Legal Updates for Business Owners

Business owners and directors must stay up to date with changes in the law to ensure they remain compliant and do not expose themselves to risk through inaction. Here are a few legal updates that anyone setting up, owning or controlling a company should be aware of.

1. Single Director Companies. We previously highlighted case law that created uncertainty for single-director companies operating under unamended Model Articles of Association. The confusion centred on whether additional directors were required to make valid company decisions. As a result, sole director companies were compelled either to amend their articles of association or appoint additional directors before taking action. Recent case law has brought us much-needed clarity. It confirms that companies adopting the Model Articles without amendments (or without amendments specifying a minimum number of directors) can rely on their sole director to make decisions without needing to appoint further directors.
2. Identity checks for company directors. From Spring 2025, new company directors and persons with significant control (PSCs) will be required to verify their identity with Companies House. This measure aims to improve corporate transparency and strengthen anti-money laundering efforts. Existing directors and PSCs will also need to complete identity verification but will have a 12-month transition period to submit the necessary information. Some details are still being finalised by the Government, so contact our team for up to date information before you act.
3. Supressing personal data from Companies House. Since January 2025, individuals can now ask Companies House to supress a registered office address where it is an individual’s home address.  This change will be extended in spring/summer 2025 enabling requests to be submitted to Companies House for the removal of:
   • residential addresses shown elsewhere on the register
   • day of birth in historic documents
   • signatures
   • business occupation.

In an age of constant calls for data protection, these changes will be welcomed by many.

For more information about how these changes might impact you, contact our Corporate & Commercial team today.

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