Changes to the people with significant control (PSC) register have come into force.
All companies and limited liability partnerships (LLPs) are required to identify and record the people with ‘significant control’ over their company.
Previously, a company or LLP would make any changes to the PSC register as part of its annual confirmation statement submitted to Companies House.
But, as of June 2017, all PSC changes must be directly reported to Companies House and not via the confirmation statement procedure.
Instead, companies and LLPs must internally update their PSC register within 14 days.
The new 14-day filing period does not apply to companies and LLPs who filed their PSC registers before 26 June 2017.
However, those with outstanding updates to their PSC registers following the filing of their annual confirmation statements on or after 26 June 2017 will be subject to the 14-day deadline.
Identifying people with significant control
Companies need to register an individual who meets one or more of the following conditions:
- owns 25% of the company shares
- owns 25% of the voting rights
- has the right to appoint or remove a majority of directors on the board
- has significant influence or control over the company
- has significant influence or control over a trust or company that meets one of the other conditions.
Companies will also need to include the following details for each PSC:
- address (both residential and service)
- country of residence
- date of birth
- date the person became a PSC
- which of the five conditions they meet
- any restrictions on the disclosure.
Get in touch to discuss PSC registers.