The New People with Significant Control Register

Following recent media focus on corporate transparency I thought it would be timely to give you a short update on the new People with Significant Control (PSC) Register which has been introduced as one of the many changes to the Companies Act 2006 brought about by the Small Business Enterprise and Employment Act 2015. On 6 April 2016 this new law came into effect requiring all UK Companies and Limited Liability Partnerships to keep a register of the people who can influence or control a company. The aim of the Act is to create greater clarity in the ownership and authority of UK companies, to help in the fight against money laundering whilst increasing the trust of the public.

The new PSC Register will include information such as the name, date of birth, nationality, nature of control, and home address of the PSC. The usual residential address and full date of birth of the PSC will not appear on the public record. The information set out in the PSC Register must be kept up to date. Individuals who may be at risk of violence or intimidation as a result of being on the register can apply to Companies House to have their information protected.

As from 30 June 2016, companies now require to file their PSC information at Companies House. In most cases this will form part of their confirmation statement which replaces the annual return from this date. It will take up to 12 months for the PSC Register to become complete because confirmation statements are filed throughout the year, with each company’s filing date being based on the anniversary of their incorporation. New companies registering after 30 June 2016 will have to provide their PSC information as part of the incorporation process.  Also from 30 June 2016 the PSC Register will be available to search free of charge.

While the obligation is on the company to create and maintain the register there are also duties on individual PSC. They have an obligation to notify the company within one month of becoming a PSC. They commit a criminal offence if they fail to notify or respond to a notice from the company which may result in a fine and or a prison sentence of up to two years.

It is thought that in terms of transparency this is a big step forward to help strengthen confidence in business and deliver real benefits to the UK economy as a whole.

If you require further information regarding this legislation please contact me Ross Leatham on 0141 552 3422 or by email at rjl@mitchells-roberton.co.uk

This entry was posted in Legal by Ross Leatham. Bookmark the permalink.

About Ross Leatham

Ross graduated from the University of Glasgow in 2004 having spent 6 months of his studies as an international student at the University of Tilburg. He commenced his traineeship with Mitchells Roberton in 2005 and has been with the firm ever since. He is an experienced solicitor dealing in the purchase and sale of both commercial and residential property, acquisition and disposal of businesses, commercial leasing and property finance. He has acted for a wide range of clients including accountants, further educational establishments, hotels, restaurants, veterinary surgeons, dentists and charities. Ross firmly believes that each client is not just a case and he always takes the time to foster a genuine engagement with his clients to best understand their needs in order to provide focused commercial advice and pragmatic solutions to their problems. Ross only wishes he could find as an effective solution to enhance the performance of his beloved hockey team, East Kilbride. Ross is married.

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