Companies House: new mandatory ID verification rules for UK small businesses start - how to verify my identity
You can check that company directors are real people 🔍
- From November 18, 2025, Companies House requires all directors and PSCs to verify their identity
- Verified individuals receive a personal code that must be used for filings and appointments
- Existing directors have a 12-month window to comply, usually when filing their next confirmation statement
- Failing to verify can lead to fines, disqualification, or criminal offences
- The change boosts transparency and trust, helping consumers and businesses avoid fraud
From Tuesday, November 18, 2025, a significant reform at Companies House comes into effect: mandatory identity verification for company directors and people with significant control (PSCs).
For small business owners, this is more than just a bureaucratic formality, it’s a legal requirement with real implications for compliance, business transparency, and even consumer confidence.
But what does it mean for those who run or own small businesses, what do those affected by the change need to do to comply with the new rules, and will it have any effect on consumers? Here is everything you need to know about it...
What is changing?
Under the Economic Crime and Corporate Transparency Act 2023, Companies House - the government agency that registers and keeps records of all limited companies - will now require individuals in key company roles to prove their identity.
Directors, PSCs, and agents must prove their identity before taking on a role or setting up a company, and current directors have 12 months to do the same, usually when they file their next confirmation statement.
Once verified, individuals receive a personal Companies House code, a unique identifier tied to them rather than the company. This code must be used when filing confirmation statements, making director appointments, or registering as a PSC.
From November 18, acting as a director without completing verification will become an offence, with potential fines or disqualification for non-compliance.
The change comes after years of criticism that the UK companies register contained false identities and ghost directors; in some notorious cases, companies were listed under names like “Darth Vader” or “Santa Claus.”
By requiring formal verification, Companies House aims to improve transparency and trust in the business registry, making it harder for fraudsters to exploit the system.
What small business owners need to do
Small business owners should take several practical steps to comply:
- Verify your identity early: The easiest route is via the GOV.UK One Login, which is free and usually straightforward. For those who prefer, an Authorised Corporate Service Provider (ACSP), such as an accountant, can also handle the process.
- Secure your personal code: Once verified, you’ll receive a unique code that must be quoted in filings. This code applies to all roles you hold, including director and PSC roles, and should be stored securely.
- Use the code in filings: New directors joining after November 18 must include their code during appointment or company incorporation. Existing directors should submit their code when filing their next confirmation statement within the transition window. PSCs must submit their code based on their status; PSCs who are also directors submit separately for each role; PSCs who are not directors usually have 14 days from the start of their birth month to verify.
- Stay aware of deadlines: Missing verification deadlines can lead to fines, criminal offences, or disqualification. Businesses should plan ahead to avoid last-minute compliance issues.
- Seek help if needed: Small firms with multiple directors or PSCs may find the process confusing. ACSPs or accountants can provide guidance and ensure all codes are submitted correctly.
Why it matters for consumers
While the rules target company directors, they also benefit consumers, and verified directors mean that companies listed on Companies House are more likely to be genuine, accountable, and transparent.
Customers can check company records with more confidence, reducing the risk of dealing with fraudsters or shell companies.
The change also strengthens the broader business ecosystem; with more accurate data, investors, suppliers, and partners can trust small businesses more, potentially attracting better investment and partnerships.
For consumers, that can translate into safer services, products, and interactions with small businesses.