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Key dates to enhance transparency and prevent crime within UK business

Posted on: March 3rd, 2025 by Hugh Dineen-Lees

As a reminder to those in charge of company administration, the Economic Crime and Corporate Transparency Act (ECCTA) became law in October 2023. It set out a phased timeline for new requirements on businesses to enhance transparency and prevent crime within UK business. In this summary we highlight the upcoming key dates to note.

We have reported on the objectives of ECCTA in this article by Isobel Moran.

From 25 March 2025 – Identity Verification

From 25 March 2025, individuals may voluntarily verify their identity directly with Companies House or via an Authorised Corporate Service Provider (ACSP). Identity verifications apply to all new and existing company directors and people with significant control. They also apply to members of LLPs.  

Identity verification will become compulsory and so it is advisable to do this as soon as possible to avoid missing the compulsory deadline. If you need any guidance or assistance, please be in touch.

Missing the deadline is an offence. The consequences include financial penalties and may prevent you from being able to make other filings on behalf of existing companies or setting up a new company.

From 27 January 2025 – Suppression of Personal Information

From 27 January 2025, individuals can apply to supress personal information from historical documents such as their home address, date of birth, signatures, and business occupation.

Additional protection will be available to those at risk of harm by protecting their information from public view.

From spring 2026 – Changes to Limited Partnerships

From spring 2026, LPs must: 

  • provide partners’ names, date of birth and usual residential address
  • verify the identity of general partners
  • provide a registered office address in the UK – this must be in the same country the LP is registered in, for example a LP registered in Scotland must have a registered office address in Scotland
  • provide a standard industrial classification (SIC) code
  • file an annual confirmation statement

LPs will need to file their information through an Authorised Corporate Service Provider (ACSP).

There will be new powers to:

  • close and restore LPs
  • apply sanctions
  • protect partners’ information
  • operate a statutory compliance process

These changes for LPs will be implemented following secondary legislation and so we are continuing to monitor these changes.

Please see our initial report on the objectives of ECCTA here. We will continue to provide updates as they come into effect. Now is the time to start taking action to verify the identity of the individuals behind your organisation. If you need any guidance or assistance, please be in touch.

Will Bowyer and Angelique Richardson named in first cohort of ISC 30 Under Thirty Awards

Posted on: February 28th, 2025 by Natasha Cox

Lawrence Stephens is delighted to announced that William Bowyer and Angélique Richardson Richardson from our Sports team have been named in the first cohort of the International Sports Convention‘s 30 Under Thirty Awards. These awards have been created to celebrate young professionals who have demonstrated exceptional talent, innovation, and dedication within the sports, media, and entertainment industries.

Will has been recognised as “one of the go-to advisors in the field of talent representation, sponsorship and image rights” while Angelique is described as “one of the UK’s leading sports lawyers”. 

Nigel Fletcher, CEO of the International Sports Convention, highlighted the importance of recognising young talent: “The ISC 30 Under Thirty Awards celebrate the next generation of sports industry leaders. We are committed to supporting career development and acknowledging those making an impact behind the scenes of the sporting world.”

The full announcement can be found here.

For more information on our Sports and Entertainment services, please click here

 

Dominic Holden comments on Apple’s end-to-end encryption in TechRound

Posted on: February 27th, 2025 by Natasha Cox

Director Dominic Holden comments on the news that Apple is set to withdraw its Advanced Data Protection feature from the UK, following a dispute with the Home Office over end-to-end encryption and enabling government access to user data. 

Dominic’s comments were published in TechRound, 26 February 2025, and can be found here.

Dominic’s comments are replicated below:

“Balancing privacy rights with the needs of national security is a tightrope that tech companies walk daily. In this case, it appears Apple have begun to teeter.

“End-to-end encryption allows users to more effectively secure their data and better protect it from hackers and other bad actors. However, it can also allow criminals to plot and conduct illicit activity.

“Aside from whether the public trust that a back door such as this will not be misused by the government, the danger of a back door is that it also creates a vulnerability which a hacker may be able to exploit.

“Apple’s decision to withdraw UK user’s ability to encrypt data removes an effective weapon to protect against hacking, whilst hackers and other bad actors will likely migrate to alternative encrypted services that the government cannot access.”

 

Alex Edwards explores loan enforcement and recoveries in Bridging & Commercial

Posted on: February 26th, 2025 by Hugh Dineen-Lees

Following the fallout of last year’s Autumn budget, Director Alex Edwards explores how recent legislative and political reforms have impacted loan enforcement and recoveries across the UK real estate market.

