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Companies Act 1985

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Yn ddilys o 01/08/2002

234BDuty to prepare directors’ remuneration reportU.K.

(1)The directors of a quoted company shall for each financial year prepare a directors’ remuneration report which shall contain the information specified in Schedule 7A and comply with any requirement of that Schedule as to how information is to be set out in the report.

(2)In Schedule 7A—

  • Part 1 is introductory,

  • Part 2 relates to information about remuneration committees, performance related remuneration and liabilities in respect of directors’ contracts,

  • Part 3 relates to detailed information about directors’ remuneration (information included under Part 3 is required to be reported on by the auditors, see section 235), and

  • Part 4 contains interpretative and supplementary provisions.

(3)In the case of any failure to comply with the provisions of this Part as to the preparation of a directors’ remuneration report and the contents of the report, every person who was a director of the quoted company immediately before the end of the period for laying and delivering accounts and reports for the financial year in question is guilty of an offence and liable to a fine.

(4)In proceedings against a person for an offence under subsection (3) it is a defence for him to prove that he took all reasonable steps for securing compliance with the requirements in question.

(5)It is the duty of any director of a company, and any person who has at any time in the preceding five years been a director of the company, to give notice to the company of such matters relating to himself as may be necessary for the purposes of Parts 2 and 3 of Schedule 7A.

(6)A person who makes default in complying with subsection (5) commits an offence and is liable to a fine.

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