Types of licence
Site licence
This is where the scrap metal business is operated from one or more sites in the local authority area.
The licence allows the licensee to buy and sell scrap metal and to transport scrap metal to and from those sites from any local authority area.
Collector's licence
This is where the scrap metal operator collects scrap metal in the local authority area. A separate licence must be obtained from each council the collector wishes to operate in.
A scrap metal dealer is only permitted to hold one type of licence in any one local authority area.
A scrap metal dealer must not receive scrap metal from a person without verifying that person's full name and address and must not pay cash for any scrap metal he purchases.
The scrap metal dealer must keep copies of any documents used to verify the seller's identity.
The dealer is required to record specific information about the sale or purchase of any scrap metal.