CPC Holder Regulations

CPC Holder Regulations: Introduction

There are many areas of legislation which make up the regulations surrounding a Certificate of Professional Competence Holder acting as the nominated Transport Manager on a Standard Operator’s Licence. Please see below a number of those, along with a brief guide to a number of key areas of those regulations effecting a CPC Holder when being a nominated Transport Manager on an Operators’ Licence.

The Goods & Public Service Vehicles sections, of the (Licensing of Operators) Act 1995; Public Passenger Vehicles Act 1981, Road Transport Operator Regulations 2011, which in turn implemented EC Directives 96/26/EC, EC Directive 98/76/EC, and subordinate legislation. That being (Regulation (EC) No 1071/2009 with regard to the occupations related to the management of Goods & Public Service Vehicle Operations.

CPC Holder Regulations: A Person, & Not a Non-Physical Entity

It is important to those within the transport industry to understand, that the CPC Holder must be a person, & not a non-physical entity, such as a limited company, & have a direct link with the Operator Licence Holder i.e. a contract of employment or contract of services.

CPC Holder Regulations: CPC Holder & Transport Manager the Link

The term CPC Holder & Transport Manager are often used within the transport industry to described the same job, or individual. In fact, there are two different terms, who’s meaning are different, in the case of a CPC Holder, it is the description given to an individual, who has obtained Certificate of Professional Competence qualification. With Transport Manager, it is the description of the type of job & the position that job has within a company.

Transport Manager CPC Holder is the linking of two terms, by the transport industry when connected with the use of either a standard national, international Operator’s Licence. As to be a Transport Manager on such Operator Licences, the individual needs to be Certificate of Professional Competence holder (CPC Holder). Hence within the transport industry either the term Transport Manager, CPC Holder, or the combination of Transport Manager CPC Holder is used.

CPC Holder Regulations: The Practical Effects of the CPC Holder Regulations

Operator’s Licence Regulations require that any Operator Licence applicant who seeks a standard national or International Operators’ Licence needs to satisfy the licensing authority (Office of the Traffic Commissioner), that there is a nominated Transport Manager. Who is both professionally competent i.e. a Certificate of Professional Competence (CPC Holder) & they are of good repute.

CPC Holder Regulations: Good Repute & Professional Competence Good Repute

Good repute is a concept that both CPC Holders acting as a nominated Transport Manager, & Operator Licence Holders, need to be aware of & know the required standards of repute. In the case of those wishing to hold a Restricted Operator’s Licence. Then they need to meet the required standard or level of “fitness” But those wishing to hold, or in the case of an CPC Holder willing to act as the nominated Transport Manager on a Standard Operators Licence must be of “good repute”.

A good starting point to understanding how Good Repute effects both Transport Manager CPC Holders, & Standard Operator Licence Holders. Is with reading the current guidance on the subject issue by the Office of the Traffic Commissioner, (Senior Traffic Commissioner’s Statutory Document No. 1 — Good Repute and Fitness. The guidance is clearly written in plain English for all to read, & understand. It can be obtained for free from www.gov.uk.).

They should take the time to at the very least looked through the guidance to get an understanding, of what will be required of them, if a Certificate of Professional Competence Holder chooses to become a nominated Transport Manager.

The Operator Licensing Regulations do not give Good Repute a statutory definition; However, there are a number of convictions, & actions. Which if a Transport Manager CPC Holder, Operator Licence Holder is found to have commented.

Can see either the Transport Manager CPC Holder, or Operator Licence Holder facing the possibility of a finding that they are “No Longer of Good Repute”. The consequences of which can make it very difficult for both Transport Manager CPC Holder, & Operator Licence Holder to remain in any position of authority or responsibility in the transport industry, & may even effect those with a finding of no longer of good repute outside of the transport industry.

The concept’s surrounding Good Repute can have a serious effect on those formally connected with an operator’s licence, & its reaching can in theory be limitless & a large number of areas where if a CPC Holder is found to have acted improperly or is convicted of an offence. There “Good Repute” can be brought into question.

