Starting from November 2025, the UK government will officially roll out a compulsory ID verification system for company directors, Persons with Significant Control (PSCs), and those filing on behalf of companies. This step is part of the broader reforms outlined in the Economic Crime and Corporate Transparency Act 2023, which aims to enhance corporate transparency and combat fraud.
What is ID verification for companies?
ID verification is the process where individuals, such as company directors, must confirm their identity with Companies House before they can incorporate or continue acting in their roles. This initiative helps ensure that only verified, accountable individuals are allowed to direct and manage UK companies—greatly reducing the chances of anonymous or fraudulent activity.
Under the upcoming rules, directors must verify their identity either directly through Companies House or via an Authorised Corporate Service Provider (ACSP), such as accountants or legal firms.
Why is compulsory ID verification being introduced?
The government’s push for compulsory ID verification is aimed at curbing economic crime and enhancing the integrity of the UK’s business environment. The rise in shell companies, fraudulent filings, and anonymous ownership structures has prompted the need for more stringent controls.
At the core, this reform will make it much harder for bad actors to hide behind fake identities or misuse company structures for illicit purposes.
Who needs to comply?
If you’re a:
- Company director
- Person with Significant Control (PSC)
- An individual who files documents on behalf of a company
…you’ll be required to complete identity verification before performing your duties. If your identity isn’t verified, you may be restricted from performing your role, and your filings may be rejected.
How will the ID verification process work?
The process will involve uploading identity documents (like a passport or driver’s license) through a secure Companies House portal. Alternatively, you can verify through a registered Authorised Corporate Service Provider (ACSP)—such as Care Accountancy—who can manage the verification process on your behalf.
Companies House will confirm successful verification, and this status will be publicly visible on the official register.
What if you don’t comply?
Non-compliance may lead to serious consequences. Unverified directors may be removed from the company register or face criminal or civil penalties. This means your business could face operational hurdles or even reputational damage.
It’s therefore crucial to start preparing now—especially if your business involves multiple directors or complex ownership structures.
Get professional support
With November 2025 fast approaching, it’s the ideal time to consult with an experienced advisor. At Care Accountancy, we help businesses across the UK stay compliant with evolving regulations, including ID verification, director services, and company formation support.
Don’t leave compliance until the last minute—our team can guide you through the steps and handle the process efficiently as an Authorised Corporate Service Provider (ACSP).
Disclaimer
The information on this Blog is for general purposes only on matters of interest. The Company assumes no responsibility for errors or omissions in the content of the Blog. Even if the Company takes every precaution to ensure the Blog’s content is current and accurate, errors can occur. Given the changing nature of laws, rules, and regulations, there may be delays, omissions, or inaccuracies in the information on the Blog. The Company is not responsible for errors, omissions, or results from using this information. The Company reserves the right to make additions, deletions, or modifications to the Blog’s contents without prior notice.
In no event shall the Company be liable for any special, direct, indirect, consequential, or incidental damages or any damages whatsoever, whether in an action of contract, negligence, or another tort, arising out of or in connection with the use of the Blog or the contents of the Blog. The Company does not warrant that the Blog is free of viruses or other harmful components.
Please read our disclaimer policy.
