The Register of Persons with Significant Control.
Date: 10/08/2015 | Corporate
The Small Business, Enterprise and Employment Act 2015 is currently being implemented in stages, with one of the key stages being the requirement for companies to keep a public register of persons with significant control (the “PSC Register”).
Ultimately, a company’s PSC Register will be available for public inspection and will be searchable online via Companies House. The requirement to keep a PSC Register will commence in January 2016, however the obligation to file the PSC Register with Companies House will not come into force until April 2016. The purpose of the PSC Register is to provide greater transparency of company ownership and control.
Who is a person with significant control (“PSC”)?
A PSC is an individual who falls into one or more of the following categories:
- Has direct or indirect ownership of more than 25% of a company’s shares;
- Has direct or indirect control of more than 25% of a company’s voting rights;
- Has a direct or indirect right to appoint or remove a majority of the company’s directors;
- Exercises or has a right to exercise significant influence or control over a company; and/or
- Exercises or has a right to exercise significant influence or control over activities of a trust or firm which itself meets one or more of the first four conditions.
What information should the PSC Register include?
The information required is in line with the particulars required for company directors:
- Service address;
- Country or state of usual residence;
- Date of birth;
- Usual residential address (this information will be kept confidential in line with current protections offered to company directors);
- Date on which individual became a PSC; and
- Nature of control.
The information on the PSC Register is intended to be clear, concise and relevant, whilst also respecting confidential information. Companies and individuals will have a statutory obligation to obtain and maintain accurate information for the PSC Register and failure to do so could result in imprisonment or a fine.
Davidson Chalmers will be able to create and maintain PSC Registers for its company secretarial clients, relieving the administrative burden and uncertainty often associated with new legislation. If you require more information about the PSC Register, please do not hesitate to get in touch with a member of our corporate team on 0131 625 9191.