CPC Holder Regulations: Examples of Convictions Effecting “Good Repute”

  • Road Traffic Offences

  • Orders involving the Revocation, Curtailment, or Suspension of Operator Licences that either a Transport Manager CPC Holder, or Operator Licence Holder have had previous links to, i.e. being the nominated Transport Manager CPC Holder

  • Nominations on previous Operator Licences which have had an adverse history. Example on this could be poor OCRS (Operator Compliance Risk Score)

  • Formal links (Being the Nominated Transport Manager CPC Holder) to an Operator Licence which has had a history of formal warnings, or attendance at either Primary Hearing, & Public Inquiry

  • Being either the nominated Transport Manager CPC Holder, or Operator Licence Holder, were the licence has a history of a high number of prohibitions, & fixed penalty notices being issue against it

  • Allowing the continued use of an Operator’s Licence were the ability to show, or availability of sufficient finance is not possible

  • Involvement in a bankruptcy, sequestration, administration or liquidation cases, even if not connected to the transport industry

  • The avoidance of debts, were it is deemed that the avoidance was back of a Phoenix Operation or acting as a Front, for a Shadow Operation

  • The involvement in the late payments & non-payment of court orders, fines and/or fixed penalty notices

  • As either the nominate Transport Manager CPC Holder, or the Operator Licence Holder. The inability for Driver & Vehicle Standards Agency, (DVSA), or the Office of the Traffic Commissioner, (OTC) to contact you

  • Abusive behaviour or non-co-operation towards enforcement officers and/or members of OTC staff

  • Failure to maintain the undertaking as either the nominated Transport Manager CPC Holder, or the Operator Licence Holder to notify the OTC of any material and relevant changes

  • Failure as the Transport Manager CPC Holder, to continuously & effectively to manage the road transport undertaking’s operations

  • Allowing the unauthorised use of an address as an operating centre

  • Failure to maintain the undertakings, or to comply with conditions place against an operator’s licence

  • As Transport Manager CPC Holder deem to be no longer professionally competent

Therefore, looking at the above examples, it can be seen that being of Good Repute, & maintaining that Good Repute is very important for both a Transport Manager CPC Holder, & an Operator Licence Holder

Just to confirm how important the area of Good Repute is view by the regulatory, & enforcement bodies, & the wide range of areas of regulation, that the Operator Licensing Regime believes it covers. The Senior Traffic Commissioner in 2016 (Beverley Bell) gave an insight, & warning to the transport industry on her view on Good Repute. 

“Other conduct, such as a failure to heed instructions from enforcement agencies or police officers, attempts to circumvent the licensing system, recurring civil penalties, enforcement notices and breaches of other enforcement regimes such as the Home Office code of practice on preventing clandestine entrants, will also have a serious impact on repute”.

Professional Competence

Professional competence in relation to the Operator Licencing regime refers to the fact that an induvial has meet the qualifying conditions, normally though examination & achieving the required standard, & therefore can be considered as being professionally competent, in the managing of road transport operations. This means that they are a holder of a Certificate of Professional Competence, or more commonly known as a CPC Holder.

Those obtaining a Certificate of Professional Competence, or CPC. Enables them as a CPC Holder to become the “nominated” Transport Manager on an Operator’s Licence, were the nomination of a professional qualified Transport Manager is required. Those Operating Licences would be of a Standard National, or International nature.

The Transport Manager CPC Holder can be either a direct employee of the Operator Licence Holder, & would be considered as an Internal Transport Manager, or engaged on freelance basis, & would be considered as an External Transport Manager.

With Grandfather rights now being slowly withdrawn by the Operating Licence Regime. The only way that professional competence in road transport operations can now be demonstrated by an individual, is by that individual be the holder a Certificate of Professional Competence (CPC Holder). With its issued being the consequence of passing an examination designed for the purpose of showing its holder has professional competence in the management of road transport operations, & that the qualification recognised by the Operating Licensing Regime, & Department for Transport.

CPC Holder Regulations: Transport Manager CPC Holder Internal or External

To fulfil the requirement, for a standard national or international Operator’s Licence to have a nominated Transport Manager, & that person to be a holder to be Certificate of Professional Competence holder, or more commonly known as a CPC Holder.

The Operator Licence holder has two options either employ a person directly, i.e. PAYE employee, director, company secretary, owner or shareholder. Or Indirectly i.e. a self-employed, (Sub-Contract, Freelance, Outsourced), person

If the Operator Licence Holder employs a person directly, then the Transport Manager CPC Holder is considered to be an Internal Transport Manager CPC Holder.

