Companies House Gains New Powers to Enforce Compliance

Companies House has introduced a tougher approach to compliance from 30 September 2024, using new legal powers granted under the Economic Crime and Corporate Transparency Act 2023. These changes mean that directors who fall behind on their filing duties could now face not just financial penalties, but also civil or even criminal enforcement.

This marks a significant shift in the role of Companies House, which is moving from being a passive registry to an active enforcement body focused on maintaining the integrity of the company register and preventing economic crime.

A Stronger Stance on Non-Compliance

For many years, Companies House served primarily as a place to submit documents and store public company data. While late filing penalties existed, enforcement was minimal. That has now changed.

From now on, if a company fails to meet its statutory obligations—such as filing a confirmation statement or submitting annual accounts—Companies House can issue financial penalties. These are expected to be applied more consistently, and the bar for leniency is now much higher.

More serious failures or repeated non-compliance could escalate beyond fines. Companies House has confirmed it will now work in close partnership with enforcement bodies like the Insolvency Service to pursue directors who commit offences. This may include civil court proceedings, disqualification as a director, and in extreme cases, criminal prosecution.

What Has Changed?

These new enforcement powers form part of a wider effort to crack down on fraud, economic wrongdoing, and misuse of UK corporate structures. Companies House now has a legal responsibility not just to process information, but to ensure the register is accurate and being used correctly.

The goal is clear: to build trust in the UK business environment by improving transparency and tackling abuse of corporate structures. Businesses that operate honestly and fulfil their obligations will benefit from a stronger, more credible framework. Those that ignore warnings or exploit the system may find themselves facing serious consequences.

Martin Swain, Director of Intelligence and Law Enforcement Liaison at Companies House, explained:

“Where our guidance and support are not enough to encourage users to comply with the law or discourage misuse of our registers, we won't hesitate to use these new powers available to us.”

What This Means for Directors

For company directors, this means greater responsibility and increased risk if filings are missed or ignored. It's essential to be on top of your company's compliance duties, especially the requirement to file:

• Confirmation Statements (usually annually)
• Annual Accounts (by your filing deadline)
• Changes to directors, shareholders, or registered office

Missing deadlines may no longer just result in a late filing penalty. You could face enforcement action that affects your ability to remain a director in the future—or worse.

Directors must also be aware that Companies House is now actively analysing the data submitted to identify potential misconduct. Filing inaccurate or misleading information could lead to an investigation. Companies House has confirmed it will share intelligence with the Insolvency Service and other government agencies to take broader enforcement action when needed.

Don't Rely on Reminders

While Companies House does send email reminders and offers online guidance, it is ultimately your responsibility to keep track of deadlines and legal obligations. Businesses that rely solely on reminders or take a last-minute approach are at far greater risk under the new regime.

At AWS Accountants, we work with directors to take the stress out of company compliance. We ensure all statutory filings are submitted correctly and on time—so you're never caught off guard.

We Can Help You Stay Compliant

With Companies House now taking a firmer stance on enforcement, there's no room for error or delay. Our clients benefit from a proactive service that keeps their business in good standing and their directors protected. We handle confirmation statements, annual accounts, and any changes to company details—so you don't have to worry about the risk of penalties or worse.

If you're unsure about your current filing position or have already missed a deadline, it's important to act quickly. We can review your company status and help you get back on track before enforcement action is taken.

Avoid Penalties And Stay Compliant with AWS Accountants

Don't wait for a warning letter to take compliance seriously. Contact AWS Accountants to take care of your statutory filings and avoid the risks of falling foul of the new enforcement regime.