What Is Section 250 of the Crime and Policing Act 2026?

The core provision

Section 250 of the Crime and Policing Act 2026 is a corporate attribution mechanism. Under s.250(1), where a "senior manager" of a body corporate or partnership commits a criminal offence under the Act within the actual or apparent scope of their authority, the organisation itself is treated as having committed that offence. This is not a standalone offence for failing to hold declarations — it is a mechanism that attributes the criminal conduct of qualifying senior managers to their organisation. Section 250 applies to all UK bodies corporate and partnerships, not only FCA-authorised firms.

What "senior manager" means under s.250(3)

Section 250(3) defines "senior manager" as an individual who plays a significant role in (a) the making of decisions about how the whole or a substantial part of the activities of the body corporate or partnership are to be managed or organised, or (b) the managing or organising of the whole or a substantial part of those activities. This test is about organisational authority and decision-making scope — not job title or FCA registration status. Crucially, it covers all organisational activities, not only financial ones. A chief operating officer, head of a major business division, or any senior individual shaping how the organisation runs may meet this test regardless of whether they hold an SMF or Certified Function.

Why June 29, 2026 is a hard deadline

Unlike many regulatory obligations, Section 250 does not carry a grace period. It was written into primary legislation with a specific commencement date: June 29, 2026. The FCA cannot extend it. A Secretary of State cannot delay it by statutory instrument. Firms that have not completed their gap analysis, declaration cycle, and board evidence pack by June 29 are exposed from the moment the clock ticks over. There is no retrospective compliance.

What the declaration must contain

A Section 250 declaration must be more than a signature on a form. It must be timestamped, traceable to a specific gap analysis, and capable of standing as court evidence. The legislation implies — and enforcement practice will require — that declarations are immutable, auditable, and produced through a documented process. A declaration stored in a shared drive with no evidence of how it was generated, who sent it, and when it was received will not survive FCA scrutiny.

The criminal liability dimension

Section 250 creates criminal liability for the organisation — not merely a regulatory fine. Because s.250 attributes the criminal conduct of senior managers to their employer, the organisation faces the same criminal consequences as the individual for the underlying offence. For the firm's board, this means that identifying who meets the s.250(3) functional test — and maintaining documented evidence of having done so — is a material risk management obligation, not a box-ticking exercise.

Counterparty considerations

Because s.250 applies to all UK bodies corporate and partnerships, firms that rely on significant third parties — sub-advisers, outsourced service providers, key introducers — should consider whether those third parties have themselves identified and addressed their own s.250(3) exposure. Best-practice compliance includes requesting written confirmation from significant counterparties that they have completed their own gap analysis. This confirmation should be retained as part of your evidence pack.

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