Board Resolution For Reactivation Of Bank Account Template for England and Wales

It's the formal written decision of the directors authorising the company to reactivate a dormant or restricted bank account. Banks in the UK require this document as part of their know-your-customer and anti-money laundering checks, alongside updated identification documents for current directors and beneficial owners.

Under the Money Laundering, Terrorist Financing and Transfer of Funds Regulations 2017, banks must refresh customer due diligence when re-engaging with previously dormant relationships. A board resolution confirms the current authorised signatories and directors, providing the bank with updated corporate governance evidence as part of its compliance process.

Banks will generally ask for the board resolution, a current certificate of incorporation, the latest confirmation statement from Companies House, up-to-date identity and address documents for all current directors and PSCs, and proof of the company's trading address. Some banks also request recent management accounts or a letter of authority from the existing signatories.

Different banks apply different thresholds, but many UK banks classify a business account as dormant after 12 to 24 months of inactivity. Under the Dormant Bank and Building Society Accounts Act 2008, balances in accounts dormant for 15 years may be transferred to a reclaim fund, so the board should verify the current balance position before requesting reactivation.

The resolution should list the names and specimen signatures of the directors or officers authorised to operate the account. The bank will update its mandate records to match the resolution. It's important the resolution accurately reflects the current board composition, as any mismatch will delay reactivation.

Reactivating a dormant account at the existing bank and opening a new account elsewhere are separate processes. If the company wishes to transfer to a new bank, it should pass a separate board resolution authorising the closure of the dormant account and the opening of the new one, in addition to the reactivation instruction if both are needed temporarily.

Under the Dormant Bank and Building Society Accounts Act 2008, transferred funds can be reclaimed from the bank or building society at any time. The company should contact the bank to establish whether any balance has been transferred and initiate a reclaim request alongside the reactivation process. A board resolution will also be required for the reclaim.

Yes, if the board wishes to limit the account's use going forward. The resolution can specify transaction value limits, require dual-signatory approval above a threshold, or restrict the account to particular purposes. These controls are good governance practice and can be included as instructions to the bank alongside the reactivation mandate.