Policy background
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During the civil disturbances of August 2011 a number of businesses and individuals suffered losses. The majority of those whose property was damaged in the riots were covered by insurance, however there were some who were uninsured or under insured. For these people, the 1886 Act provided the legislative vehicle under which they could make a claim for compensation.
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Since its introduction and until the civil disturbances in 2011, the 1886 Act had not been the subject of any substantial revision. In the Government's view, the archaic language of the 1886 Act contributed to uncertainty around entitlements to compensation. This Act seeks to reform the Act, in order to ensure that the arrangements that govern claims for riot damage compensation are clear, transparent and fit for modern day needs.
Progress of policy review
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After conducting an internal review the previous coalition Government commissioned an independent review of the 1886 Act. This was led by Neil Kinghan and was published on 8 November 2013. The previous Government considered this report and outlined its proposed approach to riot compensation payments in a public consultation, which was published on 5 June 2014. A response to the consultation was published on 12 March 2015 along with a draft Bill.
