UK company law is changing – Get ready now!
There is a series of impending changes to UK company law as a result of the enactment of the Economic Crime and Corporate Transparency Act last year.
These highly anticipated changes, expected to commence on 4 March 2024, subject to parliamentary schedules, will significantly impact the operation and compliance requirements of your company.
Directors must understand and comply with these changes from the first day of their implementation, which is why our team have outlined the new rules below:
Key changes to prepare for:
- New rules for registered office addresses: From 4 March 2024, your company must have an ‘appropriate address’ as its registered office. This means a location where any documents sent are likely to be noticed by someone acting on the company’s behalf and where document delivery can be acknowledged. PO Box addresses will no longer be acceptable. If your company is currently using a PO Box, you must update this by 4 March 2024 using your company’s authentication code.
- Requirement for a registered email address: Another critical requirement is for all companies to provide a registered email address to Companies House from 4 March 2024. This email will be used for official communications and will not be publicly disclosed. For new companies, this requirement applies upon incorporation, while existing companies must comply when filing their next confirmation statement after 5 March 2024.
- Statement of lawful purpose: Upon incorporation and in your confirmation statements, you will need to affirm that your company is formed for a lawful purpose and that its intended activities will be lawful. This step is to ensure that all companies operate legally. Non-compliance with this requirement can lead to the rejection of your documents.
Given these changes, you should be prepared to provide evidence of your registered office address and ensure all statements regarding the lawful purpose are accurate and up to date.
Failure to comply with these new regulations, especially regarding registered office and email address, could lead to the committal of corporate offences and, potentially, the striking off of your company from the register.
Act now
While the changes may seem a way off yet, we suggest you take the following steps now:
- Review and update your registered address: If you use a PO Box, change this to a compliant address before 4 March 2024.
- Prepare and submit an official email address: Select an email address for your company and ensure it is ready to be registered with Companies House.
- Ensure Compliance with lawful purpose statements: Review your company’s objectives and activities to ensure they align with lawful operations.
Should you need any assistance or have any questions, please feel free to reach out for further guidance from our experienced team.