Foreign Firms Face Big Reveal as Cameron Announces New UK Property Rules

Plans to “lift the veil” on foreign firms that own and buy property in the UK are being formally announced at the big anti-corruption summit in London today. 

After generating plenty of interest in the gathering with this “unguarded” soundbite, the PM is set to confirm that companies will have to enter their details on a new register if they buy – or crucially already hold – UK real estate assets. For the first time, firms will be forced to publicly divulge information on their actual beneficial ownership (rather than putting down Random Name Ltd), information that will be shared between law enforcement agencies across a network of 33 other countries.

Downing Street said the register would mean “corrupt individuals and countries will no longer be able to move, launder and hide illicit funds through London’s property market, and will not benefit from our public funds”.

Official estimates put the number of properties owned by foreign firms in England & Wales at 100,000, 44,000 of which are in London.

Matthew Hancock, Cabinet Office Minister, told the BBC: “It does not matter where in the world your company is registered if you own property in London or sell things to government, as part of government procurement, then you have to declare the beneficial ownership, in other words the ultimate ownership of the company.”

Writing in the Guardian today, Cameron – who’s taken a leading role in organising the anti-corruption summit – added that the wider plans involve the introduction of a new “corporate money-laundering offence”, which aims to “go further than merely requiring firms to prevent bribery and tax evasion”. Companies will be held liable if an employee is charged with money laundering and bosses aren’t able to show that preventative procedures were in place.

US Secretary of State John Kerry, Nigerian President Muhammadu Buhari and Afghan President Ashraf Ghani are among the guests attending the pow-wow at Lancaster House today.

 

Source: Primeresi