The reform process so far

The review of company law began as far back as 1998, with an independent review. White Papers followed in 2002 and 2005. The Bill, published in November 2005, represents the latest stage.

The overall objectives

The Government’s overall objectives are to simplify and modernise company law so that it better meets today’s business needs and provides flexibility for the future. While the reform process aims to ‘think small first’, the proposals will have an impact on directors, auditors and shareholders of private, public and quoted companies.

The main objectives are to:

• enhance shareholder engagement and a long-term investment culture
• ensure better regulation and a ‘think small first’ approach
• make it easier to set up and run a company
• provide flexibility for the future.