The UK government has accepted an amendment to the Sanctions and Anti-Money Laundering Bill which requires the Overseas Territories to establish public registers showing the beneficial ownership of companies.
The amendment, introduced by Labour’s Margaret Hodge and backed by MPs from all the major parties, commits the government to assisting the Overseas Territories in setting up registers by 31 December 2020. If registers have not been established by the deadline, the UK will be required to legislate to impose them.
An amendment which would have extended similar provisions to the Crown Dependencies was not backed by the government and was subsequently withdrawn.
The developments come after a government amendment which would have only required public registers if the Financial Action Task Force recommended them, was not selected for debate by the Speaker.
Debates on the Bill are scheduled to finish on 1 May 2018, and following Royal Assent, it will become law.
STEP will continue to monitor the impact this amendment will have, and will provide further updates where necessary.