Burges Salmon
11 Experts
9 Contributions by Burges Salmon
PRACTICE NOTES
Issue Details
Convention on Third Party Liability in the Field of Nuclear Energy (Paris Convention)
Parties: 16 parties
Revisions:
1963 Convention Supplementary to the Paris Convention (Brussels Supplementary Convention — entered into force on 4 December 1974)
1964 Protocol — entered into force on 1 April 1968
1982 Protocol — entered into force on 7 October 1988
2004 Protocol — 1 January 2022
Location: Paris
Adopted: 29 July 1960
Came into force: 1 April 1968
Subject: Nuclear liability
What is the international liability regime for nuclear damage?
Civil liability for nuclear harm is defined by four principal instruments: the 1960 Paris Convention on Third Party Liability in the Field of
Energy
PRACTICE NOTES
What is nuclear energy?
Nuclear energy is the power released from the core of an atom (the ‘nucleus’). It can be produced in two ways:
Fission — the split of a large atom into smaller atoms;
Fusion — the joining of lighter atoms to create heavier atoms.
Nuclear (fission) power plants split uranium atoms inside a reactor through fission. The heat generated produces steam, which turns a turbine to generate electricity. While fission is currently used commercially to produce energy, nuclear fusion is not yet commercially viable. See: What is the future of nuclear power generation in the UK? below. Various countries around the world are increasingly turning to nuclear energy to satisfy the rising need for clean energy and to strengthen their energy security.
What is the nuclear fuel cycle?
The set of industrial processes that results in electricity from nuclear reactions is known as the
Energy
PRACTICE NOTES
ARCHIVED: This archived Practice Note sets out background on the Retail Distribution Review (RDR), explaining what the review covered and its impact on personal pension schemes. It is no longer maintained. For details on measures concerning costs and charges, see Overview: Costs and charges—overview.
Application of the RDR
The Retail Distribution Review (RDR) brought substantial reforms to the retail investment market and applies to regulated firms operating in that sector. This Practice Note will interest those advising such firms and anyone seeking to understand why the market has shifted. It:
offers a general summary of the RDR
examines in more depth certain specific issues for contract-based pension schemes
Background to the RDR
The RDR commenced in June 2006 as a comprehensive review of practices within the retail investment market and continued for six years, ending in a suite of regulatory changes. The reforms arising from the RDR are set
Pensions
PRACTICE NOTES
This Practice Note centres on the planning regime for new nuclear build facilities. It outlines the policy foundations for consenting new nuclear plants, the routes for appeal and judicial review, and the effects of the UK’s departure from the EU on nuclear planning. For general information on nuclear licensing and regulation, see: Nuclear licensing and regulation—overview. Further consents, including licensing from the Office for Nuclear Regulation (ONR), are covered in Practice Note: Operating under a nuclear site licence.
Planning policy
Energy National Policy Statements
The government’s policy on major infrastructure is expressed through National Policy Statements (NPSs), which are statutory documents made under the Planning Act 2008 (PA 2008). NPSs guide the Secretary of State when determining development consent applications for energy infrastructure of national significance.
Between late 2009 and early 2010, the government issued six draft NPSs for consultation. These included:
an
Planning
PRACTICE NOTES
What is the impact of Brexit on the UK Nuclear Sector?
On 31 January 2020, the UK formally left the EU. From that date, a transition/implementation period began, during which the EU largely continued to treat the UK as if it were still a Member State for many purposes. Departure from the EU also entailed leaving the Euratom Community. At 11 pm (GMT) on 31 December 2020, the transition came to an end. That moment, referred to in UK law as ‘IP completion day’, brought key transitional measures to a close and saw significant changes take effect across the UK’s legal framework. Any changes relevant to this content are outlined below. On 24 December 2020, the UK government confirmed agreement of the EU–UK Trade and Co-operation Agreement (TCA). This is supported by a series of related declarations and instruments, including a separate Nuclear
Energy
PRACTICE NOTES
Background
Nuclear power has been generated for commercial purposes in the UK since the 1950s, arising from a strategic requirement to develop a nuclear deterrent. The UK presently operates 15 reactors; three no longer produce electricity — Hunterston B, Hinkley Point B and Dungeness B — and have entered defuelling, the final operational step before decommissioning begins (for further details on stations in service, see: Operational power stations). Nuclear energy currently supplies around 15% of the UK’s electricity. While most of the existing nuclear fleet is due to close by 2030, the government nonetheless intends to raise the output of nuclear power...
