The FPB has commended the Government for taking a decision designed to ensure that the new laws will be implemented correctly.

In a letter to Mr Timms, the FPB's Campaigns Manager, Matt Hardman, welcomed the 12-month delay, during which it will be able to help its members to prepare for the changes without the threat of sanctions being imposed for non-compliance.

"The process of turning legislation into regulation is often rushed and, as a consequence, the cost in terms of compliance, for smaller businesses in particular, can be severe," he wrote.

"The FPB will now have more time to brief its members on the changes coming into force and will be able to signpost them to the appropriate guidance. We see this as a positive step towards the Government listening to, and taking on board, the needs of smaller businesses."

The majority of the significant changes outlined in the Act, which received Royal Ascent in November last year, were due to come into effect last month, but will now be effective from 1 October, 2009.

"The Government recognised that businesses need certainty about the timetable for implementation, and has therefore decided that the commencement date for most of the provisions due to be commenced on 1 October 2008, should be put back to 1 October 2009," said Mr Timms in a statement to the House of Commons.

"This includes provisions relating to company formation, share capital, company and business names, and directors residential addresses," he added.

Other provisions, which do not require changes at Companies House, will be subject to consultation with key stakeholders. They include objections to company names, trading disclosures, and various measures pertaining to company directors, such as conflicts of interest.