What happens next to private security regulation after the Olympics is among the topics in the Security Industry Authority’s annual report. Businesses will be licensed and regulation will primarily be delivered through the relationship with these licensed businesses. Businesses will be responsible for ensuring deployed staff abide by conditions of registration and accountable for the compliant conduct of deployed staff.
Checks will be conducted to establish that a business is ‘fit and proper’ to trade. Applications for individual registration will be via a Mediated Access Partner (MAP) or authorised licensed businesses. There will be no application channel for individual registration direct to the regulator.
The report says: “Our change programme is supported by a number of projects that develop our existing remit (such as operational enhancements and designing an improved future operating model) as well as developing new arrangements for the regulation of businesses.”
As for income, the SIA’s in 2011/12 was £33.7m, some £5.9m greater than in 2010/11 (reflecting the regulator’s three year licence and financial cycle). The SIA made a surplus of £5.4m. This surplus also reflects further reductions made to costs which, at £28.3m, were only £0.2m higher than in 2010/11, in spite of the higher number of applications processed. This represents an average cost to issue a licence of £138 and an operational cost of £100 per active licence. Licensing was introduced in sectors of the private security industry on specified enforcement dates from 2006/07, with the largest sectors being licensed for the first time in that year. These factors, combined with the subsequent pattern of licence applications, mean that the SIA’s income follows a three year cycle, and highest in the year covered by the report, 2011-12.
In a joint foreword SIA chairman Baroness Ruth Henig and chief executive Bill Butler say: “Service levels were maintained or improved; we were able to consolidate our performance and renew our accreditation for standards of customer service and also to deliver reductions in our fee levels. In line with the timetable agreed with ministers, we have worked with the industry to carry out a detailed analysis and develop detailed proposals for how a future regulatory regime might work and these proposals are being discussed with the Home Office, devolved administrations and industry representatives in the Strategic Consultation Group.”
Membership of the Approved Contractor Scheme (ACS) now stands at 736. The regulator has seen more than 200 new applications for approval over the past 12 months. Although 125 new approvals have been granted, around one third of new applicants were unable to satisfy the SIA that they met all ACS requirements. In a sign of the continuing risks to compliance, the report speaks of work with Strathclyde and Greater Manchester Police, on a threat to the credibility of ACS, ‘due to approved contractors wittingly entering into agreements with non-approved contractors to circumvent buyers’ stipulation of ACS. We also identified a risk to approved contractors who unwittingly entered into such agreements.’
On enforcement, the SIA speaks of compliance of 98 per cent including operations against organised crime and prosecutions of individuals and businesses.
Henig and Butler sum up: “Effective regulation is only possible with the support and cooperation of those working in the private security industry and our many partners, who help to ensure that we can work with our customers effectively and that we robustly pursue those who choose not to comply.”
