Understanding the Latest Changes to UK Company Law

In an effort to drive confidence in the UK economy and tackle economic crime, Companies House has recently introduced a series of changes to the UK Company Law. One of the most significant changes pertains to the rules for company names.

Companies House is now conducting more rigorous checks on company names.

The aim is to prevent the registration of names that could potentially mislead the public or facilitate fraudulent activities. This move is expected to enhance the accuracy and quality of the data held by Companies House and prevent the misuse of company names.

Under the new rules, Companies House can reject an application to register a name if there’s reason to believe that the name is intended to facilitate fraud, contains a computer code, or is likely to falsely imply a connection to a foreign government or an international organisation.

Moreover, Companies House now has the power to direct companies to change their names. If a company fails to comply within 28 days, Companies House can determine a new name for the company, such as changing the company name to its registered company number. During this process, the original name can be suppressed from the register.

It’s important to note that failure to comply with a direction to change a company name within the specified timeframe is considered an offence. Continuing to use a company name that has been directed to change is also an offence.

These changes are part of the broader reforms introduced under the Economic Crime and Corporate Transparency Act. For more information about these changes and how they impact UK company law, visit the Companies House website.

Remember, the world of company law is complex and ever-changing. Stay informed, stay compliant, and seek professional advice when needed.

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