The UK government is introducing mandatory identity verification for directors, people with significant control (PSCs), and others involved in UK companies as part of its effort to improve corporate transparency and combat fraud. Here’s what you need to know about the upcoming Companies House identity verification process, how it will work, and when you must comply.
What’s Changing?
Under the Economic Crime and Corporate Transparency Act 2023, Companies House will begin requiring identity checks for:
– All new and existing company directors
– People with Significant Control (PSCs)
– Anyone filing information on behalf of a company (e.g. accountants or agents)
What Do Directors and Shareholders Need To Do?
Here’s what will be expected from company stakeholders:
For Directors and PSCs:
– Complete identity verification either directly with Companies House or via an authorised corporate service provider.
– Provide a valid form of ID, like a passport or driver’s licence, plus a selfie or video as part of the online process.
For Agents:
– Agents (like ourselves at UWM Accountants) must be supervised under UK anti-money laundering (AML) rules and will also be required to register with Companies House.
When Will Verification Start?
Companies House will begin enforcing identity verification from 18 November 2025 and will roll it out in stages:
- 18 November 2025: New digital systems will launch, and the verification process will be available for all directors, PSCs, and authorised agents.
- Transition Period (One year from 18 November 2025): Directors and PSCs will have a set period to complete their identity checks after the start date.
- Full Enforcement: Once the transition period ends, verification will be mandatory. Failure to comply may lead to:
- Inability to incorporate a company or file updates
- Potential criminal penalties
- Disqualification as a director
- Inability to incorporate a company or file updates
How Will the Process Work?
There will be two routes for identity checks:
1. Direct Verification with Companies House
Via a secure online portal using government-approved ID tools.
2. Verification Through an Authorised Agent
At UWM Accountants, we will offer identity verification services to our clients and file directly to Companies House.
Why Is This Happening?
The aim is to:
– Reduce fraudulent company activity
– Stop the use of fake director identities
– Improve transparency in UK business ownership
– Make data held by Companies House more reliable
How UWM Accountants Can Help
We will be supporting all clients with their identity verification when the system launches. We’ll guide you through:
– Choosing the correct method
– Submitting your verification documents
– Staying compliant with deadlines
Need help preparing for these changes?
Useful Resources
– Companies House: Identity Verification Guidance
– Economic Crime and Corporate Transparency Act 2023
– UWM Accountants: Company Secretarial Services.
Final Thoughts
This is a significant shift in company law and will affect all UK company owners. Getting ahead of the changes now can avoid last-minute stress. UWM Accountants are here to support you through the transition with expert help and compliant verification services.
