The Economic Crime and Corporate Transparency Act 2023 (ECCTA) has introduced a new legal requirement for identity verification of key individuals associated with UK companies.
In practice, this means directors, people with significant control (PSCs), and anyone filing information with Companies House must prove they are who they claim to be.
The goal of these reforms is to reduce fraud and illicit activity, improve transparency, and increase trust in the accuracy of the UK company register.
Below is a comprehensive guide to what’s changing and what it means for you.
Contents📋- What’s changing — and why?
- Who needs to verify their identity?
- How to verify your identity
- Direct Verification via Companies House
- Verification via an Authorised Corporate Service Provider (ACSP) - When do you need to verify
- What happens if you don’t comply?
- Should you verify now?
- How to add Unique Personal Code to Director/PSC records on Vestd
- Adding Unique Personal Code to Director record
- Adding Unique Personal Code to PSC record - Recap: Why this matters
What’s changing — and why?
Under the ECCTA reforms, everyone involved in running, owning, or registering a company in the UK will be required to verify their identity. This includes:
- Company Directors (and their equivalents in other entities)
- People with Significant Control (PSCs) – individuals who ultimately own or control the company
- Anyone filing documents on a company’s behalf (for example, company secretaries or agents)
Why is this being implemented? The intent is to bolster the integrity of the Companies House register and prevent abuse of corporate entities. In particular, the identity verification measures will:
- 🕵️♂️ Prevent fake company appointments: By making it much harder to register fictitious directors or owners, the reforms aim to stop the vast majority of fraudulent or false appointments from ever reaching the register.
- 🔒 Increase trust in business records: With verified identities, users of the Companies House data (businesses, lenders, etc.) can have greater assurance that the information on the register is genuine and accurate. This transparency boosts confidence in UK companies’ records.
- 🚫 Deter misuse of companies for fraud or crime: Requiring real identity checks will help deter individuals from using shell companies or false identities for illegal purposes. It strengthens the UK’s defenses against corporate identity fraud and other economic crimes.
In short, identity verification is becoming a legal must-have for key company participants to enhance corporate transparency and security in the UK.
Who needs to verify their identity?
Identity verification will be mandatory for all of the following:
- All company directors (whether new or existing, and regardless of nationality or residence)
- All PSCs of companies (including individuals who are officers of a trust or legal entity that is a registrable PSC)
- Anyone delivering or filing documents with Companies House on behalf of a company (this covers presenters, agents, filing intermediaries, etc.)
❗ Key Rules and Timing: Different groups have specific rules on when they must complete verification:
- New Directors: If you are becoming a director of a new or existing company after the rules take effect (18th November 2025), you must verify your identity before the company formation is submitted or before your appointment notice is filed at Companies House. In other words, no new director appointment will be accepted without a verified ID once the law is in force.
- New PSCs: If you newly become a PSC of a company (for example, by acquiring a controlling share), you will have a short window to verify. Individuals who become PSCs must verify within 14 days of the company notifying the Registrar of the change. If the PSC is a Relevant Legal Entity (RLE), a slightly longer window of 28 days is allowed, and the RLE will need to name a verified officer as its representative. Failing to verify within these periods will constitute an offence by the PSC/RLE.
- Existing Directors and PSCs: Those who were already directors or PSCs before the new law kicks in will be given a transition period of 12 months (expected from 18th November 2025 to autumn 2026) to complete their identity verification. This transition will be aligned with each company’s annual confirmation statement schedule.
In practice, an existing director/PSC will be required to provide their new Companies House “unique personal code” (obtained upon verifying, see below) as part of the company’s next confirmation statement filing during that year. This phased approach integrates the verification into regular filing routines and spreads out the workload.
- Filing Agents / Intermediaries: By spring 2026, any person or firm that delivers filings on behalf of others (such as corporate service providers, accountants, formation agents, etc.) must themselves be verified or be a registered Authorised Corporate Service Provider (ACSP).
