UK court overturns FSA slaughterhouse charging system in England, Wales
Industry groups say the ruling could lead to changes in how official control costs are calculated and recovered.
UK – The High Court has ruled that the Food Standards Agency (FSA) unlawfully charged slaughterhouses in England and Wales for official controls, delivering a judgment in a legal challenge brought by meat industry organisations.
The judicial review case was initiated by the Association of Independent Meat Suppliers (AIMS) and the British Meat Processors Association (BMPA), with backing from the National Farmers’ Union.
The FSA, which oversees food hygiene and safety inspections at slaughterhouses, requires operators to contribute towards the cost of official controls carried out at processing facilities across England and Wales.
According to industry groups, the annual cost of those controls currently stands at approximately US$86 million, with charges to businesses increasing by 24% this year.
The associations argued that the latest rise would place additional financial pressure on meat processors, contribute to higher food prices and threaten the sustainability of some slaughterhouse operations.
In her ruling, Mrs Justice Dias determined that the FSA had been applying the charges unlawfully and accepted that the agency’s hourly rates for official controls and enforcement activities must be set aside.
The court also ruled that the Cost Data Slides used by the regulator to explain how the rates were calculated should be quashed, while further submissions will be heard before the final terms of the court order are determined.
Industry organisations maintained throughout the case that the FSA’s arrangement of contracting private firms to deliver official controls while retaining close supervision of those services generated inefficiencies that were ultimately passed on to processors through higher charges.
The judge found that neither component of that management structure could lawfully be included in costs recovered from industry participants and also clarified which activities and personnel can be considered when calculating future charges.
Peter Hewson, veterinary director of AIMS, said he had repeatedly raised concerns about the legality of the charging model and argued that the ruling confirmed longstanding objections from the industry regarding the regulator’s approach.
Meanwhile, Jason Aldiss, executive director of AIMS, said the judgment should lead to a reassessment of relations between the regulator and the meat sector, with greater emphasis on legal compliance, transparency and risk-based oversight.
John Powell, chief executive of the BMPA, welcomed the court’s findings and said the association intends to work with the FSA on establishing a revised framework for delivering and funding official controls in the future.
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