Alex’s article was published in Bridging & Commercial, 18 February 2025, and can be found here.

Seismic activity ahead in the land of BTL

Following the Autumn Budget, landlords and lenders are facing an incredible complex and ever-changing landscape when it comes to real estate finance. Alex Edwards advises on what to anticipate to avoid disputes around loan enforcement and recovery

Words by Alex Edwards, director at Lawrence Stephens

On first inspection, there was little in chancellor Rachel Reeves’ first Budget to concern either mortgage lenders or borrowers. The most attention-grabbing announcements have proved to be those on inheritance tax for farmers and increased employers’ national insurance contributions.

However, several aspects of this Budget are likely to create a volatile landscape for lenders and have a long-term impact on the UK mortgage industry, posing challenges for landlords and lenders alike.

Alongside these domestic political factors, which are likely to impinge on the UK real estate finance market in the coming months and years, are global geopolitical changes that could prove to be even more critical.

By far the most prominent probable cause of a profound economic shift is the election of Donald Trump as the next US president.

Trump’s second term, for which he is far more prepared than when he previously took office in 2016, will be a White House with radically different policies and intentions compared with the previous administration. Under Trump’s leadership, the world’s economic powerhouse will be more inward looking, adopting policies that could lead to higher costs, higher inflation and, in turn, higher interest rates in the US. These untested policies could impact growth in the US and in the UK.

Renewed and potentially expanding conflict in the Middle East, with the Israeli military action in Gaza and Lebanon bringing in Iran and other significant players in the region, could have far-reaching global effects. Instability in Taiwan, with China perhaps waiting for Trump to take office in January to launch an assault, could be another source of major financial instability.

Nearer to home, the fault lines of political cohesion in Europe appear to be fracturing.
How these macroeconomic headwinds will impact the UK as it settles into having its first Labour government in 14 years is yet to be seen.

Whilst the latest economic growth figures may have dealt a blow to Rachel Reeves, the softer than expected inflation figures suggest that there is now an expectation of interest rate cuts in the coming months which will be welcomed by borrowers. That said, with the concerns around the growth of the economy, the level of inflation predicted to remain around 3% for the rest of the year, uncertainty as to how fast interest rates will continue to fall and borrowers struggling when they come to refinance could therefore be the early indicators of a new or revived cost-of-living crisis on the horizon.

While not directly linked, the tax-raising policies in Labour’s Budget will have an undeniable impact on the housing market. Shortly after the budget statement to MPs in the House of Commons, UK government borrowing costs rose to their highest level this year. This prompted many City investors to predict that the Bank of England will now be more cautious in its approach to cutting interest rates, contrary to earlier expectations.

Nonetheless, there is still very much an expectation that interest rates will gradually come down.  

Prepare for enforcement

These issues will have to be carefully considered to avoid potential disputes around enforcement and recovery. Lenders will have to ensure their teams are well prepared. They will want to carry out thorough security reviews on loans and portfolios that could go under, and carefully consider what options are available to them before they start looking at formal enforcement.

Large numbers of borrowers on fixed low rates are now far more likely to be adversely affected when their rate deals come to an end. The most dramatic consequence will likely be an increase in defaults as fixed rates come to an end.

For lenders, it will be challenging to stay up to date with such a volatile market.

It is certainly plausible that borrowers whose budgets are already squeezed may struggle this year as these many factors combine to create a tough monetary environment.

Slower development

While there has been talk of 300 new planning officers—which is of course welcome—in reality, this likely equates to around one per local authority. In terms of the day-to-day workload, this is a drop in the ocean and is unlikely to improve the planning process or make it quicker and more efficient.

Despite Labour’s rhetoric around support for developments, building and unlocking the grey belt, planning applications taking longer to be processed (due to the lack of extra planning officers) will certainly have an impact on the new build market.

We are also seeing unit sales on developments taking longer than expected, which will continue to impact developers, at least until interest rates and construction costs stabilise.

Rental yields for landlords may also drop as tenants are more likely to be unable to afford to continue to pay rents as they too continue to rise. The risk of late or missed rent payments could leave landlords in an invidious position when servicing loans secured on their BTL properties. That said, with first time buyers continuing to struggle to gain a foothold on the property market, rental demand in urban areas is likely to remain strong. 

