Tax authorities could then use the register to identify UK corporate ownership structures that are being used to channel or hide illicit funds, what the secretary calls the "darker side of capitalism".
"We will stop UK companies from using complex structures to hide information and keep consumers, investors and the public in the dark," said Mr Cable.
Under the proposals, UK-registered firms would have to provide extended company records, such as a list to Companies House of anyone within their company who has an interest in more than 25 per cent of its shares, or voting rights, annually.
Shareholders falling under the new business intelligence requirements would have to supply personal details such as their name and nationality.
Additional rules would see the abolition of 'bearer shares' that can currently be issued without the need to record ownership; as well as fresh limitations to companies, rather than people, being appointed as company directors.
Under UK law, as it presently stands ‘serial nominees’ can effectively lend their names to hundreds of companies for money, and then play no active role in their management.
Over six thousand individuals are currently registered with Companies House as holding more than 20 directorships... with official estimates suggesting over a quarter of a million companies may consequently have directors who are neglecting management, while being subject to unidentifiable control.
The British chancellor, George Osborne, pledged to reveal the owners of shell companies, where businesses keep money abroad to avoid tax, last year.
Campaigners called the proposed business investigations a historic step in the fight against corruption and tax evasion, where enhanced due diligence by the authorities could prevent misconduct by rogue directors and losses to the public purse.
In a separate move, the UK's Department for Business, Innovation and Skills has said tougher penalties may be brought in against company directors of failed businesses, meaning they may have to compensate victims of their business misdealings.
Under the proposal, courts could ban those with fraud convictions overseas from setting up in Britain, and force company directors to compensate people who have lost money as a consequence of misconduct or serious failures in a business.
Courts could take past misdemeanours into account when judging whether to disqualify a director, including any previous business failures, the nature of their losses, their overseas conduct, especially where cross-border businesses are concerned, and any other laws they have breached.
Company director disqualifications in the UK in 2010 stood at 1,437, falling to 1,151 in 2011 and 1,031 in 2012 before increasing to 1,053 in 2013.
