Bribery Act update

24/03/2011

By Henar Dyson, Senior Associate in Corporate & Commercial

The implementation of the Bribery Act has been delayed for a second time. No date for implementation has been set at the time of writing.

Originally due to come into force in October 2010, implementation of the Act was postponed to allow for consultation on Ministry of Justice guidance. The guidance is of paramount importance as it will assist organisations to establish procedures and policies so that they can demonstrate that they have taken adequate steps to prevent bribery.

The original draft guidance was criticised as lacking detail. Under particular attack were those aspects dealing with corporate hospitality and facilitation payments and when these will amount to bribery. There is a fear amongst business leaders that the Act will mean that United Kingdom businesses will be unable to compete on an even playing field with businesses in certain overseas jurisdictions.

The Act will now come into force no earlier than three months from the publication of the final revised guidance. At the time of writing, no firm date has been set for publication of the final guidance.