CLA a step nearer to reducing the insurance cost for the equine industry

A Ten Minute Bill drafted by the Country Land and Business Association and presented by Stephen Crabb MP has offered many rural businesses the chance of relief from soaring insurance costs. A House of Lords legal judgement in 2003 had extended the scope of the Animals Act 1971, meaning that keepers of animals, including farm animals and horses, can be liable for accidents involving their animals even when they have taken all reasonable steps to prevent the accident.

Douglas Chalmers, Director CLA North, said "That ruling, known as the "Mirhavedy v Henley Case" meant that animal owners had strict liability, even if a third party, such as a rambler leaving a gate open, had contributed to any accident. In fact, you could say that cattle and horses couldn't have "accidents" any more. The effect was to greatly increase the insurance costs for equine businesses. In the last four years, 650 riding schools have closed due to increased insurance premiums.

"Because of the House of Lords ruling, this serious threat to rural businesses could only be altered by changing the relevant legislation via Parliament. The Bill had Government support and has passed its first reading."

David Fursdon, President of the Country Land and Business Association called on the new Prime Minister Gordon Brown to lend his political clout to ensure this Bill becomes law.

Mr Fursdon said, "If the new PM supports this Bill not only will it help an important part of UK economy to flourish but also show rural communities that his Government is on their side. The Bill already has the support of Government in principle but it can only become law if there is the political will to ensure it makes all of its stages in Parliament."

Mr Chalmers concluded, "Nothing has been achieved as yet. But this is a clear sign that common sense can prevail, and also demonstrates how the CLA's activities can directly benefit our Members and the rural economy as a whole."