Remunerated directorships in public and private companies, including non-executive directorships, and including directorships which are not directly remunerated, but where remuneration is paid through another company in the same group.
In this category, and in others, “remuneration” includes not only salaries and fees, but also the receipt of any taxable expenses, allowances or benefits, such as the provision of a company car. Members should register the name of the company in which the directorship is held and give a broad indication of the company’s business, where this is not self-evident from its name. Directly remunerated directorships of companies which are not trading should be registered.
In addition to any remunerated directorships, members are required to register under this category any directorships which are themselves unremunerated but where either (a) remuneration is paid through another company in the same group where the companies in question are associated; or (b) the company concerned is a subsidiary of another company in which the member concerned holds remunerated directorships. Other unremunerated directorships should be registered under category 10 (non-financial interests) so that in one category or another all directorships should be registered.
While clients of companies in which members hold a directorship must be declared in relevant circumstances (see paragraph 106), they do not need to be registered except where:
(a) the company is a personal service company; The term ‘personal service company’ is not defined in law, but for the purposes of this Code the definition adopted by the House of Lords Select Committee on Personal Service Companies applies: “It is understood generally to mean a limited company, the sole or main shareholder of which is also its director, who, instead of working directly for clients, or taking up employment with other businesses, operates through his company. The company contracts with clients, either directly or through an agency, to supply the services of its director.”
or
(b) the member personally provides services to the client and the client is (i) a government of a foreign state (including departments and agencies), (ii) an organisation which may be thought by a reasonable member of the public to be foreign state-owned or controlled, or (iii) an individual with official status (whether executive, legislative or judicial) in a foreign state when acting in that capacity.
Members providing legal and arbitral services need to register the identity of registrable clients and parties under this category only once (a) the identity of the client or party has entered the public domain or (b) they have been paid for the work (wholly or in part), whichever comes first.
The level of remuneration in respect of interests falling within this category only needs to be disclosed where it is received from governments of foreign states (including departments and agencies), organisations which may be thought by a reasonable member of the public to be foreign state-owned or controlled, and individuals with official status (whether executive, legislative or judicial) in foreign states when acting in that capacity.
Although members may consult the Registrar on whether an organisation or individual meets the definitions in paragraphs 55 and 57, they must themselves take the final decision and in case of doubt should err on the side of registration.
Where earnings are registrable they should be disclosed once in respect of each financial year, no later than 31 January following the end of that financial year. Members may disclose the exact amount received from each source, or indicate within which of the following bands their earnings from each source falls: £0– 5,000; £5,000–10,000; £10,000–20,000; in further increments of £10,000 up to £100,000; or £100,000–200,000 and thereafter in £100,000 increments. Where members have undertaken the work with others, they should estimate the value of their own contribution or disclose the total amount paid by the client.
Contracts under this category do not need to be deposited with the Registrar.