Responding to the Government's announcement that Companies House will be given greater powers to ensure the accuracy of information on the register and clamp down on fraud, Carum Basra, Corporate Governance Policy Advisor at the Institute of Directors, said:
“This is a step in the right direction, addressing what has long been a bugbear for many directors.
“The accuracy and security of information on the register has often given cause for concern, so it’s positive to see the Government promising action in this area. Companies House plays an important role in our business environment, and is in need of an upgrade. Greater controls and protections around the data it provides would be widely welcomed by directors.
"The question is around how this can be achieved in a way that doesn't overly detract from the UK’s strong reputation when it comes to the ease of doing business. The Government's intentions are spot on, but there is some detail left to be filled in, and Companies House will need to be backed with adequate resources. Furthermore, finding time on the legislative agenda may prove a challenge, with wider corporate governance reform already stuck on the runway for some time now."