Do You Need a Licence to Sell Scrap Metal?

Who actually needs a licence

Two types of licence exist under the Act:

  • Site licence — for businesses operating a physical scrap yard or processing site
  • Collector’s licence — for mobile collectors who go out and buy scrap directly from sellers

If you’re an electrician selling cable offcuts, a plumber selling old copper pipe, or a demolition contractor clearing structural metal from a site, none of this applies to you as the seller.

What this means in practice

You can sell scrap metal without registering for anything, without paperwork on your end beyond confirming your identity to a licensed buyer, and without any ongoing compliance obligation. The regulatory weight sits entirely with whoever is buying from you.

The one thing worth checking

Since the licensing requirement sits with buyers, it’s worth knowing that you’re only protected by the Act’s requirements (ID verification, cashless payment, transaction records) if you’re dealing with someone actually licensed. An unlicensed buyer operating outside the rules isn’t just breaking the law themselves — you lose the protections that come from a properly compliant transaction.

How to check

Licensed dealers should be able to confirm their registration if asked, and are listed on their local council’s public register. On a platform like ScrapBays, every buyer has already been through this verification before they’re able to trade — one less thing for you to check yourself.


Sell with confidence — every buyer on ScrapBays is verified and compliant. Get started →