GUERNSEY businesses have been warned they cannot ignore the impact of the forthcoming UK Bribery Act.

The new legislation comes into effect on 1 July and, although the UK has not extended it to Guernsey or legislated for the island, the scope and application of the act means that it applies to UK companies operating both in the UK and any other part of the world and foreign overseas companies carrying out business in the UK.

Businesses will also be held accountable if the ‘bribe’ is carried out by an associated third-party or agent because the Serious Fraud Office views this as a failure by the organisation to ensure it does not happen.

Even local companies which are subsidiaries are liable under the scope of the act, as are British passport holders who commit an offence no matter where in the world it takes place.

Rachel Cropper-Mawer (pictured), partner at leading London and international law firm Clyde & Co, raised the issues surrounding the scope of the act at the first event in the Collas Crill seminar series for 2011.

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