A Simple Guide to Director Identity Verification

Introduction: A New Era of Corporate Transparency

The UK has introduced new Identity Verification (IDV) requirements for company directors, Persons with Significant Control (PSCs), and others involved in running a company. These rules form part of a major reform of the Companies House system under the Economic Crime and Corporate Transparency Act 2023 (ECCTA).

UK company directors and Persons with Significant Control (PSCs) must now verify their identities with Companies House under new legal requirements that came into force on 18 November 2025. 

The new identity verification regime aims to combat economic crime by ensuring that individuals setting up, running, and controlling UK companies are who they claim to be. It will make it significantly harder for criminals to use fake or stolen identities to establish companies, appoint fictitious directors, or conceal beneficial ownership.

Understanding and complying with these requirements is essential. Non-compliance carries serious consequences: criminal prosecution with unlimited fines, civil penalties, rejection of company filings, and potential disqualification from acting as a director. Companies themselves may also commit offences if they allow unverified directors to continue acting in their roles.

This guide explains what your board needs to know, in plain English, to stay compliant.

Who Needs to Verify and When?

Who Must Verify

The requirement applies to several categories of individuals:

  • All company directors, including those of overseas companies with UK establishments
  • Persons with Significant Control (PSCs) – individuals holding more than 25% of shares or voting rights, or exercising significant influence over a company
  • Authorised Corporate Service Providers (ACSPs) - This includes company secretaries, accountants, lawyers, and other agents filing documents on behalf of a company at Companies House. 

When

Companies House is implementing identity verification over a 12-month transition period from 18 November 2025 to November 2026:

  • New directors must verify their identity before appointment. From 18 November 2025, you cannot be appointed as a director of an existing company or incorporate a new company unless your identity has been verified.
  • Existing directors must provide their Companies House personal code in the company's next confirmation statement after 18 November 2025. Each existing director has a specific deadline based on when their company files its next confirmation statement. Companies cannot file confirmation statements unless all directors are verified.
  • New PSCs must verify within 14 days of the company being registered or of becoming a PSC, using the 'Provide identity verification details for a PSC' service.
  • Existing PSCs must have a 14-day period to provide their personal code, with the start date depending on whether they were registered before 18 November 2025. The specific deadline for each PSC will be shown on the Companies House register. It is crucial that directors and PSCs check their individual verification deadlines on the Companies House register, as these dates vary by company and role.
  • Authorised Corporate Service Providers (ACSPs) will eventually need to verify their identities. While this is being phased in through Spring 2026, it is best to prepare now.

How the Verification Process Works (Step-by-Step)

There are two methods available both result in the individual receiving a unique Verified Identity Code from Companies House, which links their verified status to their corporate roles.

Method A: The "Self-Service" Route Direct Verification via Companies House

The simplest route for most people is to verify directly through GOV.UK One Login. This free service uses biometric identity checks and can be completed online or via the GOV.UK One Login app. This is the fastest method for most UK residents Identity verification is designed to be straightforward, with most individuals completing the process in minutes.

Requirements:

  1. A UK passport (biometric), UK photocard driving licence, non-UK biometric passport, UK biometric residence permit or card, or UK Frontier Worker permit
  2. Alternatively, if you do not have photo ID, you can verify using bank or building society details, your National Insurance number, and by answering security questions
  3. A smartphone or webcam for the biometric check (typically a passport scan and live selfie)

Process:

  1. Create a Companies House Account, this will be a new system linked to your legal identity. Create a GOV.UK One Login account using a unique email address (each email can only be used once)
  2. You will upload a photo or video that matches your government-issued identity document (passport, driving licence, etc.). Complete the identity verification by scanning your ID document and taking a selfie. They take a photo of a primary ID (passport or driving licence) and a "selfie" for biometric matching.
  3. Companies House will run secure checks using digital verification technology.
  4. Once verified, you will receive a unique identifier. You will not need to redo the process for each company you are involved in. Once verified, the user receives their code instantly. This account can then be used for all future government services. Receive your unique 11-character Companies House personal code
  5. Provide this personal code to Companies House for each role you hold (as a director through the confirmation statement, or as a PSC through the dedicated service)

Once verified, your personal code links your verified identity to all your company roles. You typically only need to verify once, regardless of how many directorships or PSC positions you hold.

Support is available through the GOV.UK One Login customer contact centre, which operates every weekday with an average call answer time of seven seconds and an 85% user satisfaction score.

