UK Business Licensing: Companies House, FCA & Local Authorities

Introduction

If you’re an entrepreneur, investor, or business professional planning to establish a company in London, choosing the right licensing and regulatory pathway is one of the first and most important steps.

In the UK, three major bodies are commonly involved in business approvals:

• Companies House – for company registration
• FCA (Financial Conduct Authority) – for regulated financial activities
• Local Authority Licensing – for sector-specific business permits (hospitality, trading, services, etc.)

Here’s a clear breakdown to help you select the right one for your business.

1- Companies House

• Jurisdiction: All of the United Kingdom
• Role: Registers and officially incorporates companies, including:
  • Limited Companies (Ltd)
  • LLPs
  • PLCs
  • Branches of foreign companies
• Requirements include:
  • Company name approval
  • Registered office address
  • Shareholder & director information
  • Filing incorporation documents
• Best for: Any entrepreneur or investor planning to start a business entity in London or anywhere in the UK.

2- FCA – Financial Conduct Authority

• Jurisdiction: United Kingdom
• Role: Regulates businesses offering financial or investment-related services, such as:
  • Investment firms
  • Payment service providers
  • Fintech companies
  • Insurance intermediaries
  • Crypto asset activities (certain categories)
• Requirements include:
  • Detailed business plan
  • Compliance and risk framework
  • Fit & proper assessment for key individuals
  • Capital and financial requirements
• Best for: Businesses entering financial services, fintech, asset management, or regulated advisory sectors.

3- Local Authority Licensing (London Councils)

• Jurisdiction: London Boroughs (e.g., Westminster, Camden, Kensington & Chelsea, etc.)
• Role: Issues operational and sector-specific licenses, including:
  • Food & restaurant licenses
  • Commercial property permits
  • Trading licenses
  • Events & public activities permits
  • Health & beauty service licenses (non-medical)
  • Waste & environmental permits
• Requirements include:
  • Application to the relevant borough council
  • Health & safety compliance
  • Premises inspection (if required)
  • Fees based on activity type
• Best for: Businesses operating physically in London, such as shops, cafés, service offices, salons, event companies, or retail operations.

4- Key Differences

5- Can You Switch or Add Licenses?

Yes — many businesses in London require multiple layers of approval:

• Register company with Companies House
• Obtain sector-specific permit from Local Authority
• Apply for FCA authorization if offering financial services

Each authority has its own timeline and compliance process.

6- How LondonAdvisers Helps

At LondonAdvisers, we support entrepreneurs and investors with:

✔️ Choosing the right licensing route
✔️ Company formation through Companies House
✔️ FCA authorization support & regulatory compliance
✔️ Local Authority licensing for physical business operations
✔️ Documentation, submissions, and ongoing compliance

Conclusion

Setting up a business in London requires understanding which authorities you need to engage with — Companies House, FCA, or the local borough council. Choosing correctly ensures compliance, smoother operations, and a faster launch.