The UK government is rolling out a significant change to company law as part of its efforts to increase corporate transparency and combat economic crime.
The Economic Crime and Corporate Transparency Act (ECCTA) now requires all company directors, Persons with Significant Control (PSCs), and certain other individuals to complete identity verification through an Authorised Corporate Service Provider (ACSP) or directly with Companies House.
This change means that more than 7 million individuals are expected to become subject to the new identity verification rules later this year.
Although these changes are not yet in force, we strongly recommend preparing early. Identity verification can be time-consuming if done independently. Our business champions can manage the process on your behalf, helping you stay compliant and avoid disruption when the new laws take effect.
Who does Companies House identity verification impact?
- New directors and PSCs: Must complete identity verification before appointment or company formation.
- Current directors: Need to verify their identity before submitting their next Confirmation Statement after 18th November.
- Existing PSCs: Have a 12-month window to complete verification, with deadlines based on their role and date of birth.
Records of ID verification will be maintained at Companies House so it will only be necessary to verify someone’s identity once, except in specific circumstances (e.g. if someone changes their name).
What happens if I do not verify my identity with Companies House?
Failing to verify your identity could result in:
- Criminal offences
- Financial penalties
- Ineligibility to act as a company director or register a new company
- Removal from the Companies House register
- You will be unable to file any documents at Companies House such confirmation statements or accounts
We’re here to help
We’re here to help you navigate these changes smoothly and to make sure your company remains compliant. All of our Business Champions are registered Authorised Corporate Service Providers (ACSP) and can assist you with the Companies House identity verification process.
Find your local Business Champion to get support with Companies House identity verification.
For any further information, you can visit the official Gov website.