If the Operator Licence Holder employs a person indirectly, i.e. Self-Employed, Sub-Contract, Freelanced, or Outsourced then the Transport Manager CPC Holder is considered an External Transport Manager CPC holder.

CPC Holder Regulations: 4/50 Regulations

When a CPC Holder is named on an Operator’s Licence as the nominated Transport Manager there are a number of operative conditions. These conditions are often called the 4/50 regulations, & apply to weather the Transport Manager CPC Holder is considered an internal, or external Transport Manager CPC Holder. But in the main are related to those CPC Holders, acting as an External Transport Manager

The Transport Manager CPC Holder is a resident in the European Community;

The Transport Manager CPC Holder must be suitably qualified to name, on the operator licence for which he/she is being nominated for.

The Transport Manager CPC Holder whilst acting as the nominated Transport Manager/CPC Holder shall perform tasks solely for the interests of the Operator Licence Holder/Applicant;

The Transport Manager CPC Holder shall be the transport manager/CPC holder for a maximum of 4 operators, or entities, with a combined maximum total fleet of 50 vehicles, whilst acting as the Transport Manager CPC Holder

The Transport Manager CPC Holder hours of work are those as per the Traffic Commissioners Guidance or as per the undertakings attach to the Operator’s Licence by Traffic Commissioner.

The Transport Manager CPC Holder or the Operator Licence Holder must be able to provide a copy of the contract between them upon request.

Please note: The list shown above is not to be taken as exhaustive one, & that other conditions may be added to it. Also, even if all conditions shown or not shown have been met, it is at the discretion of The Traffic Commissioner whether or not a person can be nominated as the Transport Manager CPC Holder on any Operator Licence.

There is also a number of other areas of what is considered as obligatory guidance, which are used by The Office of the Traffic Commissioner, in relation to the consideration of any nomination of a Transport Manager CPC Holder on an Operator’s Licence. Please find this obligatory guidance points below.

CPC Holder Guidance: Travel Time & Distance from Operating Centre

Any nominated Transport Manager CPC Holder are normally required to be within a reasonable distance of the nominated operating centre as named on the Operator Licence, that he or she is nominated on, as the Transport Manager CPC Holder. There is no minimum or maximum distance or time stated within the statutory guidance used by the Traffic Commissioner each nomination is considered on the known facts & on its own merits.

A general rule of thumb is that between 1.5, to 2 hours is a maximum travel time, but if a Transport Manager CPC Holder is nominated on more than one Operators’ Licence then the Traffic Commissioner may feel that any further requests for nomination on additional Operator Licences may be subject to the distance & travelling time being reduced & smaller than the rule of thumb figure. If those nominations are to be granted by The Traffic Commissioner.

CPC Holder Guidance: Hours of Work

Part of the obligatory guidance is the number of hours per week that the Office of the Traffic Commissioner feels that a nominated Transport Manager CPC Holder, would be required to work in order to maintain the required level of compliance on the Operator Licence(s) that they are nominated on. This figure is determined by the number of vehicles that the operator can operate at any given time, also known as the operating authority, and is shown on the operator’s licence document. Please find shown below the current obligatory guidance in relation to External Transport Manager CPC Holder hours of work:

0 to 2 Vehicles: 2-4 hrs per week

3 to 5 Vehicles: 4-8 hrs per week

6 to 10 Vehicles: 8-12 hrs per week

11 to 14 Vehicles: 12-20 hrs per week

15 to 29 Vehicles: 20-30 hrs per week

30 to 50 30 Vehicles: A Full Time Transport Manager CPC Holder is required, to be employed, this would normally be on an internal basis

Above 50 Vehicles: A Full Time Transport Manager CPC Holder is required and additional assistance required

Please Note: Additional hours may be required for trailers. As may have been notice, even if a standard national, or international Operator’s Licence is held, but there are no vehicles place on its authority, the present of a nominated Transport Manager CPC Holder is still required for the Operator’s Licence to be considered as being valid for use.

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This Basic Guide Has Been Produced, to Give Basic Guidance in relation to a CPC Holder Regulations, in relation to the Operator Licensing Regime, & Therefore Cannot Be Considered as Formal Legal Advice