“Administrative bodies may adopt policies but must consider exceptional cases”
British Oxygen sought investment allowances for gas cylinders costing under £25 each. The Board of Trade refused based on a general policy not to grant allowances for items under £25. The company argued each application should be considered individually on its merits.
Whether an administrative body exercising statutory discretion can adopt a general policy that effectively predetermines decisions, and whether such policy constitutes an improper fettering of discretion.
The Board's refusal was lawful. Administrative bodies may adopt general policies for consistency and efficiency, provided they remain genuinely willing to consider exceptional cases that might justify departure from the policy.
This case established the foundational principle for administrative policy-making, balancing efficiency with proper exercise of discretion. It remains the leading authority on when administrative policies constitute unlawful fettering of discretion.
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OSCOLA Citation
British Oxygen Co Ltd v Board of Trade [1971] AC 610 (HL)
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