Our UK Corporate Secretarial expert outlines accounting regulation changes implemented on 6 April 2015, that affect how disclosure of subsidiary entities are dealt with.
Section 409 of the Companies Act 2006 (CA 2006) requires all
companies to disclose information related to undertakings such
as:
- general information about subsidiary undertakings
- holdings in subsidiary undertakings
- financial information about subsidiary undertakings
- shares of company held by subsidiary undertakings
- significant holdings in other undertakings
- membership of certain undertakings
- the parent undertaking and ultimate parent company.
Prior to 1 July 2015 a parent company had the option to show a
full list of its subsidiaries in its annual report, or to take
advantage of section 410 of the CA 2006, which allowed parent
companies to provide more limited information on undertakings in
the notes to the annual report (where there are numerous related
undertakings and the
