Citation, commencement and interpretation

1. —(1) These Regulations may be cited as the Modern Slavery Act 2015 (Transparency in Supply Chains) Regulations 2015 and come into force on the day after the day on which they are made.

(2) In these Regulations—

(a) “the 2015 Act” means the Modern Slavery Act 2015 ;

(b) “subsidiary undertaking” has the meaning given by section 1162 of the Companies Act 2006 ( 2 ).

Prescribed amount of total turnover

2. The amount of total turnover prescribed for the purposes of section 54(2)(b) of the 2015 Act is £36 million.

Determination of total turnover

3. —(1) For the purposes of section 54(2)(b) of the 2015 Act the total turnover of a commercial organisation is—

(a) the turnover of that organisation; and

(b) the turnover of any of its subsidiary undertakings.

(2) In paragraph (1), “turnover” means the amount derived from the provision of goods and services falling within the ordinary activities of the commercial organisation or subsidiary undertaking, after deduction of—

(a) trade discounts;

(b) value added tax; and

(c) any other taxes based on the amounts so derived.

Review

4. —(1) The Secretary of State must from time to time—

(a) carry out a review of these Regulations;

(b) set out the conclusions of the review in a report; and

(c) publish the report.

(2) The report must in particular—

(a) set out the objectives intended to be achieved by these Regulations;

(b) assess the extent to which those objectives are achieved; and

(c) assess whether those objectives remain appropriate and, if so, the extent to which they could be achieved with a system that imposes less regulation.

(3) The first report under this regulation must be published before the end of the period of five years beginning with the day on which these Regulations come into force.

(4) Reports under this regulation are afterwards to be published at intervals not exceeding five years.