In a significant change to UK company law, the Economic Crime and Corporate Transparency Act 2023 (ECCTA) imposes new requirements for certain individuals to have their identity verified.
These requirements aim to deter those who wish to use companies for illegal purposes by making it much harder to register fictitious directors or beneficial owners.
Together with the various other elements that ECCTA has introduced, the government is hoping that these steps will improve corporate transparency, tackle economic crime and improve the UK’s reputation as a secure business environment.
Individuals who need to verify their identity include, among others: directors of a company; individual members of limited liability partnerships (LLPs) and, in relation to each corporate member, a nominated director, individuals who are persons having significant control (PSCs) of a company or an LLP, and for relevant legal entities, a nominated director.
Individuals who wish to deliver documents to Companies House, whether on their own behalf or on behalf of another individual or company and sole traders or the holders of a senior role in a business which is, in either case, applying to be appointed as an authorised corporate service provider (ACSP), must also be identity verified.
Since 18 March 2025, individuals have been able to verify their identity for the purpose of registering as an ACSP.
Since 8 April 2025, in anticipation of the identity verification regime becoming mandatory, other individuals to whom the regime applies have also been able to voluntarily verify their identity.
From 18 November 2025, identity verification at Companies House has become compulsory for all individual directors and PSCs (based on either the earliest Confirmation Statement date of any of their relevant companies or the month they were born (this one only applies to PSCs) - whichever date is the earliest). It is also compulsory for the incorporation of a new company or a Limited Liability Partnership (LLP) and for appointment of individuals; as directors or LLP members, and new PSCs.
From 18 November 2025, a 12-month transition period will begin for existing directors, LLP members and PSCs to verify their identity as part of the annual confirmation statement filing and month of birth for PSCs.
The information to be verified is referred to as required personal information.
There are two routes through which an individual can verify their identity: either directly through Companies House or through an ACSP.
The route that the individual chooses to use to verify their identity determines the process that they need to follow and the identity documents that they need to provide to confirm their identity.
Companies House will issue each individual whose details have been successfully verified with an 11-character unique identifier (UI) and has stated that identity verification is to be a “once only” process for an individual (no matter in how many companies/LLPs they are appointed as directors and/or PSCs), unless they are issued with a reverification notice.
This means that, once an individual has been issued with a UI, if they are appointed as a director of a company or become a member of an LLP or become a PSC in the future, they will need to provide their UI to Companies House on appointment.
Laggan & Associates Ltd, being a registered ACSP with Companies House, is authorised to undertake the ID verification of all individuals who are Directors and PSCs at Companies House. We have already successfully verified the IDs of most of our clients ahead of the deadlines as currently this can be done voluntarily. Anyone who would like any further clarification/assistance on this, please do not hesitate to contact us.