Don’t forget to review your People with Significant Control register

The People with Significant Control register (PSC), introduced in June 2016, requires companies to declare individuals who have a significant stake in the business.

The register must include information about individuals who own or control companies including their name, month and year of birth, nationality, and details of their interest in the company.

By definition, a person of significant control is someone that holds more than 25 per cent of shares or voting rights in a company, has the right to appoint or remove the majority of the board of directors or otherwise exercises significant influence or control.

The measures were put forward to enhance corporate transparency in the UK to clamp down on corruption and tax evasion.

Following changes in June 2017, new rules meant that companies have a duty to disclose changes to persons with significant control on a more timely basis.

Changes must be recorded within the company’s PSC register within 14 days of the change, and the change must be filed with Companies House within 28 days. Previously, any changes to the register could be made in the annual Confirmation Statement.

Failure to provide accurate information on the PSC register and failure to comply with notices requiring someone to provide information are criminal offences, and may result in a fine and or a prison sentence of up to two years.

If you have questions relating to the PSC register, or require company and commercial advice, please get in touch.