Companies Act rules mean less red tape for uk

Under the new rules, accounting and reporting requirements for small companies have been streamlined and brought under a single set of regulations, making procedures simpler.

Gareth Thomas, Department for Business, Enterprise and Regulatory Reform minister, said that the act demonstrated the "reform and modernisation" of company UK law, and contained several de-regulatory measures.

[The new legislation] will make the UK an even more attractive place to invest and do business

Gareth Roberts

Minister

Department of Business, Enterprise and Regulatory Reform

"The business world doesn't stand still and the law is changing to reflect this. [The new legislation] will make the UK an even more attractive place to invest and do business," he explained.

Alongside simplified accounting procedures the new rules mean that a private business is no longer required to have a company secretary.

They join rules already in place as part of the Companies Act, such as allowing companies greater use of electronic means of communication with shareholders and private companies no longer being required to hold an annual general meeting.

Further parts of the Companies Act 2006 will come into force in October 2009.

Examples include reduced regulation around forming a company and protection of directors’ private addresses by Companies House.