Are you ready for the new Companies House identity verification requirements?

The Economic Crime and Corporate Transparency Act 2023 (ECCTA) has been introducing significant reforms to Companies House in stages, aiming to enhance transparency and combat economic crime.

One of the most significant developments is the introduction of identity verification requirements for company directors, persons with significant control (PSCs), and those filing on behalf of companies. These new requirements are set to become mandatory in November 2025.

Why are identity verification rules being introduced?

The UK has long been seen as a relatively easy place to register and operate a company. While this simplicity supports entrepreneurship and business growth, Companies House has introduced this to prevent individuals looking to hide illicit activities behind opaque company structures exploiting this.

The new identity verification rules aim to: 

• Improve the accuracy and integrity of data held at Companies House 
• Prevent the misuse of companies for criminal purposes 
• Increase trust in the UK’s corporate register 
• Make it harder for anonymous individuals to control UK companies 

Who needs to be verified?

The following individuals will need to verify their identity:

• Company directors (including proposed directors on incorporation) 
• PSCs – individuals who own or control more than 25% of shares or voting rights, or otherwise exercise significant influence over the company 
• Members of LLPs – including designated members 
• Anyone who files information on behalf of a company or LLP

When will these changes take effect?

The identity verification rules become mandatory on 18 November 2025, although it is possible to start complying with them early. Identity verifications will be a compulsory part of incorporations and new appointments of directors and PSCs from that date.

A 12-month transition phase will also begin to require all existing directors and PSCs to verify their identities as part of the filing of the annual confirmation statement.

Existing directors will need to confirm they have verified their identity at the same time as they file their next annual confirmation statement after 18 November 2025.

Existing PSCs who aren’t also directors will need to verify their identity within 14 days of the start of the month of their next birthday after 18 November 2025, e.g. if a PSC has a birthday on 27 January 2026, they will need to have verified their identity by 14 January 2026.

What happens if you don’t comply?

Compliance with identity verification will be a legal requirement. Failure to comply could result in:

• Companies House not accepting filings (including incorporation or changes to the register) 
• Financial penalties for companies and individuals 
• Directors being disqualified from holding office. 

How does identity verification work?

There are three main routes for identity verification:

1. Online at Companies House through the GOV.UK One Login service.

2. In person at selected Post Offices.

3. Verification through an Authorised Corporate Service Provider (ACSP). 

Once the verification has been completed, a personal code will be issued by Companies House to the individual. This code can then be used to link the identity to Companies House records.

How we can help

We are registered as an ACSP, meaning we are able to carry out ID verification for people in the UK and overseas in accordance with the new regulations, supporting our clients through the whole process.

If you would like any assistance with the verification process, please do get in touch.