OpenLegislation

Section 38 CostsI1I2

England and Wales

(1)

Regulations may make provision for an appropriate authority, by notice (a “costs notice”) to require a person to pay the costs incurred by the authority in relation to an enforcement notice up to the time of its issue.

(2)

In this section, “appropriate authority”, in relation to an enforcement notice, means—

(a)

in relation to a Part 2 obligation, the Secretary of State;

(b)

in relation to a Part 3 obligation, an enforcement authority.

(3)

In subsection (1), “costs” includes, in particular—

(a)

investigation costs;

(b)

administration costs;

(c)

costs of obtaining expert advice (including legal advice).

(4)

Regulations which provide for the issue of a costs notice to a person must secure that—

(a)

the notice specifies the amount required to be paid,

(b)

the person to whom the notice is issued may require the person issuing it to provide a detailed breakdown of the amount,

(c)

the person to whom the costs notice is issued is not liable to pay any costs which that person shows to have been unnecessarily incurred,

(d)

the person to whom the notice is issued may—

(i)

require the Secretary of State to review a relevant decision, and

(ii)

if not satisfied with the outcome of any such review, appeal against that decision, and

(e)

the grounds on which a review may be required or an appeal brought include—

(i)

in the case of a decision as to the amount of the costs, that the amount includes any amount referable to any costs unnecessarily incurred,

(ii)

that the decision was based on an error of fact,

(iii)

that the decision was wrong in law, and

(iv)

that the decision was unreasonable for any other reason.

(5)

Regulations which provide for the issue of a costs notice to a person must also make provision—

(a)

for an appeal under the regulations to be brought in the First-tier Tribunal, and

(b)

for suspending the operation of a costs notice where an appeal is brought under the regulations pending the outcome of the appeal.

(6)

In subsection (4), “relevant decision”, in relation to a costs notice, means—

(a)

the decision to issue the notice, or

(b)

the decision as to the amount of the costs.

(7)

Regulations which provide for the issue of a costs notice may make provision—

(a)

for the payment of interest on late payment;

(b)

as to how any amounts payable by virtue of the regulations are to be recoverable.

(8)

Regulations under this section are subject to the affirmative procedure.

Annotations

Commencement

I1

S. 38 in force at Royal Assent for specified purposes, see s. 48(3)(a)

I2

S. 38 in force at 13.11.2025 for specified purposes by S.I. 2025/575, reg. 2(4)