Why you need to declare your persons with significant control

Any charity with a corporate body in its structure will soon have to comply with this element of the Business, Enterprise and Employment Act, writes Rebecca Cooney.

From 6 April, all UK companies will have to keep a register of all those people who have significant control over how the organisation operates - but many charities might not realise that this regime applies to them too.

The requirement, which means each affected organisation will have to submit its register to Companies House from 30 June, was introduced in the Small Business, Enterprise and Employment Act 2015.

Under the act, a person with significant control, or PSC, is someone who directly or indirectly holds more than 25 per cent of voting rights, can appoint or remove the majority of directors or has another form of significant influence.

"There's been a tendency to think 'that's a company thing; we don't have to worry about it'," says Peter Swabey, policy and research director at the Institute of Chartered Secretaries and Administrators, the professional body for governance, which has issued guidance on the issue. "But if you're a charity with a corporate body somewhere in your structure, it will have to comply." Read more…

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