There will continue to be challenges for developers to access financing at cost levels which are profitable, which will have an impact on the number of large scale projects getting off the ground.

Perhaps insulated from these overarching issues is student accommodation, which is an ever-growing market, and the residential market in prime London, which seems to be in its own bubble. There is consistent appetite for these types of developments.

Lenders will need to be extremely conscious of such issues and monitor potential defaults and, given the state of the market, fully assess their options in terms of next steps.

Look at the loan book

Of equal importance is that lenders must look closely through their loan books. It is crucial that they scrutinise the financial condition of borrowers who may have only one or two properties, rather than that of professional landlords with more substantial portfolios who are better set up to weather such storms.

They may also want to consider the impact of the current market climate, propelled by the aforementioned changes in the Budget, on portfolios that operate on tight yield margins. For landlords, just like residential mortgage holders, the measures announced will heavily impact borrowing rates.

International investors in the UK’s real estate market may be less affected, although the well-signposted issues across Europe and the escalation with Russia following the US’s recent decisions around weapon supplies may change this for certain individuals.

BTLs can still be attractive to borrowers and lenders alike, but lenders should be alive to the changing landscape and the wider economic pressures faced on all sides. They should be continually monitoring the effect of changes brought about by the UK government and issues caused by global shifts to understand what this might mean in the long term for defaults or recoveries.

Dominic Holden explores cybersecurity for SMEs in Thomson Reuters Regulatory Intelligence

Posted on: February 24th, 2025 by Hugh Dineen-Lees

Director Dominic Holden explores the increasingly important role of cyber insurance for SMEs, and discusses how businesses can best ensure they are protected from cyberattacks, data breaches and hacking.

Dominic’s article was published in Thomson Reuters Regulatory Intelligence, 21 February 2025, and can be found here:

Cybersecurity_ a blind spot for SMEs – [regintel-content.thomsonreute

 

 

Sole directors under the Model Articles of association

Posted on: February 20th, 2025 by Hugh Dineen-Lees
  • The High Court has once again expanded on the confusing area of sole director decision making, where a company has adopted the Model Articles.

Confusion within the Model Articles

It is widely accepted that the Model Articles are free from inconsistencies and are suitable for all company incorporations. However, the Model Articles has faced scrutiny in the High Court on numerous occasions, as their suitability for companies with a sole director has been questioned.

Article 7(2) of the Model Articles states that if (a) the company only has one director, and (b) no provision of the articles requires it to have more than one director, the general rule does not apply, and the director may take decisions without regard to any of the provisions of the articles relating to directors’ decision-making.

On the other hand, Article 11(2) stipulates that the minimum number of directors required to hold a board meeting must be at least two (i.e., the quorum for a board meeting is two) and that no other decisions can be made (as a sole director) save for appointing another director.

The case of Hashmi v Lorimer Wing [2022] concluded that one director is not sufficient for a board meeting to be held and decisions to be made, given that a sole director is unable to create a quorum by satisfying the minimum of two directors that are required for a board meeting, as set out in Article 11(2).  

In contrast, in the same year, the case of Re Active Wear Limited [2022] concluded that a sole director has valid authority to make decisions on behalf of the company. It is important to note that the judge commented that this would not have been the case where the company has in the past had more than one director.

Whilst the decision of Re Active Wear Limited [2022] was welcomed, the confusion created by contrasting interpretations of Articles 7(2) and 11(2) of the Model Articles remained.

Clarification: Re KRF Services (UK) Ltd [2024] EWHC 2978 (Ch)

In the recent case of Re KRF Services (UK) Ltd [2024], the High Court has provided further clarification on the tension between Articles 7(2) and 11(2) of the Model Articles.

After consideration of the aforementioned cases of Hashmi v Lorimer Wing [2022] and Re Active Wear Limited [2022], the judge held that where a company has adopted Model Articles, the sole director has the authority to act under Model Article 7(2). The judge commented that, insofar as the company has adopted unamended Model Articles, Article 7(2) will triumph over Article 11(2). The Court distinguished the case of Hashmi v Lorimer Wing, as that involved a modification to the minimum number of directors, and the judge concluded that the historical number of directors is irrelevant in determining whether Article 7(2) will take precedence over Article 11(2).

What does this mean for companies that have adopted the Model Articles?

