If you’re running, managing, or owning a company in the UK, you’re about to face a new requirement. Companies House is introducing a mandatory identity verification process aimed at cracking down on illegal activities and misuse of companies. It’s a step toward greater corporate transparency, which, whether you like it or not, is becoming the new norm.

Don’t panic yet - this will roll out in phases, so there’s plenty of time to prepare. But if you're involved in the world of business – whether you’re a director, PSC, or involved in any other capacity – it’s worth getting your head around what’s coming down the line.

Who Needs to Verify Their Identity?

From 8 April 2025, identity verification is voluntary. You can get ahead of the curve and verify your identity early either:

• Directly with Companies House via GOV.UK One Login, or
• Through an Authorised Corporate Service Provider (ACSP).

Fast forward a bit, and this process will become mandatory for:

• New and existing directors
• People with significant control (PSCs)
• Individuals acting on behalf of a company
• Members of a limited liability partnership (LLP)

If you fall into any of these categories, you’ll have no choice but to verify your identity before making filings or updating any company records. So, let’s make sure you’re ready before the deadline sneaks up on you!

How to Verify Your Identity

1. Verifying Directly with Companies House

From 8 April 2025, individuals can verify their identity directly with Companies House using GOV.UK One Login. It’s as straightforward as uploading documents like your passport or driving licence, with plenty of support available if you get stuck.

2. Verifying Through an Authorised Corporate Service Provider (ACSP)

Now here’s where things get a bit more interesting. ACSPs are AML-supervised professionals or firms, like solicitors, accountants, company formation agents, and other specialists who are authorised to perform identity checks. If you want to go through an agent (maybe because you’re not a fan of dealing with the tech yourself), ACSPs are your go-to.

From 18 March 2025, AML-supervised firms can apply to become ACSPs. And if you’ve worked with professionals in the past, you’ll know these guys are held to high standards. Identity checks through an ACSP must meet the same level of assurance as direct verification with Companies House.

What Happens If You Don’t Comply?

As with any new rule, there are penalties for not playing by the book. Failure to meet identity verification requirements within the specified time could result in a few unwelcome surprises:

• Financial penalties (nobody likes these)
• Restrictions on filing documents
• The inability to set up a new company
• And let’s not forget, it could prevent you from making any updates to your current company records.

Essentially, not complying could hold up your business operations, so it’s best to stay ahead of the game. Better to verify early than deal with the consequences later.

A Word on the Role of ACSPs

At Quove Accounting, we’re proud to be registered as authorised agents. What does this mean for you? It means that if you prefer to handle the verification through us (maybe you’d rather leave the paperwork to the pros), we’ve got you covered. We’ll make sure your verification process meets the required standards – just like Companies House would.

Whether you’re verifying as a director, a PSC, or in some other capacity, we’re ready to guide you through every step of the process. So, rest easy knowing you’re in good hands with a trusted partner.

Looking Ahead – Why This is Good News for Businesses

It might sound like a lot of hassle at first, but this identity verification process is a positive step toward cleaning up the business environment. It’s designed to weed out the bad actors who might otherwise use UK companies for money laundering or tax evasion.

The UK government’s focus on transparency is growing, and this move reflects that. So, while it may be a bit of a burden in the short term, businesses that follow the rules will have a more level playing field, and that’s good news for everyone in the long run.

Wrapping Up

So, mark your calendars for 8 April 2025. That’s when you’ll have the option to verify voluntarily, and when things become mandatory, currently expected to take effect autumn 2025, you’ll want to be fully prepared. We’re here to help you navigate the new process with ease, and at Quove Accounting, we’ll make sure your verification goes smoothly.

Stay ahead of the curve and feel free to get in touch if you’ve got any questions – we’re always happy to help!

Categories: Insights