Director Responsibilities

Purpose

This document sets out the legal duties and responsibilities of directors of Towerblock Radio CIC, as required by the Companies Act 2006 and the Community Interest Company Regulations 2005.

Scope

This document applies to all directors of Towerblock Radio CIC.

Definitions

• Director means a person formally appointed as a director at Companies House.
• Statutory duties means the general duties of directors set out in the Companies Act 2006, sections 171 to 177.
• CIC duties means the additional duties arising from the Community Interest Company Regulations 2005, including the asset lock and community interest test.

Responsibilities

Each director is personally responsible for complying with their statutory duties. The board collectively ensures the organisation complies with its legal obligations.

Policy Statement

Directors of Towerblock Radio CIC accept their legal duties under the Companies Act 2006 and CIC Regulations, and commit to fulfilling them with diligence, honesty and good faith.

Detailed Procedures

General duties under the Companies Act 2006

1. Duty to act within powers (section 171): Directors must act in accordance with the company's constitution and only exercise powers for the purposes for which they were given.

2. Duty to promote the success of the company (section 172): Directors must act in the way they consider, in good faith, would be most likely to promote the success of the company for the benefit of its members as a whole, having regard to the impact on the community, the interests of employees, the need to foster business relationships, the impact on the environment, the desirability of maintaining high standards of business conduct, and the need to act fairly between members.

3. Duty to exercise independent judgement (section 173): Directors must exercise independent judgement, though they may rely on advice from others.

4. Duty to exercise reasonable care, skill and diligence (section 174): Directors must exercise the care, skill and diligence that would be exercised by a reasonably diligent person with the general knowledge, skill and experience that may reasonably be expected of a person in their position.

5. Duty to avoid conflicts of interest (section 175): Directors must avoid situations where they have, or may have, a direct or indirect interest that conflicts with the company's interests.

6. Duty not to accept benefits from third parties (section 176): Directors must not accept benefits from third parties that are given by reason of their being a director or doing anything as a director.

7. Duty to declare interest in proposed transactions (section 177): Directors must declare the nature and extent of any interest in a proposed transaction or arrangement with the company.

CIC-specific duties

• Maintain the asset lock and ensure assets are used for the community interest.
• Ensure the community interest report is filed annually with the CIC Regulator.
• Ensure compliance with the CIC Regulations.

Administrative responsibilities

• Ensure annual accounts are prepared and filed with Companies House.
• Ensure the confirmation statement is filed annually.
• Maintain the registered office and company records.
• Ensure tax obligations are met.
• Approve major decisions and policies.

Fiduciary duty

Directors must act in good faith, in the best interests of the organisation, and not for personal gain. They must not profit from their position except as permitted by the articles of association.

Reporting Process

Directors report on their compliance through board minutes and the annual CIC report.

Compliance Requirements

• Companies Act 2006, sections 171 to 177.
• Community Interest Company Regulations 2005.
• UK GDPR and Data Protection Act 2018.
• Equality Act 2010.
• Health and Safety at Work etc. Act 1974.

Monitoring

The board reviews director compliance annually through a self-assessment process.

Review Cycle

This document shall be reviewed annually.

Version Number

Version 1.0

Approval Section

Approved by: Towerblock Radio CIC Board Date: July 2026 Next review: July 2027

Related Policies

• Board Governance Policy
• Conflict of Interest Policy
• Register of Interests
• Trustee/Director Code of Conduct

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Director Responsibilities | Towerblock Radio

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Towerblock Radio CIC's director responsibilities document setting out the statutory duties under the Companies Act 2006 and CIC Regulations, including the seven general duties of directors.

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