Director disqualification sanctions
Source: gov.uk (2025-04-07)

General guidance about director disqualification sanctions, what they mean and applying  for a licence.

For more detailed information, read the statutory guidance for each of the UK’s sanction regimes. (https://www.gov.uk/guidance/uk-sanctions)

Director disqualification sanctions

Sanctions are a legal way the UK government can deter and disrupt threats as part of its wider foreign policy.

Under the Sanctions and Anti-Money Laundering Act 2018, Section 3A enables legislation to make director disqualification sanctions.

The effect of director disqualification sanctions

Unless a licence has been issued or there is an exception in place, individuals who are subject to director disqualification sanctions are banned directly or indirectly from:
- being a director of a UK company
- being a director of a foreign company that has sufficient connection to the UK, even if it is not registered here. For example, if it carries out business or has assets here
- taking part in or being concerned in the promotion, formation or management of a company
The ban applies to England, Wales, Scotland and Northern Ireland under the following legislation:
- section 11A of the Company Directors Disqualification Act 1986
- article 15A of the Company Directors Disqualification (Northern Ireland) Order 2002
Anyone contravening a director disqualification sanction is committing a criminal offence.

More information on the effect of a disqualification (https://www.gov.uk/government/publications/corporate-insolvency-effect-of-a-disqualification-order/effect-of-a-disqualification).

UK Sanctions list

Anyone with director disqualification sanctions made against them are listed on the UK sanctions list (https://www.gov.uk/government/publications/the-uk-sanctions-list). The list also specifies which sanctions apply.

Apply for a licence

A person can apply to the Insolvency Service for a licence to carry out acts that are prohibited by director disqualification sanctions.

Find out more about how to apply for a licence (https://www.gov.uk/guidance/licence-application-for-directors-subject-to-director-disqualification-sanctions).

Licencing offences

It is an offence for a person to provide misleading information or documents when applying for a licence.

It is an offence for licence-holders to:
- ignore the conditions listed on the licence
- do anything that is not specified by your licence permission
- do anything banned by director disqualification sanctions without an exception
Investigation and enforcement

The Insolvency Service is responsible for investigating and prosecuting individuals who are suspected of breaching director disqualification sanctions and licensing offences.

A person found guilty of breaching director disqualification sanctions and/or a licencing offence can be fined and/or go to prison for up to 2 years.

The Insolvency Service can also refer cases to other law enforcement agencies for prosecution.

More information about our investigation and enforcement work (https://www.gov.uk/government/collections/insolvency-service-investigations-and-enforcement-what-we-do-our-outcomes-and-complaints).

Report a disqualified director to the Insolvency Service

Anyone suspected of breaching their director disqualification sanction or licence terms can be reported to the Insolvency Service.

Report a disqualified director (https://www.gov.uk/report-a-disqualified-director).