In other words, after the transition period, only a verified company officer or an authorized ACSP (or an employee of one) will be able to file information with Companies House. Certain exemptions will apply for employees or officers filing internally under a registered ACSP, but essentially all third-party agents must go through the authorization and ID verification process by that time.
Bottom line: If you are in one of the above roles (director, PSC, or routine presenter of filings), you will need to complete a one-time identity verification with Companies House within the required timeframe to stay compliant with the law.
How to verify your identity
There are two main ways to verify your identity for Companies House: directly through Companies House or indirectly via an Authorised Corporate Service Provider.
Both routes achieve the same level of identity assurance, but the process differs slightly:
1. Direct Verification via Companies House:
You can verify your identity directly using Companies House’s new online service, which launched on 8 April 2025. This is expected to be the most common method, and it is free of charge. It uses the government’s secure GOV.UK One Login system for identity checks.
Key features of this route:
- Digital Verification: The system will guide you through verifying your ID either using the GOV.UK ID Check mobile app (which uses your smartphone camera to scan your face and identity document) or via the GOV.UK One Login website using your computer’s webcam. For those who cannot use the digital options, an alternative in-person verification at a Post Office 🏤 is available within the UK. All of these options feed into the One Login identity verification service.
- What You’ll Need: To verify online, you’ll need internet connection and an email address to create your One Login account. You must have certain identification documents or information on hand. Acceptable primary IDs include a biometric passport (from any country) or a UK photo driving licence (full or provisional). If you don’t have a passport or UK driving licence, other UK document options like a biometric residence permit/card or Frontier Worker Permit are accepted. UK residents who lack these photo IDs may be able to use bank or building society account details (along with a National Insurance number) to verify via a credit reference check. The online service will ask some questions and determine the best way for you to confirm your identity.
- Unique Personal Code: Once you successfully verify your identity through this route, Companies House will issue you a unique identifier known as a Companies House “personal code.” (”—11 characters long in the format XXX-XXXX-XXXX (e.g., FT5‑15ED‑7JY5). This code is personal to you (not tied to any specific company) and serves as proof of your verified status. Going forward, you’ll use this personal code in company filings – for example, when you are named in a new incorporation, appointment, or when submitting your company’s confirmation statement – to link your verified identity to that filing. (Think of it as your permanent ID verification number in the Companies House system.)
2. Verification via an Authorised Corporate Service Provider (ACSP):
Alternatively, you can verify your identity indirectly through an ACSP, which is an intermediary such as an accountant, solicitor, or company formation agent authorized to handle Companies House filings. Key points about this route:
- Who Qualifies as an ACSP: These providers must be registered with Companies House as an “authorised agent” and be supervised by a UK anti–money laundering (AML) regulatory body. Essentially, this means the firm or professional is already under AML supervision (for example, regulated accountants, lawyers, or trust/company service providers) and has applied to Companies House for authorized status to conduct ID verifications. (The ACSP registration system opened in March 2025 to allow firms to get ready.)
- Process: An ACSP will perform identity checks similar to those of the direct route, but on your behalf. You’ll need to provide the ACSP with identity evidence (from the list of approved documents, such as your passport or other ID) so they can verify you to the required standard. The ACSP will then confirm to Companies House that they have verified your identity. Once that’s done, you’ll be issued the same type of Companies House personal code as mentioned above. The ACSP can also handle submitting filings (like incorporations or appointments) for you once you’re verified. In practice, this route might be used by people who find the digital process difficult or by non-UK residents whose documents aren’t easily processed by the UK system.
- Costs: Unlike the direct method (which is free), ACSPs will likely charge a fee for providing identity verification and filing services, as these are private professionals offering a service. The fee can vary depending on the provider.