Energy
PRACTICE NOTES
What is the impact of Brexit on the UK nuclear sector?
From 31 January 2020 (the exit day), the UK stopped being an EU Member State. Yet, at that moment it moved into a transition/implementation phase, during which, for many purposes, the EU continued to treat the UK as if it were still a Member State. Leaving the EU also entailed leaving the Euratom Community. At 11 pm (GMT) on 31 December 2020, the transition/implementation phase concluded. In UK law this point—‘IP completion day’—ended core transitional measures and ushered in notable changes across the UK’s legal framework. The UK’s departure from the EU likewise resulted in departure from Euratom. Any amendments pertinent to this material will be detailed below. After IP completion day, the European Union (Withdrawal) Act 2018 (EU(W)A 2018) established a new class of domestic
Energy
PRACTICE NOTES
The UK is a signatory to the international system of nuclear liability created by the 1960 Paris Convention and its later amending agreements. The UK gives effect to these commitments through the Nuclear Installations Act 1965 (NuIA 1965), which has been updated by primary and secondary legislation to mirror Convention revisions and UK policy choices within the permitted limits. The most recent instrument is the Energy Act 2023 (EnA 2023), which modifies the NuIA 1965 to implement the Convention on Supplementary Compensation (CSC). The EnA 2023 empowers the Secretary of State to make regulations to give effect to the CSC, or otherwise to address matters connected with, or arising from, the CSC. This Practice Note succinctly outlines the evolution and current position of UK nuclear liability law and considers the changes introduced by the EnA 2023 to the NuIA 1965.
What is the
Energy
PRACTICE NOTES
What is the requirement for a nuclear site licence?
A nuclear site licence is mandated by the Nuclear Installations Act 1965 (NuIA 1965) for the use of any site to install or run:
a nuclear reactor (excluding one forming part of a means of transport by land, water or air, such as a nuclear-powered submarine)
a nuclear installation intended or modified to:
produce or use atomic energy
perform a process, capable of emitting ionising radiation, connected to the production or use of atomic energy
store, treat or dispose of nuclear fuel, or bulk quantities of material irradiated by the production or use of nuclear fuel
a nuclear installation specified by the Nuclear
Energy
13 Contributions by Burges Salmon Experts
PRACTICE NOTES
Brexit impact—Euratom and the UK Nuclear Sector
From 31 January 2020 (exit day), the UK was no longer an EU Member State. At 11 pm (GMT) on 31 December 2020, the Brexit transition/implementation period concluded. In UK law, this moment—known as ‘IP completion day’—ended key transitional measures and ushered in substantial changes across the UK’s legal framework. The UK’s withdrawal from the EU also entailed departure from Euratom.
On 24 December 2020, the UK government announced agreement of the EU-UK Trade and Co-operation Agreement (TCA), supported by several related declarations and agreements, including a distinct Nuclear Co-operation Agreement (NCA) with the EU/Euratom. The TCA and the NCA came into force on 1 May 2021. For more on the TCA and the NCA, see Practice Note: EU-UK Trade and Cooperation Agreement—quick guide and News Analysis: Energy markets in the EU-UK Trade and
Energy
PRACTICE NOTES
Responsibility for flood management and drainage in England and Wales has evolved through a tangled past. In 1927, a Royal Commission on land drainage observed that arterial drainage was overseen by a bewildering patchwork of authorities created by five centuries of piecemeal law, with liabilities governed by no consistent scheme and often out of date or unclear.
That inheritance persists, though reforms over the last 25 years have helped to rationalise the regime. Historically, individual landowners held primary duties, and some still apply; see Practice Note: Flood management and drainage—landowner rights and responsibilities. Today, public bodies play leading roles in protecting communities from flooding.
