Ryan FowlerCompanies House has confirmed that mandatory identity verification for directors and people with significant control (PSCs) will begin on 18th November 2025, prompting calls for firms to act now to meet their obligations.
Phil Cotter, CEO of SmartSearch, said: “The confirmation that mandatory identity verification will begin on 18 November 2025 sets a clear timeline for one of the most significant reforms introduced by the Economic Crime and Corporate Transparency Act (ECCTA).
“From that date, all new directors must verify their identity before incorporation or appointment, and existing directors and people with significant control (PSCs) must do the same within 12 months, or risk enforcement action — including fines and potential criminal penalties.”
Verification can be carried out via GOV.UK One Login or through an Authorised Corporate Service Provider (ACSP). Once completed, individuals will be issued with a unique Companies House code, which must be used for every directorship or PSC role they hold.
Cotter warned that the scale of the challenge should not be underestimated, particularly for ACSPs, who now face a range of new compliance responsibilities.
“Individuals can complete verification directly via GOV.UK One Login, or through an Authorised Corporate Service Provider, or ACSP. Once verified, they will receive a personal code from Companies House, which must be provided for every directorship or PSC role they hold.
“While the process typically only needs to be completed once, it forms part of a broader effort to enhance corporate transparency and combat economic crime.”
He continued: “The financial services sector in particular stands to be significantly affected; 38% of financial services firms rank crime among their top three business challenges, a further 29% report a skills shortage, and 38% cite red tape as a major concern, all of which suggest that meeting these new obligations won’t be easy without the right support.”
ACSPs will be required to retain ID verification records for seven years and must notify Companies House of changes to their supervisory body within 14 days. Cotter said these requirements will be hard to manage without digital systems.
“That’s why it’s essential to have effective digital systems in place. Platforms like ours help ACSPs meet their obligations through real-time identity checks, automatic screening, robust record-keeping, and daily database monitoring.
“Our retrospective batch upload tool also allows firms to verify their entire existing client base in one go — a vital step ahead of the November 2026 deadline.”
Cotter added: “As the UK moves towards a more transparent corporate environment, streamlining compliance through technology will be key — not just to meeting regulatory requirements, but to reducing risk, managing costs, and building trust.”
