UK Firms Must Verify Directors' and PSCs' Identities

Published Date : 8/6/2025 

Starting from November 18th, UK company directors and people with significant control (PSCs) will need to undergo mandatory identity verification. This initiative aims to enhance the reliability of the companies register and combat economic crime. 

Companies House, the UK’s government-operated company registry, is set to introduce mandatory identity verification for company directors and people with significant control (PSCs). This new requirement is part of the Economic Crime and Corporate Transparency Act 2023 (ECCTA), which took effect in July. The primary goal is to improve the quality and reliability of the companies register and tackle misuse.

Starting from November 18th, new directors will need to verify their identity to incorporate a company or be appointed to an existing company. Existing directors and PSCs will have a 12-month transition period to confirm they have verified their identity. More than 300,000 individuals have already performed identity verification during the ongoing voluntary period, which started in April, according to Companies House CEO Louise Smyth. Between six and seven million individuals are expected to verify their identity by mid-November 2026.

“Identity verification will play a key role in improving the quality and reliability of our data and tackling misuse of the companies register,” says Smyth. The verification process can be performed through the GOV.UK One Login, which relies on technology from iProov and its subcontractors Veriff and Innovalor. Earlier this year, the UK’s Government Digital Service clarified the platform’s privacy policy.

AI and Digital Government Minister Feryal Clark stated, “By introducing identity verification through GOV.UK One Login, we’re using technology to make life easier for people.” Aside from the digital identity platform, company owners can also verify their identity through an Authorised Corporate Service Provider (ACSP), such as a law firm or compliance vendor.

The government notes that the introduction of identity verification has wide public support. Over 80 percent of respondents support the implementation of the process, according to a survey by YouGov.

The London-based Centre for Finance, Innovation and Technology (CFIT) continues its work on the UK Digital Company ID. CFIT, which has been developing a prototype of the Digital Company ID, has announced a new CEO starting from September. Former Financial Conduct Authority (FCA) and Gates Foundation executive Anna Wallace is joining the partly government-funded organization with a mission to advance projects related to digital ID, smart data, financial inclusion, digital assets, and AI.

“From a standing start, the organisation has coordinated multiple industry-wide Coalitions on some of the biggest themes and emerging technologies in fintech, such as Smart Data and Digital ID, as well as taking the crucial first steps to unblock the seemingly intractable barriers to innovation,” says Wallace.

In March, CFIT published its blueprint for the Digital Company ID, followed by the launch of three industry-led working groups focusing on a prototype. Approximately 70 organizations have joined the effort, including biometric technology providers such as Daon, Yoti, and OneID. Among the key partners of the project is the Global Legal Entity Identifier Foundation (GLEIF), which recently announced a fresh partnership with Switzerland’s Federal Statistical Office. The duo plans to link Swiss business registry data with Legal Entity Identifier (LEI) records, streamlining due diligence processes, such as Know Your Customer (KYC) and Know Your Supplier (KYS). Each LEI will be embedded with a URL connecting to the Swiss Enterprise Identification Number, or UID, register, allowing users access to verified company information. 

Frequently Asked Questions (FAQS): 

Q: When does the mandatory identity verification requirement start for new directors?

A: The mandatory identity verification requirement for new directors starts from November 18th.

Q: What is the transition period for existing directors and PSCs to verify their identity?

A: Existing directors and PSCs have a 12-month transition period to confirm they have verified their identity.

Q: How many individuals are expected to verify their identity by mid-November 2026?

A: Between six and seven million individuals are expected to verify their identity by mid-November 2026.

Q: What platforms can be used for identity verification?

A: Identity verification can be performed through the GOV.UK One Login or an Authorised Corporate Service Provider (ACSP).

Q: What is the purpose of the Digital Company ID project?

A: The Digital Company ID project aims to enhance the reliability of the companies register and streamline due diligence processes, such as Know Your Customer (KYC) and Know Your Supplier (KYS). 

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