Confirmation Statement Introduced and Annual Return Abolished from 30th June 2016

June 2016

From 30th June 2016, the requirement for companies to submit an annual return to Companies House is abolished and replaced with a confirmation statement. The new confirmation statement will replace the annual return as a means of providing up to date information to Companies House. It is an offence not to file a confirmation statement (even for a dormant company) within 14 days of the end of the relevant review period.

The new system is designed to be procedurally more efficient, in that for companies where no changes to information are being made, they simply need to “check and confirm” the information held by Companies House is accurate, rather than the approach of the annual return that provided a “snap shot” of a company as at a specific date. This means that once a year a company will need to review its information and let Companies House know whether there have been any changes.

However it is important to note that PSC information must be included as part of the confirmation statement and this means that companies must file the information on their PSC register with Companies House when they file their first confirmation statement. Companies whose annual return is due on or shortly after 30th June, 2016 should ensure that they are ready to comply with the new requirements. The 28 day grace period for filing has also been reduced to 14 days.

In order to assist companies preparing to produce their first confirmation statement, we have produced a new guidance note. We have also updated our guidance notes on Accounts & Audit, Share Capital and Incorporation to take account of the new PSC register requirements and the changes introduced by the Small Business, Enterprise & Employment Act 2015 that also take effect on 30th June 2016. Most particularly that for all newly incorporated companies, a statement of initial significant control must now the included as part of the incorporation process.

More information and the new forms can also be found on Companies House website.

The contents of this Newsletter are for reference purposes only and do not constitute legal advice. Independent legal advice should be sought in relation to any specific legal matter.

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