Every year, businesses generate a substantial volume of documents. These might include contracts, invoices, financial and legal records, personnel files, or operational plans. While maintaining thorough documentation is essential for compliance and reference, regularly sorting through and disposing of outdated documents is equally crucial. Let’s explore why this process is a vital business practice, the benefits it offers, and the challenges that can arise if neglected.
What Records Must Be Kept & For How Long?
In the UK, various types of records and documents must be retained for statutory minimum periods to comply with legal and regulatory requirements. The required retention period often depends on the type of document and the nature of the organisation (private or public company).
Accounting & Tax Records
The Companies Act 2006 stipulates that public companies must retain all accounting and tax records for a minimum of six years from the end of the financial year.
For private companies and limited liability partnerships (LLPs), this period is reduced to three years for accounting records, but as HMRC requires private companies to retain all tax-related records for a maximum of six years, this longer period is effectively standardised across all businesses.
Partnerships and sole traders must keep accounting and tax records for a minimum of five years after the 31 January submission deadline for the relevant tax year. Again, VAT and self-assessment records must be retained for six years.
Employee Records
Companies must retain all payroll and wage records for a minimum of six years, although records relating to statutory maternity, paternity, and adoption pay only need to be kept for three years.
Under the Pensions Act 2004, records relating to employee pensions must be kept for six years following the termination of the pension scheme.
Personnel files must be held for six years following the termination of employment, as claims can potentially be made under the Limitation Act 1980.
Health & Safety Records
The Health and Safety at Work etc. Act 1974 places obligations on companies to retain relevant records:
Accident books and records must be retained for a minimum of three years following the last entry, although this period may need to be extended if an employee makes a claim.
Risk assessments should also be archived for the same three-year period or longer if they relate to ongoing work.
COSHH (Control of Substances Hazardous to Health) and asbestos-related records must be archived for at least forty years.
Contracts and Legal Agreements
The Limitation Act 1980 requires that contracts and legal agreements are stored for six years following the end of a contract (and for twelve years in the case of a contract executed as a deed).
Insurance Records
The Employers’ Liability (Compulsory Insurance) Regulations 1998 demands that all insurance records be kept for six years. Some records – such as those for employer’s liability insurance – may need to be kept for forty years.
Records That Must Be Kept Indefinitely
Some documents must be retained indefinitely, including:
Board meeting minutes and company registers (Companies Act 2006).
Property records must be kept indefinitely while owned and for twelve years following disposal (Limitation Act 1980 and related property laws).
The Benefits of Regular Document Disposal
An annual clear-out of documents brings several key benefits, including:
Less Clutter for Greater Efficiency
Outdated documents clog up filing cabinets and digital storage, making it harder to locate current, relevant information. This can slow down operations, frustrate employees, and waste time. A well-maintained filing system, free from irrelevant documents, streamlines workflows and boosts productivity.
While digitising all records may seem a more effective alternative, bear in mind that manually scanning and digitising documents can be time-consuming. Cluttered servers and drives will also slow down system performance, increase IT costs, and potentially expose security vulnerabilities.
Mitigated Security Risks
Old documents – especially those containing sensitive information – can pose a significant security risk. Storing outdated financial records, employee data, or customer information increases the chance of data breaches or identity theft. Regularly disposing of these documents through secure shredding services or digital deletion reduces exposure and demonstrates a commitment to safeguarding sensitive information.
Lower Storage Fees
For physical documents, storage space can be costly if renting off-site facilities or dedicating office space to archives accumulates. Retaining only necessary records ensures your storage space is used efficiently, cutting costs in the long term. Similarly, reducing digital clutter can save on cloud storage expenses.
Why You Should Use A Professional Document Shredding Service
Most companies today are GDPR-savvy enough not to throw sensitive data into the regular rubbish, but they may still be taking a risk in how they dispose of documents. Not all office shredding machines are fully GDPR-compliant (it’s all in how finely they shred the paper), but even if they are, office practices may be exposing them to potential data breaches.
For example, not storing sensitive documents in a locked room or cupboard with restricted access increases the risk of unauthorised personnel gaining access to the data.
Leaving sensitive documents on a desk or next to the shredding machine during the disposal process is an open invitation to opportunists. Even stacking boxes of discarded documents for collection by a shredding service is unsafe.
When it comes to secure document disposal, Avena’s SECURALL shredding services offer the perfect blend of simplicity and security. Here’s why businesses across sectors, from banks to accountants, trust us:
Compliance Assured
Our shredding process ensures adherence to GDPR and other legal requirements, so you can tick that compliance box with confidence.
Eco-Friendly Disposal
Once shredded, all paper is recycled, helping you meet your sustainability goals. Recycling one tonne of paper saves approximately 17 trees and reduces landfill waste—a win for the environment.
Tailored Services
Whether you need a one-off clear-out or regularly scheduled collections, we’ve got you covered with our shredding services.
Certified Processes
After each shredding session, you’ll receive a Certificate of Destruction, providing undeniable proof of secure disposal.
With SECURALL, there’s no need to worry about shredding documents manually or carting them to a recycling centre. We take care of everything, leaving you to focus on what you do best. Our team adheres to stringent protocols, ensuring that your documents are handled securely from collection to destruction.
Interesting in learning more about our services? Speak to one of our experts today.
Looking for a quick quote for secure destruction & recycling? Get a quote today.
Frequently Asked Questions (FAQ)
1. Where can I find paper shredding services near me?
You can easily find reliable paper shredding services near you by searching for shredding companies or paper shredder companies in your local area. Avena offers onsite shredding services, ensuring secure document shredding and confidential waste disposal.
2. What is the best paper shredder service for businesses?
For businesses, Avena provides document shredding services that are GDPR-compliant and tailored to your needs. Our secure paper shredding services and bulk document shredding are perfect for companies looking to safely dispose of sensitive information.
3. How much does paper shredding cost?
The cost of paper shredding services depends on the volume of documents being shredded and the frequency of the service. For commercial shredding services, Avena offers competitive pricing with options for bulk shredding and one-off shredding needs.
4. Can I use mobile shredding services for confidential paper disposal?
Yes, Avena offers mobile shredding services where we come to your location and securely shred your documents on-site. This is ideal for businesses and individuals needing secure paper shredding with minimal disruption.
5. What are the benefits of using a document shredding service?
Using a professional document shredder service ensures your sensitive information is securely destroyed, protecting your business from data breaches. Additionally, it helps you comply with GDPR regulations and supports sustainability by recycling shredded paper.
6. Where can I get documents shredded securely?
Avena’s confidential shredding services provide a secure solution for all your document disposal needs. Whether you’re looking for residential shredding services or confidential shredding for businesses, we ensure all documents are shredded securely.
7. How do I dispose of confidential documents properly?
The safest way to dispose of confidential documents is by using a document shredding service like Avena’s SECURALL. We ensure that all confidential documents are securely shredded and recycled, reducing the risk of identity theft or data breaches.