Whilst the case of Re KRF Services (UK) Ltd [2024] has provided some clarification and has indicated that the courts are leaning towards allowing sole directors to act where Model Articles have been adopted, it is important to note that it is a High Court decision which does not overrule the previous judgments. It has merely provided some clarification.

As a result, companies with a sole director and who have Model Articles need to be alert to the fact that decisions made by a sole director have previously been deemed to be invalid by the Court. Therefore, it is worth considering whether it would be commercially expedient to appoint another director to ensure all future board meetings are quorate and compliant with Model Article 11(2).

In our experience advising financial institutions in debt finance transactions involving corporate borrowers the preference is amending the company’s Articles. The amendment explicitly states that a quorum can be formed with only one sole director present, and such director has all powers of decision making. It is prudent for shareholders to ratify previous decisions of the sole director as part of this process. This documentation and amendment to the Articles can give comfort to sole directors that they can operate the company as they deem fit without the risk of challenge.

Supreme Court confirms the scope of Section 423 Insolvency Act 1986

Posted on: February 20th, 2025 by Natasha Cox

On 19 February 2025, the Supreme Court handed down its judgment in El-Husseiny and another v Invest Bank PSC which concerned itself with the construction of section 423 of the Insolvency Act 1986 (transactions defrauding creditors) (“Section 423”).

Section 423 is a powerful tool which provides recourse for creditors where a debtor transfers an asset for no consideration or at an undervalue for the purposes of putting the asset beyond the reach of creditors.

The fact that Section 423 is contained in the Insolvency Act 1986 is a red herring as it does not require the debtor to be insolvent or in an insolvency process to apply, and it can be brought by office-holders as well as a ‘victim of the transaction’. Furthermore, unlike other provisions in the Insolvency Act 1986, a transaction under Section 423 does not need to be within a specified period of time before the commencement of insolvency proceedings.

In the case of El-Husseiny the appellant attempted to argue that Section 423 could not apply as the property that was transferred belonged to a corporate vehicle and not himself. The Court disagreed and concluded that Section 423 is sufficiently wide to apply when a debtor causes their company to transfer the company’s assets at an undervalue, thereby resulting in the diminution of the value of the debtor’s shares. If this was not the case, it would prejudice a creditor’s ability to enforce a judgment against a debtor.

This judgment then went further and expanded the definition of ‘transaction, which is also found under sections 238 and 339 of the Insolvency Act 1986 (transactions at an undervalue with respect to administration, liquidation, and bankruptcy), thereby aligning the definition with Section 423. This was reached as it would be “impossible to think of circumstances in which a transaction was held to be within section 423(1) when it would also not appropriately fall within section 238 and 339” [para 64], and there is “no good reason for giving different meanings to transactions at an undervalue in section 238, 339 and 423” [para 72].

This is a welcomed decision for insolvency practitioners as they now appear to have greater scope from which to pursue debtors who may otherwise seek to hide behind corporate structures. It will also allow insolvency practitioners to look to set aside transactions under Sections 238, 339 and 423 even though the asset transferred was not beneficially owned by the debtor. We agree with the Court’s decision as had this decision not been reached, it would have undermined the purpose of Section 423.

The full judgment may be found here: https://www.supremecourt.uk/cases/uksc-2023-0080#judgment-details

For further information on our restructuring and insolvency services, please click here

 

 

 

 

Lawrence Stephens advises Tri Capital on two commercial property sales

Posted on: February 19th, 2025 by Natasha Cox

Lawrence Stephens have recently advised long-standing client Tri Capital Properties in relation to two commercial property sales which have completed within a week of each other.

The first comprised a partially let property in Thornton Heath where contracts were exchanged within ten working days of receipt of agreed terms. The second transaction was a complicated sub-lease of part of premises in West London. 

The transactions were led by Commercial Real Estate Director Craig Mullen who commented: “It was a pleasure to assist Tri Capital with these disposals.  The team at Tri Capital are always proactive and driven to achieve agreed deadlines.  A special mention must also go to the selling agents at Henshall & Partners, Acorn Commercial and Estate Office Property Consultants who were on hand at every step of the way.  I look forward to working with them all again very soon.”

For further information on our Commercial Real Estate services, click here

Transparency in digital transactions: What your business needs to know

Posted on: February 18th, 2025 by Hugh Dineen-Lees
  • The Digital Markets, Competition and Consumers Act (DMCCA) mandates greater transparency in digital transactions, aiming to eliminate deceptive practices that harm consumers.
  • The Competition Markets Authority (CMA) has gained new power to directly enforce consumer protection laws without court intervention which includes issuing fines and taking corrective actions against businesses that violate the DMCCA.
  • Businesses must enhance their compliance efforts to adapt to the new regulations.

