Part 3: What penalties will apply?

Only organisations can be liable for the new offence, not individuals, so the Act provides for an unlimited fine - rather than a term of imprisonment.

The Court also has the power to make remedial orders against convicted organisations, which require them to remedy breaches of duty, and to make publicity orders requiring them to publicise the conviction and the particulars of the offence. Failure to comply with a remedial or publicity order is a criminal offence punishable by an unlimited fine.

Sentencing guidelines suggest that where companies are found guilty, letters must be sent to shareholders and customers, and advertisements placed prominently in the media.

Guidelines recently issued by the Sentencing Advisory Panel could double the starting point for setting fines in cases involving a fatality. Where organisations are found guilty of health and safety offences in relation to a death, the proposed starting point for setting fines is 2.5% of turnover, which can be increased or decreased by the judge, depending on any aggravating or mitigating factors.

The Sentencing Advisory Panel recommends that fines for corporate manslaughter should be significantly higher than those for health and safety offences where a death is involved. In cases of corporate manslaughter, they suggest a starting point of 5% of turnover for first-time offenders pleading not guilty. This could be raised to a maximum of 10% in the most serious cases.

Prosecutions will be of the corporate body and not individuals, but the liability of directors or other individuals under health and safety law or general criminal law is unaffected. The corporate body itself, and individuals, can still be prosecuted for separate health and safety offences.

Prosecutions against individuals for manslaughter will continue to be taken where there is sufficient evidence and it is in the public interest to do so...