Companies House ID Verification: What UK Directors and PSCs Must Know for 2025

Companies House is rolling out new identity verification requirements for directors and Persons with Significant Control (PSCs) to enhance the integrity of the UK's corporate register and tackle economic crime. These changes are part of the Economic Crime and Corporate Transparency Act 2023, designed to make it harder for bad actors to misuse the corporate framework and foster a more secure and trustworthy environment for business in the UK.

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What's Changing and When?​

Companies House began implementing reforms on 18 March 2024, with identity verification being a key component. While voluntary ID checks will start in April 2025, verification will become mandatory in autumn 2025.

• New directors and PSCs must verify their identity at the time of appointment or incorporation.
• Existing directors and PSCs will be given a 12-month transition window, which will likely coincide with their next confirmation statement deadline.

This means it's essential for company directors and PSCs to prepare now to avoid disruption or penalties down the line.

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How Can You Verify Your Identity?​

There are two main routes for ID verification:

1. Directly through Companies House – This will be done via the new GOV.UK One Login system, using a UK passport, driving licence, or similar document.
2. Via an Authorised Corporate Service Provider (ACSP)—This option may be more convenient for many. ACSPs are typically professionals such as accountants, solicitors, or company formation agents who are authorised to verify identities on Companies House's behalf.

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Who Are ACSPs?​

Authorised Corporate Service Providers are regulated firms that already carry out anti-money laundering checks as part of their existing responsibilities. To become an ACSP, they must:

• Be supervised under UK anti-money laundering regulations.
• Register with Companies House and gain approval.
• Keep records of verification checks they perform.

This route can be particularly helpful for directors who already use an accountant or company secretary – you may be able to complete the process seamlessly through them.

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Penalties for Not Complying​

If you fail to verify your identity within the required timeframe:

• You will not be able to incorporate a company or file documents at Companies House.
• You may commit a criminal offence or face a civil penalty.
• Unverified individuals won't be able to act as directors or register as an ACSP.
• Persistent non-compliance may lead to disqualification as a director.

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Company Formation Is Changing Too​

As part of these reforms, the process of forming a company is getting an overhaul:

• From autumn 2025, ID verification will be required as part of incorporation.
• No one will be able to become a director or PSC without verifying their identity.
• New companies must also provide a registered email address and confirm lawful purpose at formation.

These changes aim to reduce fraud, improve transparency, and make business safer for everyone involved.

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Why This Matters​

For years, concerns have been raised about the ease with which fraudulent companies could be registered in the UK. These changes reflect a broader push to bring integrity back to the register – making it more evident who really controls and benefits from UK companies. It's not just red tape – it's about protecting your business, your reputation, and your customers.
If you're unsure how these changes affect you or your business, feel free to ask in the UK Business Forums – it's the go-to place for practical advice and support from others in the same boat. And if you're handling sensitive filings or want peace of mind, consider working with a qualified ACSP or your usual accountant.