Happy Lunar New Year from Howard Kennedy! As we celebrate this joyous occasion, we want to share some useful updates that could impact your business in the coming year. Here are some key areas to consider:
- Corporate: Understanding the UK's National Security & Investment Act
- Real Estate: Changes Impacting Office Occupiers
- Tax: HMRC Updates and Compliance Requirements
- Employment: Key Judgments and Whistleblowing Claims
- AI in the Workplace: Opportunities and Challenges
- Immigration: eVisa and Updated Guidance for Workers
- Disputes: Recognition of Digital Assets and Foreign Bankruptcy
1. Corporate: Understanding the UK's National Security & Investment Act (NSIA)
The UK's National Security & Investment Act (NSIA) is crucial for those considering expansion or investment in the UK. The government has found that the NSIA Notifiable Acquisition Regulations 2021 are effective in identifying high-risk activities that require mandatory notification. However, additional activities may be included in the future. It's essential to understand the implications of this regime, especially for sectors like Computing Hardware, Dual-Use, and Artificial Intelligence. If you need more information on how this might affect your business, please reach out to us.
2. Real Estate: Changes Impacting Office Occupiers
The real estate sector has undergone significant changes, including shifts in office occupancy levels and increased compliance requirements to meet environmental sustainability targets. Key regulations include the UK Energy Performance Certificate (EPC), Minimum Energy Efficiency Standard (MEES), and the new Terrorism (Protection of Premises) Bill. These changes impact not only developers and property owners but also office occupiers and employers. We are organizing an educational workshop for Chinese businesses in the UK to help you navigate these regulations. If you're interested, please let us know.
3. Tax: HMRC Updates and Compliance Requirements
HMRC has launched a One-to-Many letter campaign targeting individuals who haven't reported their taxable income or registered a Self-Assessment tax return for 2023/24. Additionally, HMRC has updated its guidance on capital gains tax (CGT) for crypto assets and Making Tax Digital (MTD) for Income Tax. It's important to review your personal circumstances and ensure compliance with these updates. Employers supporting expatriates' tax compliance should prepare for different requirements and budget accordingly.
4. Employment: Key Judgments and Whistleblowing Claims
This year, we expect significant employment judgments and consultations over the Employment Rights Bill. Whistleblowing claims can be costly and have serious reputational implications. Recent case law has created uncertainty about the extent of protections for whistleblowers, with an upcoming Court of Appeal decision expected to clarify the law. Businesses should be aware of their duties and obligations to mitigate the risks associated with whistleblowing claims.
5. AI in the Workplace: Opportunities and Challenges
AI continues to grow rapidly in the workplace, presenting both opportunities and challenges. As we move into 2025, key trends will dominate discussions around the legal, practical, and ethical risks of AI. Staying informed about these trends is crucial for businesses to remain competitive and compliant.
6. Immigration: eVisa and Updated Guidance for Workers
The Home Office has replaced physical documents like biometric residence permits and cards (BRP/BRC) with an online record of your immigration status, known as an eVisa. If you or your family members hold BRP/BRC cards expiring on or after 31 December 2024, carry them when traveling internationally. The Home Office has also updated guidance on workers and temporary workers, emphasizing that sponsors cannot ask employees to pay any part of the sponsorship licence application or related fees. Non-compliance can result in the revocation of the sponsorship licence.
7. Disputes: Recognition of Digital Assets and Foreign Bankruptcy
The English High Court has recognised digital stablecoin USD Tether as property under English law. This decision is part of a broader trend towards recognising digital assets as property. Additionally, the English Supreme Court has ruled on the recognition of foreign bankruptcy, reinforcing that English common law does not recognise English property as part of a foreign bankruptcy.
There are a number of headwinds for businesses to navigate, but also plenty of opportunities in the coming year. We hope these updates provide valuable insights as you navigate the business landscape. If you have any questions or need further assistance, please don't hesitate to contact us.
Wishing you a prosperous and successful Lunar New Year!
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