The Companies (Audit, Investigations and Community Enterprise) Act 2004 “the Act” established the Regulator as an independent public office holder appointed by the Secretary of State for Business, Innovation and Skills (previously the Department of Trade and Industry). The appointment was subject to an open public recruitment process monitored by the Office of the Commissioner for Public Appointments.
The Regulator is an independent official and her powers are set out in the Act and the Community Interest Company Regulations 2005. The Act requires her to discharge her functions in accordance with good regulatory practice.
In particular, she must have regard to:
- The likely impact of her actions on those affected
- The results of consultation with stakeholders
- The efficient and economic use of her resources
The Government expects the Regulator to be a “light touch regulator” who will encourage the development of the CIC brand and provide guidance and assistance on matters relating to CICs.