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Scrap metal dealer

Definition of Scrap Metal

Scrap metal, as defined in the Act, includes any old, waste or discarded metal or metallic material and any product, article or assembly which is made from or contains metal and is broken, worn out or regarded by its last owner as having reached the end of its useful life.

The following are not scrap metal – gold, silver or any alloy of which 2% or more by weight is attributable to gold or silver.

Definition of a Scrap Metal Dealer

A person carries on a business as a scrap metal dealer if the person;

  • Carries on a business which consists wholly or partly in buying or selling scrap metal, whether or not the metal is sold in the form in which it was bought, or;
  • Carried on a business as a motor salvage operator

Types of Licence

There are two types of licence;           

  • Site Licence – this licence covers any premises used in the course of carrying on business as a scrap metal dealer (regardless of whether metal is kept there or not)
  • Collectors Licence – this licence covers any person who carries on business as a scrap metal dealer otherwise than at a site, and regularly engages in the course of a business in collecting waste materials and old, broken or worn out or defaced articles by visits from door to door

Both licences are valid for 3 years and permits the holder to operate within the boundaries of Oldham.

Application Process

An applicant may apply for a site or collectors licence. They must produce evidence to support their application such as insurance, vehicle documents, waste carriers licence and more. The documents required relate to the type of licence they are applying for (a full list is included in the application form).

An application can only be made and accepted when it is accompanied by all relevant documents. Any incomplete applications will be returned to the applicant until such time as the required documents can be produced.

Upon successful submission of an application, a consultation will take place with partner agencies including Greater Manchester Police, Environment Agency, Planning and Environmental Health. The consultation period lasts for 28 consecutive days from the submission of the application.

Application forms, guidance and fees can be found at the bottom of this page.

Decision-Making Process

Following the consultation period, the grant or otherwise of an application for a Site or Collectors Licence will be decided by the Trading Standards & Licensing Manager.

Where objections are received by one or more of the consultees and the decision is made to refuse an application, a notice shall be issued to the applicant setting out what the Council proposes to do and the reasons for this.

The notice will also state that, within the period specified, the applicant can make a representation about the proposal, or inform the Council that it wishes to do so. Further information and full details regarding this process can be found in the Scrap Metal Dealers Policy which can be found at the top of this page.

Criminal Records

Having a criminal record does not preclude an applicant from obtaining a licence. The Act stipulates certain “relevant offences” which should trigger a process of considering whether a person is suitable to hold a licence. Relevant offences are linked to the issue of scrap metal.

A full list of relevant offences can be found using this link -

While the Act states the Council must have regard to those relevant offences, the Council is not limited to taking into account only those offences.

As such the Council may consider other offences that, in the Councils opinion, may be relevant in determining an applicant’s suitability.

Duties of a Scrap Metal Dealer

  • Must display a licence issued to them, whether as a site or collector
  • Must not receive scrap metal from a person without verifying the persons full name and address
  • Must not pay for scrap metal by cash. Permitted means are cheque or electronic transfer
  • Must record receipt of metal in the course of the dealers business
  • Must record details of how the metal is disposed of

Application forms

Fees and payment guidance

Please download the guidance notes for your reference on the fees and payments procedures