For us here at Nordens, staying on top of the latest developments from Companies House is crucial for ensuring that our clients remain compliant with UK company law. In this article, we’ll walk you through important Companies House updates regarding the responsibilities of directors, penalties for late filing, and Companies House’s authentication codes. We’ll also touch on the upcoming shift to the GOV.UK One Login for accessing digital services.
The Responsibilities of a Company Director
Being a director of a company carries significant legal duties and responsibilities. Directors must ensure that their companies comply with the law, including filing key documents and maintaining the financial health of the business. Key responsibilities include:
- Filing annual accounts and confirmation statements on time
- Acting in the best interests of the company and its shareholders
- Keeping accurate financial records
- Avoiding conflicts of interest
- Adhering to the company’s articles of association
- Filing any changes to the company, directors personal details, addresses and charges
A failure to meet these duties can result in legal consequences, including fines or disqualification. For more details on the responsibilities of company directors, visit the official Companies House guidance on Being a Company Director – GOV.UK.
Penalties for Late Filing: Why Timely Submissions Matter More Than Ever
Late filing of company accounts or confirmation statements can now lead to financial penalties, and in some cases, Companies House updates now take an even stricter approach than before.
Companies that fail to file accounts on time may face fines that increase over time. Importantly, in addition to accounts, the failure to submit a confirmation statement on time could now also result in penalties. This is a recent shift, as Companies House previously didn’t issue penalties for late confirmation statements.
What are the penalties for late filings?
Penalties for late accounts can range from £150 to £1,500 depending on how late they are, and fines increase significantly for repeated offenses. Given the stricter approach being adopted through these Companies House updates, it’s more important than ever to stay compliant and submit both accounts and confirmation statements on time.
For more information, check out the Companies House guidance on penalties and filing deadlines.
Companies House Authentication Codes: What Are They and Why Do They Matter?
A Companies House authentication code is essentially a digital key that enables company directors to access online filing services. This code allows companies to file accounts, confirmation statements, and other important documents through the Companies House website.
Many of our clients are unaware of what the authentication code is or why it is important. Here’s why it matters:
- It’s required to make changes to company details and submit documents online.
- It adds an extra layer of security, ensuring that only authorised individuals can make filings on behalf of the company.
- If the code is lost or misplaced, it can be requested again by the company or through our services.
If you don’t have access to your authentication code or need help with online filing, we can assist you in requesting or retrieving the code. For a detailed explanation, see the Companies House guide on company authentication codes.
Upcoming Changes: Companies House to Join GOV.UK One Login
From autumn 2024, Companies House will update its digital services to transition towards GOV.UK One Login. This is part of a wider move to streamline access to all government digital services through a single, unified login system.
The first service to adopt this will be the ‘Find and update company information’ service, which allows directors and authorised individuals to update company details and submit filings. While this move aims to make access easier and more secure, it’s important for businesses to be aware of these changes to avoid any disruption in accessing services.
Stay tuned for further updates as we approach the Autumn 2024 rollout.
By staying informed and proactive about these updates from Companies House, companies can ensure they remain compliant and avoid unnecessary penalties. If you have any questions or need assistance with any of the matters discussed, feel free to reach out to our team. We’re here to help!
