The government has revealed its timetable for the implementation of the Companies Act 2006, the most sweeping change to business laws since 1985.

The act is intended to simplify company law and to make it more flexible, with a particular focus on smaller and more thinly-resourced businesses.

The government has estimated that it will save UK businesses around £250 million a year when it is fully implemented in October 2008.

"The Companies Act 2006 is a huge achievement, bringing major benefits to business by modernising and simplifying company law," said industry minister Margaret Hodge.

New rules on indirect investment will take effect from October 2007 alongside provisions for enhanced business reviews and derivative claims.

These will be followed by accounting and reporting changes in April 2008 and provisions for director's conflict of interest duties from October 2008.

The full schedule for application of the law, the largest single piece of legislation ever drafted, has been published on the Department for Trade and Industry's website.

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