Companies House has introduced a new regime aimed at improving compliance and supporting its core objectives of enhancing the accuracy of the UK company register and cracking down
on misuse.
Businesses are being urged to stay up-to-date with their legal obligations, as new penalties will soon be enforced. Companies House will assist businesses in meeting these requirements, such as filing confirmation statements on time. However, companies that ignore warnings may face financial penalties.
More severe violations could lead to civil action, director disqualification, or even criminal prosecution. Companies House plans to collaborate with the Insolvency Service and other enforcement agencies to investigate and prosecute offences. Directors convicted of such offences could receive a criminal record.
In addition, Companies House will partner with enforcement bodies to share intelligence, refer cases, and promote coordinated enforcement when necessary. This comprehensive approach is outlined in the Companies House enforcement policy.
The new regime is part of the ongoing implementation of the Economic Crime and Corporate Transparency Act 2023, which grants Companies House greater powers to boost corporate transparency and combat economic crime.
Director of Intelligence and Law Enforcement Liaison at Companies House, Martin Swain, said:
“The introduction of these new penalties marks another significant step forward for Companies House and our transformation.
“Where our guidance and support are not enough to encourage users to comply with the law or discourage misuse of our registers, we won’t hesitate to use these new powers available to us.
“We’ll take a consistent and proportionate approach to these new powers to firmly, but fairly, enforce the law. This will improve the quality of the data on our registers and help us play greater role in identifying, disrupting and preventing economic crime.”
Director of Legal Services at the Insolvency Service, Jonathan Lupton, said:
“We are committed to working collaboratively with Companies House to help improve the integrity and transparency of the data on its register.
“Where it is appropriate and proportionate to do so, and as part of our overall approach to tackling economic crime and wrongdoing, we will utilise the powers available to us to take enforcement action against misconduct on the register.”