Key legislation
The responsibilities of public bodies for flood management and drainage in England and Wales are outlined in separate Practice Notes:
Flooding—UK policy and legislative framework
Land Drainage Act
Environment
PRACTICE NOTES
Liability for flood management and drainage
Traditionally, individual landowners bore primary responsibility for flood defences. It has, however, long been recognised that drainage works serve the wider public interest. Public authorities therefore have a crucial function in preventing and managing flooding for the benefit of communities. For any claim arising from a flooding incident, the first task is to identify the party or parties with duties relevant to the prevention of flooding. Potential liabilities and claims may arise across both private law and public law. This note addresses both areas.
At the outset of any flooding event, the availability of insurance must also be considered. See Practice Notes: Flood insurance—overview of the market and Flood reinsurance—the Flood Re scheme.
Potential responsible parties include:
landowners
riparian landowners
public
Environment
PRACTICE NOTES
History of flood defence consents
The previous flood defence consent regime, in place until 6 April 2016—the commencement date of the Environmental Permitting (England and Wales) (Amendment) (No. 2) Regulations 2016, SI 2016/475—governed activities on or close to a main watercourse or sea defence by reference to Part IV of the Water Resources Act 1991 (WRA 1991), regional byelaws, and the Highways Act 1980 (HiA 1980). Consent was needed to ensure proposed works did not raise flood risk, impair flood defences, or adversely affect the environment, fisheries, or wildlife. A defence applied where works were carried out in an emergency, and there was also an exception to the need for flood defence consent where the works comprised a licensable marine activity and specified circumstances prevailed. The prior framework was widely regarded as unduly complicated and burdensome. For background on the earlier flood defence consent
Environment
PRACTICE NOTES
Flooding—issues in corporate (private M&A) transactions
Introduction
Flood-related considerations can emerge in private company merger and acquisition (M&A) deals that involve acquiring land. It is prudent to determine at an early stage whether flooding is relevant and, if so, to appoint suitable environmental and hydrology experts to identify, evaluate, assess and quantify the attendant risks. Those risks should be expressly allocated and controlled in the deal documentation, ensuring the client clearly grasps both their scope and magnitude, together with the possible effect on valuation, liabilities and activities after completion.
Potential risks for buyers
Share and asset purchase
Flood matters may affect whether the deal proceeds as a share purchase or an asset purchase. On a share purchase, the buyer inherits all liabilities (including environmental or regulatory) of the target company. Examples of liabilities that might arise include:
Regulatory investigations and prosecutions where the target has
Environment
PRACTICE NOTES
Introduction
This Practice Note sets out an overview of flooding matters that can arise in property transactions. It is intended to equip clients to check flood risk at a property and to weigh the key points when buying or selling. For material on heightened flood risk, climate change and the solicitors’ duty to warn clients about climate-related risks, see News Analysis: The legal duty to advise and warn about climate risk—developments for property lawyers. The Law Society of England and Wales has issued an updated practice note entitled ‘Climate Change and Property’. That guidance expresses the Law Society’s view of sound professional practice on climate-related risks in property work, highlighting physical, transition and liability risks as potentially relevant. It recommends that solicitors, acting within the scope of their instructions and competence, consider whether to bring such risks to clients’ attention and suggest
Environment
PRACTICE NOTES
Effects of flooding on underlying assets
Flood events raise a range of considerations for banking and finance deals. This Practice Note flags the following areas:
individual risks
planning policy
availability of insurance
borrower default
It also outlines how a lender may reduce exposure to these risks.
Individual risks
Floodwater can inflict serious harm on people, property and businesses. It may influence whether someone chooses to purchase or lease a home, and it can impact the valuation of real estate.
In ‘Deep Water Horizon’, 2018, the Royal Institution of Chartered Surveyors (RICS) considers the rising incidence of floods and how the surveying profession might respond and manage the issue.
The price of residential or commercial premises can fall owing to flood risk, not only due to potential physical damage but also because of the expense of flood insurance. Flooding also bears upon liquidity, market perception and
Environment
PRACTICE NOTES
What is the impact of Brexit on the UK nuclear sector?