- Requirement for Agents: If you use an intermediary regularly, note that by spring 2026 all such intermediaries must themselves be registered as ACSPs in order to file on others’ behalf. After that point, you should only be dealing with ACSP-registered agents for company filings. (Employees of authorized firms can file under their employer’s credentials without each employee needing separate verification, as long as the firm is an ACSP.)
Tip: Most people will find the direct GOV.UK One Login method straightforward and quick – the government has indicated verification online or via the app should only take a few minutes in many cases. But the ACSP route is there if you prefer to use a trusted agent or cannot easily use the online system. Either way, you only have to verify once and you’re then set for all your future roles (unless suspicion of fraud prompts a re-check).
When do you need to verify?
The timeline for compliance will roll out in phases (exact dates to be confirmed in secondary legislation). Here’s an overview of when different groups must verify their identity:
- New Directors (from 18th November 2025 onward): Starting 18th November 2025, any person being appointed as a director of a UK company will need to have their identity verified before the appointment or incorporation is officially registered. In practice, when forming a new company, the directors will have to be verified during the setup process, and for an appointment to an existing company, the appointment filing won’t be accepted unless the person’s ID is verified. This requirement is expected to kick in as soon as the new law’s identity provisions are commenced (18th November 2025).
- New PSCs (from 18th November 2025 onward): Similarly, any individual who becomes a new PSC of a company after the law is in force will need to verify their identity promptly. The law provides a window of 14 days from the date you become a PSC (i.e. the company notifies Companies House of you as a new PSC) to complete verification. For a PSC that is a legal entity (an RLE), a slightly longer period of 28 days is allowed, and the RLE must name a verified individual officer who represents it. These deadlines ensure that changes in ownership/control are quickly backed up with a verified ID, and missing the deadline is an offence by the individual or entity. So if you assume a controlling stake in a company, be prepared to verify within two weeks of that event (or four weeks for a corporate PSC).
- Existing Directors and PSCs (Transition Period – 18th November 2025 to Autumn 2026): Those who are already directors or PSCs before the new verification requirement starts will be given time to comply. There will be a 12-month transition period (commencing 18th November 2025) during which all existing directors and PSCs must complete identity verification. In practice, this will be tied to each company’s annual confirmation statement schedule. Companies House has indicated that an existing director will need to provide their personal code (from ID verification) at the time of filing the company’s confirmation statement that falls after the rules take effect. This means depending on when your company’s filing is due, you could verify any time before that statement is made – but no later than autumn 2026 every active director/PSC on the register should be verified. In short, existing officers get up to a year to comply, but it’s wise not to leave it to the last minute.
- Filing Agents and Intermediaries (by Spring 2026): A bit earlier than the end of the transition, the rules for those who file on behalf of companies tighten. By spring 2026, any person who delivers filings to Companies House for others must be identity verified or be operating as a registered ACSP. After that point, you won’t be able to submit documents for a company unless: (a) you are a company officer (director/PSC/etc.) who is yourself verified, or (b) you are an employee/officer of an authorized filing agent (ACSP), or are an ACSP yourself. (Certain limited exceptions might be set in regulations, but generally this is the cutoff.) This measure ensures that all third-party filings come from traceable, accountable individuals or firms. If you’re a professional who regularly files for clients, make sure you register as an ACSP and verify your own identity well before this deadline.
Once you have completed the verification and obtained your personal code, your verified status doesn’t expire or need annual renewal. It stays in place for future filings and appointments, unless Companies House has reason to suspect something and asks you to re-verify. For example, if there’s evidence of fraud or if your personal details change (name changes, etc.), re-verification could be triggered in those exceptional cases, but otherwise it’s a one-time process.
What happens if you don’t comply?
Failing to comply with the identity verification requirements within the specified deadlines can lead to serious consequences, both for individuals and companies. The regime has enforcement teeth. If you do not verify your identity when required:
- ⚖️ Criminal Penalties: You could face criminal prosecution for non-compliance. Specifically, not verifying when obligated is an offence that can result in a fine (on the standard scale up to “level 5”, which is unlimited in England & Wales) or other penalties upon conviction. In short, it’s against the law, and intentional failure to comply is treated seriously.
