{
  "url": "https://openlegislation.uk/draft-companies-strategic-report-and-directors-report-amendment-regulations-2023/regulation-2",
  "json_url": "https://openlegislation.uk/draft-companies-strategic-report-and-directors-report-amendment-regulations-2023/regulation-2.json",
  "legislation": "ukdsi/2023/9780348250220",
  "legislation_title": "The Companies (Strategic Report and Directors’ Report) (Amendment) Regulations 2023",
  "legislation_url": "https://openlegislation.uk/draft-companies-strategic-report-and-directors-report-amendment-regulations-2023",
  "path": "regulation/2",
  "kind": "regulation",
  "number": "2",
  "heading": "Amendment to Chapter 4 (annual accounts)",
  "text": "After section 413 of the Companies Act 2006 insert—\n“Additional information about distributable profits, distributions and purchase of own shares\n413A (1) For the definition of “company with a high level of employees and turnover” see section 414CC.\n(2) If, in relation to a financial year, a company was a company with a high level of employees and turnover the following information must be shown in the notes to the accounts for the financial year—\n(a) the amount, at the beginning and at the end of the financial year, of the company’s profits available for distribution within the meaning of section 830(2) of this Act (“distributable profits”);\n(b) a summary of the changes which have occurred to distributable profits during the financial year, including as a result of the company making distributions, in accordance with Part 23 of this Act, or purchasing its own shares, in accordance with Part 18 of this Act;\n(c) in the case of a public company, whether the amount which may be distributed is affected by the application of the net asset restriction, which is described in section 831 of this Act and, if so, the amount which is available for distribution after the application of the net asset restriction at the beginning and at the end of the financial year.\n(3) If, in relation to a financial year, the company was both—\n(a) a company with a high level of employees and turnover; and\n(b) an insurance company, to which section 833A(1) applies and which carries on long-term business within the meaning of section 833A(9) (a “relevant insurance company”),\nsubsection (2)(a) is modified so that, for the purpose of calculating the company’s distributable profits, sections 833A(2) to (9) apply.\n(4) If, in relation to a financial year—\n(a) the company was both—\n(i) a company with a high level of employees and turnover; and\n(ii) an investment company within the meaning of section 833(referred to in subsection (4) as a “relevant investment company”); and\n(b) the company has made or intends to make a distribution in accordance with section 832;\nsubsection (5) applies.\n(5) The notes to the accounts of a relevant investment company must—\n(a) show any accumulated, realised revenue profits, which are available for distribution within the meaning of section 832(2) (“distributable revenue profits”); at the beginning and the end of the financial year;\n(b) summarise the changes which have occurred to the distributable revenue profits during the financial year; and\n(c) state whether the amount of its distributable revenue profits is affected by the application of the restriction set out in section 832(3), and, if so, the amount of its distributable revenue profits after the application of that restriction at the beginning and at the end of the financial year.\n(6) Subsections (2) to (5) do not apply to a company if it is a subsidiary undertaking of a company which is a company with a high level of employees and turnover at the end of the financial year.\n(7) Where, in the opinion of the directors, the calculation and disclosure of a figure, in accordance with subsections (2) to (5), would involve unreasonable expense or delay (including as a result of historical trading activity) the directors may set out a minimum figure.\n(8) To the extent that the directors set out a minimum figure, in accordance with subsection (7), they must explain in the notes to the accounts—\n(a) why the calculation and disclosure of a figure, in accordance with subsections (2) to (5), would involve unreasonable expense or delay; and\n(b) how the minimum figure was calculated.”.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "footnote",
      "label": "f1",
      "text": "Section 830 amended by S.I. 2016/1194."
    },
    {
      "type": "footnote",
      "label": "f2",
      "text": "Section 833A inserted by regulation 2(4) of S.I. 2016/1194."
    },
    {
      "type": "footnote",
      "label": "f3",
      "text": "Section 833 amended by S.I. 2012/952."
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukdsi/2023/9780348250220/regulation/2",
    "retrieved_at": "2026-10-30T14:43:01.908411+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}