Partner Article

Common commencement dates

With Colin Grimston of Business Link

For convenience, any changes in Government regulation affecting businesses, across a number of key departments, are communicated twice a year, on 6 April and 1 October. These are called common commencement dates (CCDs).

CCDs enable you to plan and implement any changes needed to your business to comply with new and revised regulations.

Changes will affect a range of areas including taxation, employment, health and safety, the environment and intellectual property rights and cover sectors ranging from explosives manufacturing to business services.

The examples below offer a snapshot of some key changes expected to come into force on or around 6 April 2009. This should not be read as the complete and full list of all the new regulations that might affect businesses.

Under taxes, returns and payroll, PAYE (Pay As You Earn) thresholds and rates, and National Insurance contribution rates and limits will change. Statutory sick pay, maternity pay, adoption pay and paternity pay rates for 2009-2010 will increase. For tax years starting on or after 6 April 2009, the threshold below which taxpayers do not need to make in-year payments on account of their annual income tax liability under the income tax self assessment system will double from £500 to £1,000.

In employment the statutory dismissal and disciplinary procedures (SDDPs) will be replaced by a more flexible regime. Where a trigger event occurs on or after 6 April 2009, you will not be required to follow the appropriate SDDP. Instead you should follow a fair and reasonable procedure in accordance with the new Acas code of practice. Businesses providing leave entitlement of fewer than 5.6 weeks are reminded that they must increase their workers’ statutory minimum paid leave as of 1 April 2009. From this date all workers will be entitled to annual leave at 5.6 times their usual working week - capped at 28 days.

Employees who have parental responsibility for children aged 16 and under will have the right to make a written request to work flexibly and employers will have a duty to consider such requests. New controls, a new formula for arrears and increased penalties will enforce payment of the national minimum wage (NMW). Employers who comply with NMW law are not required to take any new action. Those who do not comply will be issued with an automatic penalty of up to £5,000. The most serious cases could be subject to an unlimited fine.

In legislation concerning health, safety and premises, business rates in England will be revised for the financial year 2009-2010. The threshold at which an empty property becomes liable for business rates will increase to a rateable value of £15,000. Eligible small businesses will be able to claim small business rate relief from the date they occupy a property that is first entered on a ratings list after 1 April in a financial year.

New environmental legislation stipulates that premises producing less than 500 kilograms of hazardous waste in any 12-month period will no longer have to be notified to the Environment Agency.

It is important that all businesses take time to review the changes to ensure they comply with new or revised regulations. For more information businesses should visit Business Link’s website www.businesslinknortheast.co.uk or call 0845 600 9 006.

This was posted in Bdaily's Members' News section by Ruth Mitchell .