The new PSC regime – is your company compliant?
03rd May 2016
A new regime affecting information which companies have to record is now in force with potentially serious sanctions for non-compliance.
Does your company comply?
What has changed?
As of 6 April 2016, changes to the Companies Act 2006 require all unlisted UK companies to do the following:
- Take reasonable steps to identify People with Significant Control over them (PSCs);
- Maintain a new statutory register of Persons with Significant Control (a PSC register).
All companies that are subject to the new rules must now have a PSC Register and from 30 June 2016 onwards, they will have to file information about their PSCs at Companies House. This filing process will be done as part of the new “Confirmation Statement” that will replace the Annual Return.
Further details on the PSC regime can be found in our earlier newsflash.
Does this apply to me?
The obligation to maintain a PSC register applies to all UK incorporated companies limited by shares, companies limited by guarantee and unlimited companies, except companies whose voting shares are admitted to trading to a regulated market in the UK (such as the LSE Official List or AIM), and certain overseas markets. The new rules do apply to UK subsidiaries of such listed companies.
The requirement to maintain a PSC register also applies to Limited Liability Partnerships.
Individuals, UK companies, LLPs and certain non-UK listed companies are under an obligation to notify companies if they know they should be included in a company’s PSC register and haven’t.
What if we don’t comply?
The new rules create a number of criminal offences, including failing to maintain a PSC register and failing to take reasonable steps to identify whether there is anyone with significant control over the company.
These new offences can be committed by the company and every officer that is in default.
How can Ward Hadaway help?
We can provide advice about:
- Identifying people with significant control;
- Creating and completing the PSC register; and
- What to do if you cannot obtain all the information you need about people with significant control.
We offer fixed price compliance packages as well as company secretarial support services.
For more details, please get in touch.
Please note that this briefing is designed to be informative, not advisory and represents our understanding of English law and practice as at the date indicated. We would always recommend that you should seek specific guidance on any particular legal issue.
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