Key changes

  1. Subscription services

Businesses must provide clear information about subscription terms, including costs and cancellation procedures. Automatic renewals must be communicated transparently, and consumers should be able to cancel subscriptions easily. The pre-contract information must be given together, in writing, without the need to click links or download.

In addition, a 14-day cooling off period must be provided to consumers and consumers must have the ability to easily exit the contract with a single communication.

The new regime for subscription contracts will not come into force until April 2026.

  1. Fake reviews

Under the DMCCA, businesses must not publish or commission the publication of fake reviews which are designed to mislead consumers. The DMCCA also puts an obligation on businesses to take reasonable and proportionate steps to prevent the publication of fake reviews.

  1. Hidden fees

All charges must be disclosed upfront in the invitation to purchase (i.e. adverts or listings), including any fees, taxes and charges. Businesses can no longer add unexpected fees at the final stages of a transaction. If the whole price cannot be ascertained, then the method of calculation must be stated in the invitation to purchase.

How does it affect businesses?

  • Businesses will need to update their systems to comply with these updated transparency requirements, which could potentially involve significant changes to their terms of business, website and customer service.
  • Failure to take reasonable and proportionate steps to prevent the publication of fake reviews may leave businesses open to fines and penalties from the Competition and Markets Authority.
  • Marketing teams must be vigilant in creating and reviewing advertising content to ensure it meets the new standards and to ensure that all promotional materials are truthful and not deceptive.

Enforcement by the CMA

The CMA’s will be granted a new power to directly enforce consumer protection laws without court intervention, unlike the Financial Conduct Authority (‘FCA’). This includes issuing fines and taking corrective actions against businesses that violate the DMCCA. In addition, the CMA can consider both regulated and unregulated businesses, unlike the FCA.

Key changes:

  1. Direct Enforcement

The CMA can now issue infringement notices and impose fines of up to 10% of a company’s global turnover or up to £300,000 (whichever is greater) for non-compliance.

  1. Corrective Actions

The CMA can mandate corrective actions, such as refunds to consumers or changes in business practices. Fines may also be issued for failure to cooperate with CMA investigations.

How does it affect businesses?

  • Businesses must adopt a proactive approach to compliance, regularly auditing their practices to ensure they meet the new standards.
  • Businesses should develop robust risk management strategies to handle potential CMA investigations and enforcement actions.

Conclusion

The DMCCA has brought significant updates to consumer law, emphasizing transparency, fairness, and direct enforcement. Recent news and governmental consultations regarding new measures to tackle unfair and costly subscription traps suggest that the CMA will not be shy to exert their new powers. For businesses, this means adapting to new regulations, enhancing compliance efforts, and ensuring that consumer interactions are fair and transparent.

Lawrence Stephens strengthens Banking and Real Estate Finance teams with the appointment of Steve Clinning and team from Memery Crystal

Posted on: February 18th, 2025 by Hugh Dineen-Lees

Lawrence Stephens is delighted to announce the appointment of Steve Clinning as a Director in the Banking department.

Steve joins from Memery Crystal where he was a Partner in the Banking and Real Estate Finance team.

He advises both borrowers and lenders on a range of transactions including general property finance, corporate acquisition work, hotel finance, trading business finance, development finance and asset finance, and has established long-term partnerships with several high-volume lending clients.

Associates Alex Duncliffe-Vines, Asal Saferabadi and Paralegal Montgomery Chapman will join the Real Estate Finance team, and Paralegal Timothy Shannon will join Steve in the Banking team.

Head of Real Estate Finance Greg Palos, commented: “I have known and admired Steve’s work for many years and we are delighted to welcome him and the team to our firm. Their arrival brings the number of Directors in the Banking and Real Estate Finance teams to 11 and a total complement of 42, making it an even more significant player in the Real Estate Finance and Banking ecosystem. Their practice perfectly complements our own and we all look forward to working with them on their arrival.”

Key dates upcoming under ECCTA

Posted on: February 18th, 2025 by Hugh Dineen-Lees

As a reminder to those in charge of company administration, the Economic Crime and Corporate Transparency Act (ECCTA) became law in October 2023. It set out a phased timeline for new requirements on businesses to enhance transparency and prevent crime within UK business. In this summary we highlight the upcoming key dates to note.

