7th June 2016
From 6th April 2016 all UK companies (including dormant companies) and Limited Liability Partnerships (LLPs) must maintain a register of people with significant control (PSC register) apart from those subject to the FCA’s Disclosure and Transparency rules.
The purpose of the PSC register is to help increase transparency over who owns and controls UK companies. The PSC register forms part of the company’s statutory books and must be kept at the company’s registered office or at an alternative location which the company has notified to Companies House. A PSC register can never be blank.
A person of significant control (PSC) is a person who directly or indirectly meets one or more of the following conditions:
- Holds more than 25% of the shares
- Holds more than 25% of the voting rights
- Holds the right to appoint or remove the majority of directors
- Has the right to exercise, or actually exercises significant influence or control over the company
- Has the right to exercise or actually exercises significant influence or control over a trust or firm (which is not a legal entity) but itself would satisfy one of the first four conditions as an individual.
The Officers of the company must take reasonable steps to contact its PSCs and confirm the information for the register. From the 30th June 2016, the information on the PSC register must be filed together with the company’s confirmation statement (the replacement for the annual return). To find out more contact Joanne Small.