An entirely new section is to be inserted into the Companies Act 2006 that states that all companies will need to keep a register of persons with significant control in a company. This will need to be kept either locally with the company’s records or centrally at Companies House from April 2016, with a view to filing this information at Companies House from the 30th of June 2016. This information will need to be provided with new incorporations also.
A person will be deemed to have significant control in a company if their involvement with the company satisfies any one of the following conditions:
- owning more than 25% of the shares within the company
- having rights to more than 25% of the voting rights
- having the right to appoint or remove directors
- having the right to exercise significant influence or control within the company.
These rules apply to legal entities as well as to individuals.
More information on the specific requirements of the PSC Register coming soon.