New power for Companies House to impose civil penalties in force from today

The second tranche of significant company law provisions in the Economic Crime and Corporate Transparency Act 2023 (ECCTA) that expand the powers of Companies House come into force today, 2 May 2024.

Civil fines

With effect from today, Companies House has the power to impose civil financial penalties (of up to £10,000) for most offences under the Companies Act 2006, following the Economic Crime and Corporate Transparency Act 2023 (Financial Penalty) Regulations 2024 being made. Under the Regulations, the power of Companies House to impose a financial penalty is an alternative to it commencing criminal proceedings for an offence.

In order to exercise the new power, Companies House needs to be satisfied beyond reasonable doubt that the offence has been committed. The power is not available where the offence is an offence under Part 12 (Company secretaries), Part 13 (Resolutions and meetings) or Part 16 (Audit) of the Companies Act 2006.

According to the explanatory memorandum on the regulations, Companies House will publish guidance on how it will exercise its new power under the regulations before it starts issuing financial penalties.

An updated version of our snapshot on Companies House’s new powers is available here.

Fees

In addition, the Registrar of Companies (Fees) (Amendment) Regulations 2024 amended the fees payable to Companies House with effect from 1 May 2024. The regulations amended existing fees, as well as introducing new fees. The existing fees that have increased include, for example, the online same day incorporation service up from £30 to £78, a confirmation statement is now £34 (up from £13) and a same day change of name is £80 (up from £30). Companies House has published a full updated list of fees that are now payable as of 1 May 2024.