From 18 November 2025, Companies House will begin a 12-month phased rollout of mandatory identity verification for directors and people with significant control (PSCs). This change, introduced under the Economic Crime and Corporate Transparency Act 2023, is intended to improve the accuracy and integrity of the UK company register.
The new rules will affect both new and existing company officers and will require action from individuals across the labour supply chain, including umbrella companies, employment businesses, and other incorporated entities
Key changes from 18 November
The identity verification requirement will apply as follows:
- New directors must verify their identity to incorporate a company or be appointed to an existing one.
- Existing directors must confirm they have verified their identity when filing their next annual confirmation statement, during the 12-month transition period.
- Existing PSCs will need to verify their identity within 12 months, in line with a Companies House ‘appointed day’ determined by their status and date of birth.
- New PSCs appointed after 18 November must verify and submit a verification statement within 14 days of registration.
Verification can be completed via GOV.UK One Login or through an Authorised Corporate Service Provider (ACSP). Most individuals will only need to verify once and will be issued a personal code for use in future filings.
From November, identity verification due dates will be visible for all roles on the Companies House register.
Why these reforms are being introduced
These changes form part of a wider strategy to modernise Companies House and address vulnerabilities in the UK’s company registration framework. The government aims to reduce fraud, tackle the misuse of corporate structures, and increase public trust in UK businesses.
By ensuring that individuals behind UK companies are who they say they are, identity verification adds an important layer of transparency to corporate ownership. The reforms are widely supported—recent YouGov polling shows that over 80% of business leaders back the new requirement, with over 70% expecting the process to be straightforward.
FCSA’s recommendations
FCSA welcomes the introduction of mandatory identity verification and encourages all organisations operating in the labour supply chain to:
- Act early – Don’t wait for the deadline. Begin verifying directors and PSCs now to avoid unnecessary delays and administrative burden later in the transition period.
- Ensure clarity in naming conventions – Avoid overly generic or ambiguous company names, which can create confusion during compliance checks and due diligence exercises.
- Maintain clear records – Keep a log of who has been verified, when, and by what method, to support internal oversight and demonstrate compliance when required.
- Use Diligence Hub – FCSA’s Diligence Hub provides structured, verified company data to support more informed, risk-aware decisions when selecting supply chain partners.
Strengthening due diligence with Diligence Hub
Diligence Hub already plays a vital role in helping employment businesses and end-clients assess the integrity of supply chain partners. With the introduction of mandatory identity verification, the quality and reliability of Companies House data is expected to improve significantly. This in turn enhances the value of the information accessed through Diligence Hub.
By drawing on verified company records, Diligence Hub enables users to conduct more efficient due diligence, identify inconsistencies, and monitor structural changes with greater confidence. This added assurance helps reduce risk and supports responsible supply chain management.
How Companies House could take this further
FCSA believes further improvements could be achieved by strengthening naming controls at the point of registration. Specifically, preventing the incorporation of company names that closely resemble those of existing, active companies would reduce the risk of impersonation and improve clarity in supply chains.
A shared responsibility
These reforms represent a significant step toward a more transparent and trusted business environment. By embracing the changes early and using tools like Diligence Hub, stakeholders across the supply chain can better protect themselves and uphold high standards of compliance.
FCSA will continue to support its members and the wider sector as the implementation of identity verification progresses.
