contractors between 2001 and 2003. There is no reason to believe that this increase is related to the making of the regulations. There is no information available on insurance of licensed asbestos waste carriers who dispose of asbestos.

In 2001–02, 109, and in 2002–03, 105 removal contractors have not renewed their HSE licence for asbestos work. Over 730 contractors still hold licences and the number of licence holders has remained virtually unchanged for the past four years.