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Metal dealer's licence

Requirements and application process for metal dealer's licence

If you run a business that buys or sells metal, you may need a metal dealer’s licence. This includes dealing in scrap metal, gold or silver. You must have a licence before you trade.

You may also need a licence if you work as a motor salvage operator. This applies if you: 

  • recover parts from vehicles to reuse or sell and scrap the rest, or 
  • buy badly damaged vehicles, repair them and then sell them

If your business falls into these categories, you must apply for a metal dealer’s licence.

Payment rules you must follow

If you hold a metal dealer’s licence, the law limits how you can accept payment.

You can only accept payment by bank transfer or cheque. You must not accept cash for buying or selling metal.

Keeping records

You must keep clear records of all metal that you: 
  • buy or receive, even if it is free 
  • process 
  • sell or dispose of

Your records must include: 

  • who you got the metal from or who you sold it to 
  • their name and address
  • details of the documents you used to check their identity and address
You must keep these records for three years.

If you already hold a licence, you can also use this service to apply to change the terms of your existing licence.

How to apply

Apply for metal dealer's licence

Once you submit your application, we will process it and keep you informed.

What happens after you apply

After we receive your application:

  • there is a 28 day objection period
  • we send a copy of your application to Police Scotland for comments or objections

If you have not heard from us within 28 days, contact the Licensing and Registration office and we will update you on progress.

Collecting your licence

When your licence is ready, you must bring proof of identification to collect your documents.

If someone else is collecting them for you, they must bring: 

  • something in writing from you giving permission 
  • their own identification

The signature must match the signature on your application form. We do not accept permission by email.

Licence fee

Metal dealer's licence £339.47

Apply or get help

You can apply online for a new licence or request changes to an existing one.

If you need help with your application or want an update, contact the Licensing and Registration office.

Related content

  1. Requirements and application process for metal dealer's licence
  2. Conditions of licence