Companies Act 2014 section 305A

Payments to third parties for services of directors

Section 305A requires companies to disclose in the notes to their statutory financial statements any payments made to third parties for providing the services of directors or other persons involved in the management of the company or its subsidiary undertakings.

• Companies must disclose the aggregate amount paid or receivable by third parties for making available the services of any person as a director of the company, a director of its subsidiary undertakings, or in connection with the management of the company or its subsidiaries
• Disclosure must cover both the current and preceding financial year, and must include all relevant sums paid by or receivable from the company, its subsidiaries, any holding undertaking and any other person, with amounts distinguished by source
• Non-cash benefits are included in the definition of consideration, valued at their estimated monetary worth, and their nature must be disclosed
• Companies qualifying for the micro companies regime are exempt from these disclosure requirements