We have reported on the objectives of ECCTA in our December 2024 newsletter and a specific article by Izzy Moran available on our website.  

Identity Verification from 25 March 2025

From 25 March 2025, individuals may voluntarily verify their identity directly with Companies House or via an Authorised Corporate Service Provider (ACSP). Identity verifications apply to all new and existing company directors and people with significant control. They also apply to members of LLPs.  

** Identity verification will become compulsory and so it is advisable to do this as soon as possible to avoid missing the compulsory deadline. If you need any guidance or assistance, please be in touch.

Missing the deadline is an offence. The consequences include financial penalties and may prevent you from being able to make other filings on behalf of existing companies or setting up a new company.

Suppression of Personal Information

From 27 January 2025, individuals can apply to supress personal information from historical documents such as their home address, day of birth, signatures, and business occupation.

Additional protection will be available to those at risk of harm by protecting their information from public view.

Changes to Limited Partnerships

From spring 2026, LPs must: 

  • provide partners’ names, date of birth and usual residential address
  • verify the identity of general partners
  • provide a registered office address in the UK – this must be in the same country the LP is registered in, for example a LP registered in Scotland must have a registered office address in Scotland
  • provide a standard industrial classification (SIC) code
  • file an annual confirmation statement

LPs will need to file their information through an ACSP.

There will be new powers to:

  • close and restore LPs
  • apply sanctions
  • protect partners’ information
  • operate a statutory compliance process

These changes for LPs will be implemented following secondary legislation and so we are continuing to monitor these changes.

Please see our initial report on the objectives of ECCTA on our website. We will continue to provide updates as they come into effect. Now it is time to start taking action to verify the identity of the individuals behind your organisation. If you need any guidance or assistance, please be in touch.

Financial penalties and fees: Navigating the new Companies House rules

Posted on: February 18th, 2025 by Hugh Dineen-Lees
  • The Economic Crime and Corporate Transparency Act (ECCTA) has granted Companies House enhanced powers and responsibilities, the power to impose financial penalties and increased fees, a requirement for compulsory identity verification, insistence on electronic filing and measures to enhance the transparency of company ownership.
  • These changes will be rolled out in phases, with full implementation expected by 2027 and all stakeholders should stay informed.
  1. Enhanced powers and responsibilities

In March 2024, Companies House was granted greater authority to query and challenge the information submitted by companies. This includes the power to reject or remove incorrect or fraudulent data from the register, analyse information in greater detail, and share more information with law enforcement agencies and regulatory bodies where necessary. These measures are designed to ensure that the information held is accurate and reliable, thereby increasing trust in businesses across the UK. 

  1. Financial penalties and increased fees

In May 2024, Companies House was granted the power to impose civil financial penalties for most offences under the Companies Act 2006. This significantly widens the failings companies could be penalised for and is intended to ensure prompt compliance with Companies House requirements and deter fraudulent activities.

Companies House also increased its fees to fund these new measures. For example, the cost of incorporating a company has increased from £10 to £50 when filed digitally, and the cost of filing confirmation statements has risen from £13 to £34.

  1. Identity verification

A major component of the reforms is the introduction of compulsory identity verification for all new and existing company directors and people with significant control. For existing companies, the transition period will start from Autumn 2025. By spring 2026, anyone filing on behalf of a company will also need to verify their identity.

  1. Digital filing requirements

By 2026 to 2027, Companies House will require all annual financial accounts to be submitted digitally via software. This move is part of a broader effort to modernise the filing process and improve the efficiency and accuracy of data submissions.

  1. Transparency of company ownership

The Act also mandates the publication of more detailed information on company shareholders, enhancing the transparency of company ownership. This measure is expected to be a significant undertaking for some companies, and the implementation options are currently being worked through.

Conclusion

The updates to Companies House under the ECCTA are designed to create a more transparent, accountable, and secure business environment in the UK. By introducing stricter identity verification, increasing the powers of Companies House, and enhancing the accuracy of company data, these reforms aim to reduce opportunities for economic crime and improve corporate governance.

These changes will be rolled out in phases, with full implementation expected by 2027. Companies and stakeholders are encouraged to stay informed and prepare for these upcoming requirements to ensure a smooth transition. We will continue to keep you updated on upcoming key dates.