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Navigating ID Verification Under the Economic Crime and Corporate Transparency Act 2023
The Economic Crime and Corporate Transparency Act 2023 (the Act) introduces a new era of corporate accountability in the UK. In two of our previous articles from March 2025 and November 2023, we explored the broader reforms introduced by the Act — including the push for greater transparency and the overhaul of Companies House powers. Now, with the mandatory identity verification (IDV) regime coming into force this month – a move designed to enhance transparency, reduce fraud, and prevent misuse of UK corporate structures, it’s time to focus on what businesses must do to comply.
For companies, this means new legal obligations and operational changes that must be addressed now to avoid disruption and penalties later.
Here’s what you need to know — quickly and clearly.
What’s Changing?
From 18 November 2025, all UK companies must ensure that key individuals associated with their business — including directors, Persons with Significant Control (PSCs), and document filers — have their identities verified through Companies House or an Authorised Corporate Service Provider (ACSP).
This is part of a broader effort to:
- Prevent anonymous or fraudulent company ownership
- Improve the accuracy of the Companies House register
- Deter economic crime such as money laundering and corporate fraud
Who Must Verify Their Identity?
- All company directors (existing and new)
- Persons with Significant Control (PSCs) and relevant legal entities (RLEs)
- Individuals filing documents at Companies House (unless exempt)
- LLP members and general partners in limited partnerships
Key Dates for Your Business
Key Actions for Your Business
- Audit your company records
Ensure all director and PSC information is accurate and up to date. - Plan for verification
Identify who in your organisation needs to be verified and choose whether to use Companies House or an ACSP. - Update onboarding and governance processes
Incorporate IDV checks into your appointment and filing procedures. - Engage with your PSCs and directors
Communicate the new requirements and timelines to avoid delays or non-compliance. - Review group structures
If you operate across multiple entities, assess how the IDV rules affect your filing practices and intercompany appointments.
How to verify your ID
There are two routes:
- Direct via Companies House:
Using the GOV.UK One Login app, web service, or in-person at a Post Office, you will need to provide a form of photographic ID (this can either be your biometric passport or a UK photo driving licence). - Indirect via an ACSP:
Solicitors, accountants, or company secretaries registered with Companies House as an ACSP can verify identities on your behalf.
Once verified, individuals receive a unique IDV code — typically a one-time requirement unless re-verification is triggered.
Consequences of Non-Compliance
Failure to comply can result in:
- Criminal offences and unlimited fines
- Inability to act as a director
- Rejection of company filings
- Public annotation of “unverified” status on the Companies House register
The ECCTA’s ID verification regime is not just a regulatory hurdle — it’s a strategic opportunity to strengthen your company’s governance and reputation. By acting early, you can ensure a smooth transition and demonstrate your commitment to transparency and compliance.
If you need support navigating these changes, then please get in touch with us here at Bermans, as we’re here to guide your business through this process.