British Oxygen v Minister of Technology [1971] AC 619

Court: Court of Appeal

Facts: The Industrial Placements Act granted the Minister of Technology discretionary power to issue grants for industrial plants. The Minister established a policy of not reimbursing products that cost under £25. The British Oxygen Company applied for grants for gas cylinders priced at £20 each, but their application was denied based solely on the £25 rule. They sought judicial review, arguing that the Minister's refusal to consider their application because of the price threshold was unreasonable.

Issue: Was the £25 rule within the scope of the Minister’s discretion, and did it constitute an illegal fetter on that discretion?

Held: Appeal dismissed. The court found that the Minister had unlimited discretion regarding the allocation of grants under the Industrial Placements Act. It was determined that the Minister was entitled to establish a policy to guide the application process, provided he still considered applications that contradicted this policy. The ruling emphasized that when an Act of Parliament confers unlimited discretion to the executive, it is permissible for the executive to implement a policy, as long as they remain open to considering applications outside that policy.

💡 LevelUpLaw: This case illustrates the principles governing the exercise of statutory discretion by public authorities, highlighting that while policies can guide decision-making, they should not completely preclude consideration of individual cases that may fall outside the established guidelines.