From April 2016, new rules are introduced under the Small Business, Enterprise and Employment Act 2015 which require companies to keep a register of their People with Significant Control (PSC). The details of PSC will have to be filed with Companies House from 30 June 2016 as part of a new Confirmation Statement.
A PSC is someone who:
- owns, directly or indirectly, more than 25% of the shares or voting rights in the company; or
- holds the right, directly or indirectly, to appoint or remove a majority of the board of directors of the company; or
- has the right to exercise, or actually exercises, significant influence or control over the company; or
- holds the right to exercise, or actually exercises, significant influence or control over the activities of a trust or company that meets any of the above 3 conditions.
The details of the individuals which need to be entered on the register include:
- name and address
- usual residential address, country of residence and nationality
- date of birth
- date when they became a PSC
- the nature of their control over the company.
Failure to maintain accurate information on the PSC register and failure to comply with the relevant sections of the Small Business, Enterprise and Employment Act 2015, is a criminal offence and may result in a fine and/or a prison sentence of up to 2 years.
Please contact us for further guidance.