- 🧾 Civil Penalties: Companies House (the Registrar) also has the power to impose civil financial penalties for failing to verify on time. This means even without a criminal court process, you could be hit with fines administratively for not completing verification by the deadline.
- ❌ Rejected Filings or Company Incorporations: If an unverified individual attempts to make a filing, Companies House will reject the submission. For example, if a new incorporation is filed listing a director who has not verified their ID, the incorporation will not be accepted. Similarly, an unverified person will not be able to register a new company or submit other statutory filings at all. Essentially, your filings “won’t go through” if the identities aren’t verified, which could paralyze a company’s ability to comply with its legal filing obligations until the issue is resolved.
- 🚫 Loss of Director Eligibility: Continuing to act as a director without completing your verification by the required time will be a criminal offence in itself. Directors who fail to verify can be disqualified or prohibited from acting as a company director. Both the individual and the company’s remaining officers could be considered in breach of the law if an unverified person remains on the board after the deadline. In practice, this means you could be removed from your position and barred from future directorships due to non-compliance.
- “Unverified” Label on the Public Register: Companies House has the authority to annotate the public company register to flag individuals who have not complied. If the deadline passes and you haven’t verified, your name on the register may be marked as “unverified,” signaling to all that you did not meet the legal requirement. This public flag could have reputational consequences and will only be removed once you complete the verification (or the person is no longer in a role requiring verification).
- ACSP Specific Offence: For authorized corporate service providers, there’s an additional compliance point – if an ACSP fails to notify Companies House of changes to their AML supervisory status within 14 days of the change, it’s a separate offence. This is meant to keep the register of authorized agents up to date. ACSPs also need to maintain continuous AML supervision; losing that status and not telling Companies House in time can lead to penalties.
In summary, non-compliance is met with a combination of deterrents: you risk legal fines or prosecution, your ability to conduct company business will be halted, you could be barred from directorship, and you’ll be publicly flagged as unverified. The government has made it clear that these measures will be enforced to ensure the integrity of the register.
Should you verify now?
Voluntary identity verification opened on 8 April 2025, meaning you can complete your verification even before it becomes mandatory. But is there any advantage to doing it early? For most people, there’s no immediate rush to verify until the rules formally kick in on 18th November 2025. If you’re an existing director or PSC, you will not be legally required to have a personal code until at least 18th November 2025 when you file your next confirmation statement (or even into 2026, depending on your filing cycle). So in that sense, you don’t have to scramble to verify right now.
That said, there are some reasons you might consider verifying sooner rather than later:
- Avoid Last-Minute Bottlenecks: Companies House expects to process over 6–7 million verifications within a year. If everyone waits until just before the deadline, the system could be congested. By verifying during the voluntary window, you “spread the workload” and won’t risk delays or hiccups when the deadline looms.
- Resolve Issues Early: If there turns out to be any issue with your identification documents or matching your details (for instance, if your passport has expired, or there’s a name mismatch), doing it early gives you time to sort it out. Early verification ensures any problems are addressed well before they can threaten your compliance deadline.
- Peace of Mind: Once you have your personal code, you can relax knowing you’re already in compliance. Companies House itself has encouraged directors, PSCs, and filers to verify early “to save time later.” The CEO of Companies House noted that getting verified during the voluntary period will make things easier when the requirement becomes law. It’s one less task on your future to-do list.
In summary: You are not obligated to verify yet if you are an existing officer (and many people will reasonably wait until closer to the mandated commencement 18th November 2025). However, taking advantage of the voluntary period (starting April 2025) to get verified at your convenience could spare you a last-minute scramble and ensure you’re fully prepared. New appointees in late 2025 won’t have a choice – they’ll need to verify as part of appointment – but existing officers have the luxury of time, if used wisely. You can verify via your GOV.UK One Login here.
