The introduction of identity verification is one of the key changes to UK company law under the Economic Crime and Corporate Transparency Act 2023.

IDV aims to provide more assurance about who is setting up, running, owning and controlling companies in the UK. Companies House CEO Louise Smyth CBE said: “Identity verification will play a key role in improving the quality and reliability of our data and tackling misuse of the companies register.

“To save time later, we encourage directors, people with significant control of companies (PSCs) and those filing information with Companies House to verify their identity during the voluntary window.

“We expect identity verification to become mandatory from autumn 2025.

“To reduce the burden on business, the IDV requirement for existing directors will be integrated into the annual confirmation statement update process.”

Minister for employment rights, competition and markets Justin Madders MP said: “In a time where economic crime has become too common, it is imperative that we bring in measures to prevent identities being stolen online and today marks a significant milestone in our plans to require identity verification for those setting up and running companies on the Companies House register later this year.

“This is good for business, lenders and transparency and will give companies, consumers and lenders more certainty about who they are doing business with.”