There’s some good news for Company Directors feeling exposed to identity fraud from the Department of Business, Energy & Industrial Strategy. They issued an announcement last week:
• Company directors are twice as likely to be victims of identity fraud, research shows
• New laws will allow directors to remove their personal address from the company register whilst still ensuring transparency at Companies House
• Protection will help to ensure the UK continues to be one of the best places in the world to start a business. This is a key part of our Industrial Strategy
Companies House Addresses
New laws to help protect company directors from identity fraud and personal harm will be introduced by the Government. The new laws will allow company directors to remove their personal addresses from the records on Companies House, therefore giving a modicum of privacy. However, directors must legally still provide their business address.
This comes after reports of fraudsters using publicly available information to pose as company directors to buy products online. Naturally, there are also concerns the information is leaving company directors vulnerable to violence and intimidation.
Directors Security Better
Directors are twice as likely to be the victims of identity fraud, with company directors being victims in one in five recorded cases. This is according to research by fraud prevention organisation Cifas. Therefore these new regulations will help to ensure people feel safer when setting up a new business by protecting directors from identity fraud.
Currently, personal addresses can only be removed when Companies House and the relevant authorities judge there is a serious risk of violence or intimidation because of the company’s work.
Transparency in legal info
The new laws will also ensure transparency in legal information. Therefore public authorities such as the police, the insolvency service and the pension regulator will still be able to access directors’ information. The laws will come into force by the end of summer 2018.