Companies Act 2014 section 319

Financial assistance for purchase of own shares

Section 319 requires companies to disclose in their financial statements any financial assistance they have provided during the year to help purchase their own shares, including employee share schemes and employee loans for share purchases.

• A company's entity financial statements must show the total financial assistance provided during the year for the purchase of its own shares, including any outstanding loans, guarantees, and securities at year end
• Amounts provided under employee share schemes and loans made to employees to purchase shares in the company or its holding company must be separately disclosed
• Where group financial statements are prepared, the same disclosure requirements apply to the company and all subsidiary undertakings included in the consolidation, taken as a whole
• Companies qualifying for the small companies regime or the micro companies regime are exempt from these disclosure requirements