The government’s Small Business and Employment Act brings with it a number of changes that could improve the welfare of SMEs, including reducing red tape and ensuring fair competition.
The Act has officially received Royal Assent and will be implemented throughout a number of different time scales.
The new legislation includes two major changes towards the running of UK companies:
- Reduce red tape whilst increasing the quality of information on the public register
- Enhance transparency and ensure the UK is seen as a trusted and fair place to do business
The document also aims to make provisions about improved access to finance for small businesses and individuals, and to make provision about regulatory provisions relating to business and certain voluntary and community bodies.
It is currently expected that changes will be implemented in three stages – those with the highest impact being delivered in the final stage.
All companies will be affected by at least some changes, as the measures will change legal requirements on companies, including what they file with Companies House – which will impact companies’ systems and processes.
Some changes included within the act have already been enforced. On 26th May, the act abolished. Share warrants to bearer (known as ‘bearer shares’. The government page noted that any existing share warrants will need to be surrendered within 9 months.