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United Kingdom – Identity Verification Requirements
Companies House is implementing mandatory identity verification requirements for individuals involved in UK companies.
This initiative aims to enhance corporate transparency and prevent fraud by ensuring individuals are who they claim to be. The requirements will be implemented in phases, initially focusing on directors and People with Significant Control (PSCs).
Timeline & Scope
- 8th April 2025: Voluntary identify verification for individuals was introduced.
- Autumn 2025: Verification will become mandatory for new incorporations and appointments. A 12-month transition period will begin for existing directors and PSCs who must verify their identities before submitting their next confirmation statement.
- Spring 2026: Identify verification will become compulsory for those filing documents at Companies House.
- By the end of 2026: The 12-month transition period will end and Companies House will start their compliance checks.
Verification Methods
Identity verification can be completed through three methods:
1. Online Verification
2. In-person verification at a Post Office
3. Through an Authorised Corporate Service Provider (ACSP)
The route chosen determines which identity documents need to be provided. In certain cases, direct verification with Companies House will not be available to an individual if they are unable to provide the required form of identity documents.
Upon successful verification, individuals will receive a unique Companies House personal code. This code is personal to the individual and will be required from Autumn 2025 for various purposes, including filing company confirmation statements and becoming a director or PSC.
The Risks of Non-Compliance
Non-compliance carries significant risks for both companies and individuals:
1. Corporate Liability: Companies and their directors may face legal consequences if directors remain in office without completing mandatory identification verification procedures.
2. Directors: Those who continue their roles without verification risk disqualification from directorship and potential criminal and civil penalties.
3. PSCs: Consequences for non-compliance include criminal proceedings, civil penalties from the Registrar of Companies, rejection of new company registrations, restriction on statutory filing capabilities, and public annotation of ‘unverified’ status on the register.
How Mercator® by Citco Can Help
Our team can assist with the necessary process of identity verification for company directors and PSCs including:
- Conducting portfolio assessments to identify all individuals requiring verification
- Guiding clients through the verification process as an Authorized Corporate Service Provider
- Managing the collection and submission of required documentation
- Providing ongoing support and updates as the requirements evolve
For more information or assistance with these new requirements, please contact mercator@citco.com