How to add Unique Personal Code to Director/PSC records on Vestd:
Once you’ve received your Unique Personal Code from Companies House, you can add it to your director and/or PSC record on the Vestd platform.
While identity verification can’t currently be completed via Vestd, we hope to introduce this functionality soon. In the meantime, please follow the steps outlined above to complete your ID check through Companies House.
- On the navigation panel on the left, click ‘People & communication’. If you’re adding the Unique Personal Code to a Director record, click ‘Directors’. If you’re adding the Unique Personal Code to a PSC record, click ‘PSC’.
Adding Unique Personal Code to Director record
- On the Directors page, click the name of the director you want to add the Unique Personal Code to.
2. You’ll see an ‘ID check code’ field, showing either a green tick (verified) or an orange clock icon (pending). Click ‘Edit’ next to the orange pending-status icon
You’ll see you’ve been redirected to the ‘Update director details’ page. Enter the director’s Unique Personal Code in the ‘Unique Identifier Number’ field, scroll down, and click ‘Save’.
Once saved, you’ll return to the Directors page. A green banner will appear at the top saying ‘Director updated’, and a green tick will show in the ‘ID check code’ field — confirming the code has been verified by an admin.
Adding Unique Personal Code to PSC record
1. On the People with Significant Control (PSC) page, click the name of the PSC you want to add the Unique Personal Code to. You’ll also see an ‘ID check code’ column showing either a green tick (confirmed) or an orange clock icon (pending).
2. You’ll be redirected to the PSC’s record page. In the ‘ID code’ field, you’ll see an orange clock icon (pending). Click ‘Edit’ in the top right.
3. You’ll be redirected to the ‘Update PSC details’ page. Enter the PSC’s Unique Personal Code in the ‘Unique Identifier Number’ field.
4. Scroll down, tick ‘I confirm this PSC has been notified and their details are correct’, then click ‘Update PSC’.
5. After saving, you’ll return to the PSC page. A green ‘PSC updated’ banner will appear at the top, and a green tick icon will show in the ‘ID check code’ field — confirming the code has been verified by an admin.
Recap: Why this matters
To wrap up, here’s why these identity verification changes are so important:
- ✅ It’s now the law, with real consequences: The verification requirement is mandated by the ECCTA 2023, transforming Companies House from a passive registry into an active gatekeeper. Compliance isn’t optional – failing to verify can lead to fines, criminal charges, or being barred from company roles. Every company officer should treat this as a legal obligation on par with other company filing duties.
- 🧠 It protects against fraud and fake companies: By verifying identities, the reform prevents criminals from hiding behind false names or setting up bogus companies. The days of anonymous directors or shadowy beneficial owners are ending. This significantly raises the bar for fraudsters and helps shut down avenues for money laundering and other abuses of corporate entities.
- 🧾 It builds trust in UK business records: With all key individuals confirmed to be real, users of the Companies House register – whether businesses vetting suppliers, investors conducting due diligence, or authorities investigating – can have greater confidence in the data. Overall, the credibility of the UK’s company register will improve, enhancing the reputation of UK companies domestically and abroad.
- 💼 Once verified, you’re set for future roles: The good news is that identity verification is generally a one-time task. After you’ve been verified and have your Companies House personal code, you can take on new directorships or officer roles, or make filings, without having to verify again each time. Your verified status follows you, and all your company roles get linked to your verified identity. This streamlines future company registrations and filings, making the process quicker while still secure. (Re-verification is only in exceptional cases of suspected fraud or changes in your identity information.)
In essence, the identity verification regime is a foundational change aimed at strengthening the UK’s corporate environment. It ushers in greater security and accountability, at the cost of a one-off administrative step for directors and others. By knowing the facts and timelines, you can ensure you stay compliant and contribute to a more transparent and trustworthy corporate register in the UK.