The new law from the department of business, energy and company strategy is a bid to combat the fact directors are twice as likely to be targeted by fraudsters as anyone else.

Company directors are the victims of one in five recorded cases, according to research by fraud prevention organisation Cifas.

Sponsored

Mind over mortgages: why we need to look after intermediaries’ mental health

Sponsored by Halifax Intermediaries

Directors must still provide their business address as a legal requirement but it will no longer be made public after concerns the information is being used by fraudsters to buy products online or imitate those listed.

Business Minister Andrew Griffiths said: “Through our industrial strategy we have set our blueprint for ensuring we build on our reputation as one of the best places in the world to start and grow a business.

“These new laws will protect new and existing business owners from potential harm and identity fraud, while ensuring we maintain our high standards of corporate transparency.”

 

What next?

The revised law allows directors to offer an alternative, like a company address, where they can be contacted to ensure companies meet their legal requirements.

Previously, personal addresses could only be removed if the authorities judge those listed are at serious risk of violence or intimidation as a result of the company’s work.

The legal changes also mean that public authorities such as the police, the insolvency service and the pension regulator will still be able to access directors’ information, such as their personal address.

The laws will come into force by the end of summer 2018.