Method B: Verify Through an Authorised Corporate Service Provider (ACSP)

This route is ideal for directors who are digitally excluded, non-UK residents without biometric ID, or those who simply prefer professional support. Many companies will prefer to delegate this to a professional. If you already work with an accountant or solicitor who is supervised under anti-money laundering regulations, you can ask whether they are registered as an ACSP. A list of registered ACSPs is available through Companies House. For boards already working with legal or accounting advisers, this can be an efficient option.

ACSPs must be:

  • Authorised by Companies House to file on behalf of clients
  • Registered with a UK supervisory body for anti-money laundering purposes who are registered with Companies House for anti-money laundering (AML) purposes.

How it works:

  1. The ACSP performs identity verification using their existing anti-money-laundering (AML) controls. The ACSP conducts the ID check (reviewing physical documents) and confirms the director’s identity to Companies House.  ACSPs can verify identities manually or through identification document validation technology. 
  2. The ACSP files the verification statement on the director’s behalf. They submit confirmation to Companies House that IDV has been completed.
  3. The ACSP becomes responsible for maintaining appropriate records.

The Role of the Company Secretary

Even though IDV is an individual responsibility, a compliant board will need someone to coordinate the process. That is usually the Company Secretary, but in smaller companies it may be the CEO, Operations Manager, or any governance-responsible individual.

  • Communicate with the Board: The company secretary should proactively inform all directors about the new requirements, explain the verification process, and emphasise the legal consequences of non-compliance. Clear, early communication helps avoid friction and ensures directors take action well before their deadlines.

  • Track Verification Status: Maintain an internal record of which directors and PSCs have completed verification and obtained their Companies House personal codes. Ensure the company's internal registers reflect verification status and that the Companies House register is monitored for due dates and compliance. Ensure you notify Companies House immediately of any changes. Outstanding verification actions This avoids last-minute complications when filing the confirmation statement. The central public register is now the definitive record.

  • Collect Personal Codes: The company secretary will need to collect each director's 11-character personal code to confirm the director's verified status for confirmation statement filing. Directors should keep these codes secure and treat them like other sensitive identifiers.

  • Prevent Unlawful Appointments: From 18 November 2025, it is an offence for a director to act in that role without verified identity, and the company may also commit an offence by allowing this. The company secretary should ensure no appointments proceed without verification being completed first. Build identity verification into the appointment process by adding  "ID Verification" to your onboarding checklists.

  • Support Directors: Some directors may need assistance navigating the digital verification process. The company secretary can facilitate this by arranging support, pointing directors to Companies House guidance, or coordinating with an ACSP if the board prefers professional assistance.

Penalties for Non-Compliance 

Companies House has confirmed it will take a transparent, consistent, and proportionate approach to enforcement, using the full range of its powers to ensure compliance. ECCTA empowers the Registrar to impose severe penalties: 

  • Criminal prosecution: Individuals may face unlimited fines through the courts
  • Civil penalties: Financial penalties imposed by Companies House The Registrar can impose financial penalties directly
  • Director disqualification: Unverified directors may be prohibited from acting as directors
  • Rejected filings: Companies cannot file confirmation statements if directors are unverified, and incorporations or new appointments will be rejected
  • Continued offences: If a director continues to act after the deadline without verifying, both the director and the company commit ongoing offences
  • Public annotation: The Companies House register will be updated to show an individual's status as "unverified", visible to all register users
  • Company liability: Companies and all their directors may commit offences if they allow unverified directors to continue acting

Identity Verification is one of the most important corporate reforms in decades. While the process is designed to be quick and accessible, the consequences of ignoring it are serious.

Your Next Steps

  1. Verify your identity now – Do not wait until your deadline approaches. Use the GOV.UK One Login service or engage an ACSP.

  2. Check your deadline – Review the Companies House register to confirm when you must provide your personal code for each role you hold.

  3. Coordinate with your company secretary – Provide your personal code to those responsible for making company filings.

  4. Review your board composition – Ensure all directors and PSCs are aware of their obligations and are taking action.

  5. Build verification into governance processes – For new appointments, make identity verification a standard part of your appointment procedure.

The identity verification regime represents a fundamental shift in corporate governance, placing personal accountability on directors and PSCs to prove their identities. This strengthens the UK business environment by making the Companies House register more reliable and trustworthy. By acting promptly, boards can maintain compliance, avoid penalties, and support the wider effort to protect the integrity of UK business. 

Official Sources and Further Information

Always check the official Companies House website for the most up-to-date guidance and forms, as processes may be updated. For queries or support, contact the GOV.UK One Login customer contact centre or seek advice from your company's legal or company secretarial advisers.

 

About the author

Gary Haase

Content Manager at BoardCloud