The clock is ticking for UK businesses. In less than 90 days, new rules for verifying the identity of companies will go into effect. This is one of the biggest changes to corporate regulation in decades.
The goal is to make owning a business in the UK more transparent, lower the risk of fraud, and ensure people are held accountable. The new rules mean that company directors, people with significant control (PSCs), and agents who handle filings must act quickly to comply.
Failing to prepare could result in penalties, rejected filings, or even being legally barred from holding a company role. Here’s what you need to know — and what you should be doing now.
Why Are the Changes Happening?
For years, concerns have been raised about the simplicity of incorporating UK companies with minimal oversight. Scammers have taken advantage of the system and established shell firms or used fake names to conceal their offshore involvement.
The new rules for identification are part of the Economic Crime and Corporate Transparency Act, designed to:
- Boost confidence in the UK business scene
- Make sure only verified individuals act as directors or PSCs
- Improve anti-money laundering controls.
- Shield businesses and investors against fraud
For legitimate business owners, these checks will give them more confidence in the corporate world.
What’s Changing and When
The reforms are being phased in over time to allow businesses to accommodate:
- 8 April 2025 – Voluntary verification opened. People were able to begin verifying their identities with Companies House before the rules became compulsory.
- 18 November 2025 – New directors and PSCs must be verified.
- Transition period (12 months) – Existing directors and PSCs must obtain verification within this period to comply.
- Spring 2026 – Filing agents, accountants, and other professionals will need to be registered as Authorized Corporate Service Providers (ACSPs) and verified before they are allowed to continue filing documents.
Who Should Be Compliant with the New Rules?
The new requirements span a wide range of individuals and roles, including:
- Company Directors – both new and existing directors must be vetted.
- People with Significant Control (PSCs) – anyone who controls or has more than 25% of the shares or voting rights in a company.
- LLP Members – individuals in Limited Liability Partnerships.
- Filing Agents & Intermediaries – accountants, secretarial services, and other third parties filing on behalf of companies, unless they’re employees of an ACSP.
How Will Identity Verification Work?
You’ll have two main routes to complete verification:
1. Direct Verification through Companies House
- Accessed via GOV.UK One Login.
- Enter personal information, including name, date of birth, and home address.
- Upload official identification, such as a passport or driving license.
- Verification is confirmed once the documents are checked and approved.
2. Verification Through an ACSP
- An Authorised Corporate Service Provider (e.g., you can get an accountant, solicitor, or formation agent to deal with this).
- ACSP will gather your information, do ID checks, and verify with Companies House.
- For an ACSP to act, the company needs to be registered and regulated under money laundering law.
Once complete, you’ll be issued a Unique Identifier, which links your identity to all roles you hold with Companies House. Typically, you’ll only need to verify once, even if you take on new company roles later.
Key Deadlines at a Glance
| Date | Requirement |
| 8 April 2025 | Voluntary ID verification opens |
| 18 November 2025 | Compulsory verification for all new directors/PSCs |
| Nov 2025 – Nov 2026 | Transition period for current directors/PSCs |
| Spring 2026 | Filing agents must be ACSPs and perform checks |
What Happens If You Don’t Comply?
Breaking the new verification rules can result in serious penalties, including:
- Loss of legal standing – Directors or PSCs that fail to verify can lose the right to act in their roles.
- Rejected submissions – Companies House can reject significant filings, such as annual returns or incorporations.
- Financial sanctions – Individuals and businesses can be fined for non-compliance.
- Damage to reputation – A public “unverified” tag can show on your company’s record, deterring investors, customers, and partners.
In summary, it could pose legal and financial risks to companies if the changes are ignored.
What Businesses Need to Do Now
With under 90 days to go, it is time to prepare. Here’s a checklist to guide you:
- Get early verification done – Directors and PSCs should perform their checks now to stay ahead in the future.
- Confirm ACSP registration – If you’re a company that submits documents on behalf of others, ensure you’re registered as an ACSP.
- Gather supporting documentation – Passports, driving licenses, and address verification should be collected for all concerned parties.
- Determine your verification path – Decide whether to use direct verification or an ACSP. Smaller businesses with only one director might use direct verification more quickly.
- Inform your staff and clients – Ensure everyone is aware of why verification is so vital and the risks of holding it up.
- Store your unique identifier securely – It will be required for future company roles and filings.
Why Acting Early Is Important
While the transition period lasts until late 2026, companies should not leave things until the eleventh hour. Companies House is anticipating a large number of applications, which may result in delays around the deadlines.
Acting early has the following benefits:
- Avoid processing delays and disallowed filings
- Ensure business continuity is uninterrupted
- Guard your reputation with stakeholders and clients.
- Reduce risk of penalties and non-compliance
Final Thoughts
The new Companies House identity verification regulations are a major development in UK corporate governance. While requirements may be perceived as another bureaucratic headache, they are designed to make business a more secure, more transparent environment for everyone.
With fewer than 90 days to go until the regulations start to have real bite, companies must act now. Preparing early will give you peace of mind, keep your business compliant, and avoid unnecessary complications when the deadlines arrive.