Director Identity Verification
From 25 February 2025, directors now have the option to verify their identity with Companies House. While initially voluntary, this process will become a legal requirement by late 2026. Here’s everything you need to know.
Voluntary verification before the deadline
A new director’s identity can now be verified through an authorised professional, like an accountant or solicitor. While this step is voluntary for now, it will become mandatory for all companies by late 2026. Until then, directors will need to provide their ID details when submitting their annual confirmation statement.
Why identity checks are being introduced
The goal of these changes is to crack down on fraudulent directorships and strengthen corporate accountability. By making identity verification a requirement, the government aims to weed out fake or high-risk entities hiding behind false information.
Who handles director identity verification?
Accountants, solicitors and other authorised corporate service providers (ACSPs) play a crucial role in director identity verification. They must follow strict guidelines, review official documents, keep records for seven years and provide HMRC with key details, including document reference numbers and expiry dates.
How directors can verify their identity
There are two ways to complete the verification process:
- Digital verification: Using Identification Document Validation Technology (IDVT) for an automated and highly accurate check
- Manual verification: Directors provide two official documents, including one photographic ID. Non-UK residents must submit at least one government-issued document.
Avoid non-compliance penalties
As part of the Economic Crime & Corporate Transparency Act 2023, failure to verify identity by the deadline could lead to financial penalties. Businesses should ensure they understand the process and work with a trusted ACSP to remain compliant.
Contact us today to stay compliant with the director ID verification changes.
