17/01/2024 Gatenox

Enhancing Corporate Integrity: The New Confirmation Statement Requirements

Starting March 2024, the Economic Crime and Corporate Transparency Act introduces significant changes to the confirmation statement process for UK companies. This blog post examines these upcoming modifications and their implications for businesses.

1. Mandatory Registered Email Address

All companies, including dormant and non-trading entities, will be required to provide a registered email address. This address, used exclusively for communication with Companies House, will remain confidential from the public. New companies must submit this email upon incorporation, while existing companies are required to do so in their next confirmation statement from March 2024.

2. Lawfulness Confirmation

A critical addition is the requirement for companies to annually confirm that their intended future activities will be lawful. This declaration is essential for filing the confirmation statement, underscoring the government’s commitment to upholding lawful business practices. Failure to include this confirmation will prevent the filing of the statement.

3. Annual Filing Obligation

Every company must file a confirmation statement at least once a year, ensuring that the information held by Companies House is current. This requirement applies irrespective of any changes or lack thereof during the review period.

Conclusion

These changes represent a proactive approach to increase corporate transparency and combat economic crimes. By mandating a registered email and a lawfulness statement, the Act aims to fortify the integrity of corporate activities in the UK. Businesses must prepare to comply with these new requirements, reflecting the evolving landscape of corporate governance.