By Lolerflow Team | LOLER Compliance Specialists
The Numbers Side by Side
Cost of non-compliance
HSE improvement notice£0 fine, but work stops
Prohibition noticeEquipment out of service — lost revenue
Prosecution (small company)£50,000–£200,000 fine
Prosecution (medium company)£700,000–£3,000,000 fine
Legal defence costs£50,000–£150,000
Insurance claim refusalFull liability direct to business
Director disqualificationUp to 15 years
Individual prosecutionUnlimited fine + up to 2 years custody
Cost of Lolerflow
Monthly subscription£250/month
Annual cost£3,000/year
Setup fee£0
Per-user cost£0 (unlimited)
Missed exam fines£0 (automated alerts)
Report admin time saved~3–5 hrs/week
Certificate delivery admin£0 (client self-serve)
5-year total cost£15,000
How HSE Calculates Fines
Since 2016, the HSE Sentencing Guidelines have used a structured approach based on culpability, harm, and the offender's turnover. The key insight: there is no maximum fine. The guidelines are starting points, not caps.
| Company size (turnover) | Low culpability | High culpability |
|---|---|---|
| Micro (under £2m) | £100–£7,500 | £50,000–£200,000 |
| Small (£2m–£10m) | £3,000–£60,000 | £200,000–£700,000 |
| Medium (£10m–£50m) | £45,000–£450,000 | £700,000–£3,000,000 |
| Large (over £50m) | £180,000–£2,000,000 | £2,800,000–£10,000,000+ |
The Hidden Costs Nobody Talks About
Prohibition notice = immediate revenue loss
When HSE issues a prohibition notice, the equipment cannot be used until the breach is rectified. For a busy inspection company, being unable to use equipment on a large site contract can cost more in lost revenue than the eventual fine.
Lost contracts
Many large clients (especially in construction, utilities, and logistics) require LOLER compliance certification from contractors. A single HSE enforcement action can result in being removed from approved supplier lists — with knock-on revenue implications that persist for years.
Time: the real underestimated cost
An HSE investigation takes management time to respond to. A prosecution takes years and diverts senior management from running the business. One realistic estimate for management time cost during an HSE prosecution: 200–400 hours over 18–24 months.
Insurance premium increases
Following an enforcement action, insurers will re-underwrite your policy at renewal. Premium increases of 30–100% are common after a LOLER-related incident or prosecution.
The maths
1 fine from a single missed examination
= 17–67 years of Lolerflow
Based on £50k–£200k micro-company fine vs £3,000/year subscription
£250/month. No missed examinations. No compliance gaps.
Automated alerts, Schedule 1 reports, complete audit trail. The insurance policy that actually pays out. 30-day free trial.
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