As of 31 January 2020 (exit day), the UK ceased to be an EU Member State. From that date, a transition/implementation phase applied, during which the EU continued, for many purposes, to treat the UK as if it remained a Member State. Leaving the EU also entailed withdrawal from the Euratom Community. The transition ended at 11 pm (GMT) on 31 December 2020—known in UK law as ‘IP completion day’. At that point, key transitional measures expired and notable shifts started to apply across the UK’s legal framework. The UK’s exit from the EU likewise meant departure from Euratom. Any changes pertinent to this content are outlined below. Following IP completion day, the European Union (Withdrawal) Act 2018 (EU(W)A 2018) introduced a new category of domestic law—‘retained EU law’
Energy
PRACTICE NOTES
Land Drainage Act 1991
In force 1 December 1991; transposition deadline N/A.
Amendments
Environment (Wales) Act 2016
Deregulation Act 2015
Water Act 2014
Transfer of Tribunal Functions Order 2013, SI 2013/1036
Natural Resources Body for Wales (Functions) Order 2013, SI 2013/755
Local Government Byelaws (Wales) Act 2012
Flood and Water Management Act 2010
Transfer of Tribunal Functions (Lands Tribunal and Miscellaneous Amendments) Order 2009, SI 2009/1307
Tribunals, Courts and Enforcement Act 2007
Local Government and Public Involvement in Health Act 2007
Natural Environment and Rural Communities Act 2006
Constitutional Reform Act 2005
Communications Act 2003
Water Act 2003
Enterprise Act 2002 (Disqualification from Office: General) Order 2006, SI 2006/1722
Transfer of Functions (Transport, Local Government and the Regions) Order 2002, SI 2002/2626
Local Government and the Regions and for
Environment
PRACTICE NOTES
Sources of rights and responsibilities for flood management and drainage
The legal framework governing flood management and drainage originated in the nineteenth century within land law. Back then, these issues were treated as private matters to be resolved between neighbouring owners. Over time, policy shifted to acknowledge flooding as a collective challenge, with public bodies now central to preventing and managing floods for communities. Even so, many core rights and obligations concerning flooding and drainage still attach to, and pass with, ownership of land. Landowners therefore need a clear grasp of their rights and duties in this area. Indeed, when a flooding dispute emerges, landowner rights and responsibilities are often the first point to consider. This Practice Note sets out the principal sources of those rights and responsibilities for flood management and drainage, together with the key
Environment
PRACTICE NOTES
This Practice Note centres on the planning regime for new nuclear build facilities. It outlines the policy foundations for consenting new nuclear plants, the routes for appeal and judicial review, and the effects of the UK’s departure from the EU on nuclear planning. For general information on nuclear licensing and regulation, see: Nuclear licensing and regulation—overview. Further consents, including licensing from the Office for Nuclear Regulation (ONR), are covered in Practice Note: Operating under a nuclear site licence.
Planning policy
Energy National Policy Statements
The government’s policy on major infrastructure is expressed through National Policy Statements (NPSs), which are statutory documents made under the Planning Act 2008 (PA 2008). NPSs guide the Secretary of State when determining development consent applications for energy infrastructure of national significance.
Between late 2009 and early 2010, the government issued six draft NPSs for consultation. These included:
an
Planning
PRACTICE NOTES
What is Euratom?
The Euratom Treaty, concluded in 1957 by six founding members—Belgium, France, Germany, Italy, Luxembourg and the Netherlands—created the Euratom Community. Since that date, every country acceding to what is now the European Union has automatically joined Euratom, whether or not it possesses nuclear facilities on its territory. Its primary purpose is to support the establishment and advancement of Europe’s nuclear industry and to protect the security of supply of ores, source materials and special fissile materials within the Community.
What are the Euratom Treaty’s key provisions?
To realise this overarching aim, the Treaty imposes obligations on the Community in relation to:
promoting research and spreading technical information
creating and applying uniform safety standards to safeguard the health of workers and the general public
facilitating investment and ensuring the basic installations required for the development of nuclear energy in the
Energy
Q&As
There are two lines of reasoning for how Brexit could shield the UK from the Financial Transactions Tax (FTT) plans. The first is a policy-based case: the EU states that remain may shy away from a levy that would divert activity from the bloc towards a nimbler, post-Brexit UK, and so abandon the plans. The second, a narrower technical case, is that UK firms would fall outside the FTT once the UK is outside the EU. At present, neither case is especially strong, though the policy rationale appears the more persuasive of the pair to date overall...
Tax
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