The requirement for companies to send an annual return to Companies House has come to an end. From 30 June 2016, companies will instead have to file a confirmation statement.
What is the Confirmation Statement?
The confirmation statement, (Form CS01), is similar to the annual return in respect of information provided, but if no changes have taken place, a declaration can be made to this effect, making the process much simpler.
There are five parts to the confirmation statement that a company must complete when filing the CS01 for the first time, which are similar to the information on the current annual return.
The most fundamental change is the requirement to file information on people with significant control (“PSCs”). The confirmation statement will require companies to provide details of their PSCs. This information must be provided on the first confirmation statement and any changes registered on subsequent statements.
This brings the requirement for companies to complete a PSC register into sharp focus, as the confirmation statement requires this. For more guidance on PSCs go to http://www.ryecroft-glenton.co.uk/post/register-of-people-with-significant-control/413
Upon an application for incorporation, for companies incorporated on or after 30 June 2016, initial PSCs must be included.
When must the confirmation statement be filed?
For an existing company its first confirmation statement must be filed 12 months after its last annual return.
The confirmation statement must then be filed at least once every 12 months. An updated statement can be submitted at any time within the 12 month review period and a new review period of 12 months will be set from the date of the most recent confirmation statement.
This rolling 12 month window means that a company can combine making a confirmation statement with another filing at any point during the year if this is administratively easier, or to capture key events when they happen (for example a change in shareholders), rather than having to wait until a later date, when information may have been forgotten.
What is the filing period?
Companies were allowed a period of 28 days from the due date of the annual return to file it with Companies House. This has been reduced to 14 days for the confirmation statement.
Therefore, if 12 months have elapsed since the last filing of the confirmation statement, a company will only have an additional 14 days to file the confirmation statement before the company is no longer considered to be compliant. Failure to deliver a confirmation statement by the end of the 14 day period is an offence and gives rise to a fine.
What is the cost?
A filing fee must be paid when the confirmation statement is delivered. This is the same as for the annual return (£13 online, or £40 on paper). However, updates to the information on the confirmation statement can be made as many times as required throughout the year, without incurring an additional fee.
If you require any assistance with your confirmation statement or PSC register please contact us.