New Corporate Liability for criminal offences committed by Senior Managers: Section 250 of the Crime and Policing Act 2026

Section 250 of the Crime and Policing Act 2026 comes into force on 29 June 2026. This new provision significantly extends a corporate’s potential criminal liability because where a senior manager commits any criminal offence under UK law, whilst “acting within the actual or apparent scope of their authority”, the corporate will also commit the offence and can be convicted and sentenced accordingly.   

The provision only applies to the actions of a “senior manager” however. This is a person who is:

1. an individual who either plays a significant role in managing or organising the business, or a substantial part of it, or

2. an individual who plays a significant role in making decisions about the managing or organising the business, or a substantial part of it. 

Corporates should be wary of assuming that the offence will only apply to someone with the title of "manager" or "senior manager".  The term “senior manager” is also not restricted to statutory directors and senior officers.  Whether someone falls within the definition will depend on their role within the organisation and the tasks they perform. 

The phrase "acting within the actual or apparent scope of their authority” is designed to capture an individual's actions where they are of a type that the individual was authorised to undertake, or which would be expected to be undertaken. The example given in the explanatory note is where the Chief Financial Officer commits fraud by making false statements about a company’s financial position. 

The offence does not apply in certain circumstances if the offence is committed overseas or where, if the conduct was attributable to the company, there would be no offence.  But otherwise there is no statutory defence. 

This new provision represents a further step towards placing responsibility on corporates for the criminal actions of their officers and senior staff. It extends - and replaces - similar existing provisions relating solely to corporate crime currently found in the Economic Crime and Corporate Transparency Act 2023.  It also widens the “identification doctrine” where a corporate can be found guilty of an offence if it is carried out by a person with the “directing mind and will” of the organisation. 

What steps should corporates be taking now?   

Unlike the failure to prevent fraud offence which came into force on 1 September 2025, corporates will not be able to rely on a "reasonable procedures" defence.  This means that prior to 29 June 2026, corporates should carry out a risk assessment to establish which individuals fall within the "senior manager" definition and consider whether there are sufficient safeguards in place to protect the business against the possibility of them committing a crime whilst acting in the actual or perceived scope of their authority.