This guide brings together how trusts should be recorded in Inform Direct, covering both the Register of Shareholders and the PSC Register.
Trusts as shareholders
A trust is not a person, so it should not be recorded as the shareholder itself. Shares held on trust should be registered in the names of the trustees, with the trust name or the fact that the shares are held on trust added as an account designation, for example "re Jones Family Settlement Trust" or "as Trustees of the Jones Family Settlement Trust". The designation is not reported to Companies House, only the trustees' names are. Where there is more than one trustee, each trustee should be added as a joint shareholder.
Full details, including how to add the designation, are in How Do I Allot or Transfer Shares To a Trust?
Trusts and the PSC register
A trust also has no legal personality, so it can never be registered as a PSC or RLE in its own right.
If a trust's shareholding or voting rights would otherwise meet the shareholding, voting rights, or right to appoint or remove a majority of directors control reasons, each trustee is instead recorded as the PSC, in their own capacity as a known individual (or as an RLE if the trustee is a company). Because trustees hold on behalf of the trust jointly, each trustee is treated as holding the trust's entire shareholding or voting rights, not a split share. If there is more than one trustee, every trustee must be added as a PSC.
The significant influence or control over a trust or firm without legal personality reason is separate from the four reasons above. It applies to someone such as a settlor, protector, or beneficiary who has significant influence or control over the trustees themselves, in addition to the trustees' own PSC entries, not instead of them.
If an individual is already recorded as a PSC through another shareholding and their shares are later identified as held on trust, there is no need to remove and re-add them. Simply update their nature of control to reflect the trust arrangement.
See What Are the Control Conditions for PSC? and How Do I Add a New PSC? for the full process of recording a PSC.
Worked examples
Example 1: Sole corporate trustee
Oak Trustees Limited is sole trustee of the Hartley Family Trust, which holds 60% of the shares in Hartley Vineyards Ltd. Because the trustee is itself a company, Oak Trustees Limited is recorded as an RLE PSC of Hartley Vineyards Ltd under the shareholding control reason, holding the trust's full 60% interest.
Example 2: Joint individual trustees
Jack Jones and Jill Jones are the trustees of the Jones Family Settlement Trust, which holds 40% of the shares in Jones Joinery Ltd. Although neither trustee personally owns 40%, each is deemed to hold the trust's entire 40% interest because they hold jointly on behalf of the trust. Both Jack Jones and Jill Jones must be recorded as individual PSCs of Jones Joinery Ltd under the shareholding control reason.
Example 3: Trustees plus a settlor who retains control
The Carver Family Trust holds 70% of the shares in Carver Engineering Ltd. The trustees, Peter Carver and Susan Carver, are both recorded as PSCs under the shareholding control reason, each holding the trust's full 70% interest. The trust deed also gives the settlor, Robert Carver, the power to direct the trustees on how to vote the shares. Robert Carver must also be recorded as a PSC, this time under the significant influence or control over a trust or firm without legal personality control reason. His entry sits alongside the two trustees' entries, not instead of them.
Example 4: Trust holding below the threshold
The Fenwick Trust holds 15% of the shares and 15% of the voting rights in Fenwick Retail Ltd, with no other rights attached. A 15% holding alone does not meet the shareholding or voting rights control reasons, so the trustees do not become PSCs of Fenwick Retail Ltd on the strength of this holding. If a trustee separately holds further shares personally, or the arrangement in fact gives someone the right to appoint or remove a majority of the board or significant influence or control over the company, the position needs to be reassessed against those other control reasons.
Example 5: Updating an existing PSC rather than removing and re-adding
Mrs Sharma is already recorded as a PSC of Sharma Logistics Ltd in her own right, holding 30% of the shares personally. Her family later assigns a further 10% of the shares to be held by her as trustee for the Sharma Family Settlement Trust. Mrs Sharma does not need to be removed and re-added as a PSC. Her existing record should simply be updated so her shareholding and nature of control reflect the combined interest she holds personally and as trustee.
Note: Inform Direct cannot offer specific advice on trust structures or PSC analysis. If you are unsure how a trust should be reflected in the PSC register, please seek professional advice.