This legislation mandates all unlisted companies in the UK, including dormant companies and limited liability partnerships (LLPs), maintain a register that identifies individuals or legal entities that have significant control over the company.
The main aim of the new register is to increase the transparency of all companies, where it was often argued, and might well still be, that the real power is ‘hidden’ and that those individuals who call the shots are able to remain behind closed doors.
The Department for Business Minister, Baroness Neville-Rolfe said: ‘Companies that disguise who owns or controls them are not playing by the rules and have something to hide. This register, the first of its kind in the world, will help tackle
abuse of corporate entities. This is part of our commitment to creating an environment of trust and accountability for business’.
Now, eight months on from the implementation of the new regulation, it must be considered whether there has been any significant impact on identified individuals, businesses and the overall governance, transparency and accountability of all UK companies.
Please click here to read the full article by Amy McMullan, Company Secretary, Heritage Administration Fund Services Limited published by Governance + Compliance on 13 December 2016.