17.03.2005 Company Law Reform Whitepaper

The Company Law Reform White Paper and a Small Business Summary were published on 17th March 2005 and are available at the Department of Trade and Industry's website.

03.11.2005 Company Law Reform Bill Published

The Company Law Reform Bill, introduced to Parliament on 1st November 2005, was published on 3rd November 2005.

The Bill represents a major overhaul of Company Law. It includes a wide range of measures developed in consultation with stakeholders and is designed to modernise and simplify Company Law. It focuses on a ‘Think small first’ approach and is broadly deregulatory.

20.01.2006 Company Law Reform Bill Second Reading

The Company Law Reform Bill received its second reading in the House of Lords on 11th January 2006.

Introducing the Bill, Lord Sainsbury, Parliamentary Under-Secretary of State at DTI, reviewed the history of the company law in Great Britain and said how important it is ‘to constantly update company law in response to changes in the way companies do business’. The Bill has been drawn up in consultation with business. It does not attempt to consolidate the whole of company law, but shifts the emphasis of the law in favour of the 95% of limited companies which are small, and maintains flexibility for future change. The Bill has four key objectives:

• Enhancing shareholder engagement and a long-term investment culture
• Ensuring better regulation and a ‘think small first’ approach
• Making it easier to set up and run a company
• Providing flexibility for the future.

Lord Sainsbury’s opening statement

13.06.2006 Company Law Reform Bill reaches the House of Commons

The Company Law Reform Bill has completed its passage through the Lords and has now moved into the House of Commons. The Bill received its First and Second reading in the House of Commons on 24th May and 6th June respectively.

A Standing Committee will now meet at various dates between 15th June and 13th July to consider amendments.

14.08.2006 Bill completes the Commons Committee stage

The Bill completes the Commons Committee stage on 20th July.

During the committee stage in the House of Commons, the title of the Bill was changed from ‘Company Law Reform’ to ‘Companies Bill’.

A paper concerning the transitional arrangements for existing companies has been published. Views are sought by 22nd September 2006.

Click here to view the paper.

08.11.2006 Companies Act 2006

The Companies Bill receives Royal Assent on Wednesday 8th November 2006

28.02.2007 Consultation on Secondary Legislation

DTI has published a consultative document on the policy issues related to secondary legislation which will need to be made under the Companies Act 2006, and on transitional and savings provisions. Comments are invited by 31 May 2007 (except for those issues relating to political donations and expenditure, for which we request comments by 1 May 2007). The consultation document is the Department for Business, Enterprise and Regulatory Reform.
(www.berr.gov.uk/bbf/co-act-2006/)