UK Corporate Governance – 2021 Changes & Modernisations
The companies’ registration system in the UK will be modernised in 2021 as technology and data enable Companies House to take a more active role. These reforms aim to improve user experience and will no doubt boost confidence in anyone dealing with UK companies that the legal systems of registration are robust.
1. ID checks
- Will be compulsory for directors and PSCs
- Agents will have new verified accounts
- Transition period to register existing ID data
- Expected to be simple with improved technology
2. Ensuring compliance, sharing intelligence and deterring abuse
- New requirement for Agents subject to AML to report discrepancies they discover
- Cross referencing with data held by other bodies (cf. new UK trust register rules which also require Agents to report discrepancies)
3. Better data, privacy and a more active role for Companies House
- Full iXBRL tagging of accounts (and new limitations on shortening accounting periods, which might pose problems for tax planning in specific cases)
- New active powers for Companies House to make queries, amendments and possibly also to reject company names before registration
- No details of a director’s occupation in future and new ability to suppress such existing personal info including signatures, the day of DOB and residential addresses
- New system for Certificates of Good Standing
- LPs will now be struck off the register where there is a court order
Verfides will continue to keep you updated with any developments. In the meantime, please do not hesitate to speak to your usual Verfides advisor for further assistance, or email or call the Tax Team: tax_team@verfides.com; call +44 20 7930 7111.
This document has been prepared as a general guide and is based on the latest legislation and guidelines. Whilst every care has been taken in its preparation, Verfides cannot accept any responsibility for any person relying on this publication.