Companies Act 1985

PART III Financial Information About Subsidiaries

14 If—

(a) at the end of its financial year the company has subsidiaries, and

(b) it is required by paragraph 1 in Part I above to disclose particulars with respect to any of those subsidiaries,

the additional information specified below shall be given with respect to each subsidiary to which the requirement under paragraph 1 applies.

15 If—

(a) at the end of the financial year the company holds shares in another body corporate, and

(b) it is required by paragraph 8 in Part II above to disclose particulars with respect to that body corporate, and

(c) the shares held by the company in that body corporate exceed in nominal value one-fifth of the allotted share capital of that body,

the additional information specified below shall be given with respect to that body corporate.

16 The information required by paragraphs 14 and 15 is, in relation to any body corporate (whether a subsidiary of the company or not) the aggregate amount of the capital and reserves of that body corporate as at the end of its relevant financial year, and its profit or loss for that year ; and for this purpose the relevant financial year is—

(a) if the financial year of the body corporate ends with that of the company giving the information in a note to its accounts, that financial year, and

(b) It not, the body corporate's financial year ending last before the end of the financial year of the company giving that information.

This is subject to the exceptions and other provisions in the next paragraph.

17 (1) The information otherwise required by paragraph 16 need not be given in respect of a subsidiary of a company if either—

(a) the company is exempt under this Act from the requirement to prepare group accounts, as being at the end of its financial year the wholly-owned subsidiary of another body corporate incorporated in Great Britain, or

(b) the company prepares group accounts and—

(i) the accounts of the subsidiary are included in the group accounts, or

(ii) the investment of the company in the shares of the subsidiary is included in, or in a note to, the company's accounts by way of the equity method of valuation.

(2) That information need not be given in respect of another body corporate in which the company holds shares if the company's investment in those shares is included in, or in a note to, the accounts by way of the equity method of valuation.

(3) That information need not be given in respect of any body corporate if—

(a) that body is not required by any provision of this Act to deliver a copy of its balance sheet for its relevant financial year mentioned in paragraph 16, and does not otherwise publish that balance sheet in Great Britain or elsewhere, and

(b) the shares held by the company in that body do not amount to at least one half in nominal value of the body's allotted share capital.

(4) Information otherwise required by paragraph 16 need not be given if it is not material.

18 Where, with respect to any subsidiary of the company or any other body corporate, particulars which would otherwise be required by paragraph 1 in Part I or paragraph 8 in Part II of this Schedule to be stated in a note to the company's accounts are omitted by virtue of paragraph 4 or (as the case may be) paragraph 11, section 231(3) of this Act (subsequent disclosure in next annual return) applies—

(a) to any information with respect to any other subsidiary or body corporate which is given in or in a note to the company's accounts in accordance with this Part, and

(b) to any information which would have been required by this Part to be given in relation to a subsidiary or other body corporate but for the exemption under paragraph 4 or 11.

19 For purposes of this Part, shares of a body corporate are treated as held, or not held, by the company if they would, by virtue of section 736(4) of this Act (but on the assumption that paragraph (b)(ii) were omitted from that subsection), be treated as being held or (as the case may be) not held by the company for the purpose of determining whether that body corporate is the company's subsidiary.