§ Mr. Patrick Thompson
To ask the Secretary of State for Trade and Industry when he will bring into force the provisions of the Companies Act 1989 on the disclosure of interests in shares.
§ Mr. Redwood
On Friday 23 March I signed an order to commence subsections (1), (2), (3), (5) and (6) of section 134 of the Companies Act 1989. These provisions will come into effect on 31 May 1990. From that date, the notifiable percentage for disclosure of interests in shares of public companies under part VI of the Companies Act 1985 will be lowered from 5 per cent. to 3 per cent. and the period allowed for disclosure will be reduced from five to two business days. The order also states that, where an existing interest of between 3 per cent. and 5 per cent. becomes notifiable by virtue of the coming into force of section 134(2), the person holding the interest comes under an obligation to disclose when he is or becomes aware that he has such an interest, and he must notify the company within the new period for disclosure, that is, two business days.127W
No regulations under subsection (5) and (6) are being made at the present time.
I have placed a copy of the order in the Library.