🇬🇧 Registry30 Sep 2024
Companies House starts imposing financial penalties of up to £10,000
On 30 September 2024 Companies House said it would begin using its new power to impose financial penalties for offences under the Companies Act, such as failing to file a confirmation statement on time. Penalties can be up to £10,000 per offence. More serious cases can lead to director disqualification or prosecution, working with the Insolvency Service.
Companies House announced on 30 September 2024 that it was implementing its new civil penalty regime under the Economic Crime and Corporate Transparency Act 2023 (ECCTA), and published an enforcement policy.
What changed
- Companies House can impose a financial penalty, instead of prosecuting, where a person has committed a relevant offence under the Companies Act, for example failing to file a confirmation statement on time.
- Under the Economic Crime and Corporate Transparency Act 2023 (Financial Penalty) Regulations 2024 (SI 2024/445), a penalty cannot exceed the maximum fine a court could impose for the offence, and in any case cannot exceed £10,000.
- More serious offences may lead to civil action, director disqualification or criminal prosecution, working with the Insolvency Service and other enforcement partners.
Who is affected
All UK companies and their officers. Directors are personally exposed to penalties for offences their company commits.
What to do
- Keep confirmation statements and other filings on time, and act on Companies House warnings promptly.
- Read the Companies House enforcement policy to see how it chooses between penalties, prosecution and other action.