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From 18 November 2025, UK Companies House will require all
directors and Persons with Significant Control (PSCs) to complete
mandatory identity verification, aiming to improve transparency and
reduce corporate fraud.
The UK is strengthening corporate transparency by introducing
compulsory identity verification for all company directors and
Persons with Significant Control (PSCs) starting 18 November 2025.
This measure, part of the Economic Crime and Corporate Transparency
Act 2023, aims to enhance the accuracy of the Companies House
register and combat misuse of corporate entities.
Who is considered a PSC?
A Person with Significant Control is generally an individual
who:
- Holds more than 25% of shares in a company;
- Holds more than 25% of voting rights;
- Has the right to appoint or remove the majority of the board of directors; or
- Otherwise exercises significant influence or control over the company.
Who will be affected by the new rules?
- New directors and PSCs must verify their identity before incorporation or appointment.
- Existing directors are required to confirm their verified status within 12 months at their next confirmation statement.
- Existing PSCs must complete verification within a 14-day window aligned with either the company's confirmation statement date or their birth month.
Verification process:
Identity verification can be completed through the GOV.UK One Login
system or via an Authorised Corporate Service Provider (ACSP), such
as a corporate administrator or accountant. Verified individuals
will receive a unique identifier to be used in all relevant
filings.
Implications for businesses:
Failure to comply may result in penalties, director
disqualification, or company dissolution. Companies should prepare
early to ensure all directors and PSCs complete verification by the
deadlines.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
