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A recent study conducted by the business software company Sage UK has found that almost three quarters of small and medium businesses questioned were unaware of what the Bribery Act consisted of, or the ways in which it might affect their day-to-day business practice.

Whilst 33% of the 1,050 surveyed did know that the Act would come into force on July 1st, most were still hesitant as to how to deal with it, with half stating that they would continue as they were.

While there has been a fear amongst large companies that the Act coming into force may compromise the UK’s business competitiveness, 94% of SMEs reported that they do not consider it a problem.

The Act has been explained as being “the toughest anti-corruption legislation in the world”. The penalties for committing a crime under the Act are a maximum of ten years’ imprisonment, along with an unlimited fine for individuals successfully prosecuted under the Act. Under the Act the maximum enforced penalty for related crimes would be ten years in prison, with the further potential enforcement of unlimited fines and confiscation of property if the law is breached.

Sage’s HR Adviser, Samantha Bell, encouraged any business as risk of potential acts of bribery should put in place risk assessment policies to avoid dangers or uncertainties.

She continued saying that “if it’s very unlikely that bribery could happen in your company, then drawing up and communicating one simple policy to your employees could be enough.

“The key thing is to be in a position where you can show you have taken adequate steps to prevent acts of bribery from taking place. If a bribery claim is made against you, doing this can make a real difference to your defence.”

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