Companies House is introducing major rule changes for directors this year

Following reforms to the Economic Crime and Corporate Transparency Act (ECCTA), it will soon be compulsory for company directors to confirm their identity with Companies House. 

The ECCTA represents one of the most significant changes to UK company law in recent years. It aims to tackle fraudulent business registrations and improve corporate transparency.

From 2025, new filing rules will roll out in phases, affecting all UK-registered companies, including solopreneurs. 

These include mandatory ID checks for directors and people with significant control (PSCs), stricter filing restrictions, and financial penalties for non-compliance. 

What’s changing at Companies House?

Identity verification is a key step in improving trust in the company register for both new and existing businesses. As part of the ECCTA reforms, identity verification will soon become mandatory for directors, PSCs, and presenters of documents to Companies House. 

Requiring ID upon registration will make it harder for fraudsters to set up UK firms. All new directors and PSCs will need to provide ID upon registration, while existing directors and PSCs will have 12 months to verify their identity. 

The new rules apply to all UK companies, including sole directors and PSCs with no corporate support. It’s important to comply as failure to do so could result in your filings being rejected, which could leave your business unable to legally trade in the UK.

Compulsory ID verification is just one element of wider reforms. Since last March, Companies House has been able to reject suspicious filings, query company names, remove inaccurate information from the register, and reject disqualified company directors.

Last October, Companies House also gained the power to issue financial penalties for non-compliance. And, this March, it was able to expedite the process of striking off companies formed with false information. Further changes are due in Autumn 2025. 

How to verify your identity (and why you should do it early)

As of April 8, 2025, voluntary ID verification is already available. By doing it now, you’ll steer clear of delays or issues when you’re actually due to confirm your identity. 

There are two ways you can verify your identity with Companies House.

1. Firstly, you can contact Companies House directly, either online or via the Post Office. This is a quick and easy route, which is suitable for most UK-based directors or PSCs.
2. Alternatively, you can verify your identity via an Authorised Corporate Service Provider (ACSP), like an accountant, lawyer, or secretary. 

This may be an easier option for non-UK-based directors or PSCs, who may not have access to the online portal or have British ID documents. 

Key deadlines and compliance timeline for SMEs

Here are some of the key deadlines you should be aware of to stay compliant with reforms to ECCTA as a business director or PSC. 

• By Autumn 2025, it’ll be mandatory for all new directors to provide ID. Existing directors and PSCs will have 12 months to update their information. ID verification will be requested as part of the annual confirmation statement filing.
• By Spring 2026, ID verification from document presenters will also be mandatory. Only registered ACSPs will be permitted to file documents on behalf of companies, and documents submitted by disqualified directors will be rejected.
• By the end of 2026, all limited partnerships will have to submit more information, and the transition period will end for all individuals on the register requiring ID verification. Anyone who hasn’t verified their identity will face compliance activity. 

To stay compliant and avoid penalties, we recommend verifying your ID sooner rather than later. In doing so, you’ll also avoid administrative headaches and potential reputational damage from non-compliance later down the line.