Will access to the register of final beneficiaries be opened?

The Dutch government recommends amending the law on access to the register of ultimate beneficial owners (UBO-registers). This register contains information about people who actually own companies and receive profit from their activities. There is a court order restricting access to this information. The government is planning changes to the law on access to the UBO registry. Why does the Cabinet of Ministers want to legitimize these changes? Who can receive information from UBO-registers? Will they really restrict access?

Why does the government not want to open access to the UBO registry?

In November 2022, the European Court of Justice, located in Luxembourg, decided that free access to the register of ultimate beneficiaries violates their rights. The register contains information about individuals who have shares in various legal entities. The depersonalization of owners hidden behind company names does not make it possible to understand who really manages the activities and distributes income.

Previously, when creating the UBO registry, the main goal was precisely that the discovery of business owners would help prevent and detect criminal activities: fraud, money laundering and terrorist financing. 

Who can receive information from UBO-registers?

According to the government bill, access to register information will be given to: 

• bodies that are required by law to fight crime,
• the press and non-governmental organizations (NGOs) when conducting investigations against beneficiaries,
• banks and notaries - to prevent money laundering,
• local authorities - to prevent criminal activity (where necessary).

Local authorities were included in the bill during its extensive discussion. 

Will they really restrict access?

The bill adopted by the government must be approved by the Council of State, and then it must receive a majority vote in the Dutch parliament. However, already now real access to the registry is closed, with the exception of state organs. 

If your company is not yet registered with the UBO register, you must do so. To avoid a fine, for help please contact us.