Economic Crime and Corporate Transparency Act (ECCTA): New Identity Verification Requirements Explained

ECCTA Identity Verification: What Changed?

From 18 November 2025, ECCTA will introduce mandatory identity verification requirements for all new individual company directors, persons with significant control (PSCs) and LLP members.

Existing directors, PSCs and LLP Members will need to undertake identity verification within 12 months of 18 November 2025, but in any event before the filing date of their next Confirmation Statement.

Why ECCTA ID Verification Matters for Your Business

Failure to undertake identification verification can result in various consequences including:

• Delays to company formations and transactions: Incorporations/registration without verified directors will be rejected by Companies House. Likewise, newly appointed persons will be unable to act unless they have completed ID Verification.
• Increased administrative burden: Businesses will need to track the ID Verification status for all relevant individuals, ensuring compliance by the applicable deadlines.
• Non-compliance: This can lead to serious consequences, including (but not limited to): criminal proceedings that may result in unlimited fines, inability to submit statutory filings, and potential disqualification from acting as a director.

Steps to Prepare for the Changes

• Consider auditing your Company’s statutory registers to ensure they are up to date and action any irregularities
• Review your corporate records to confirm which individuals will need their identity verified
• Raise awareness at board level, and among PSCs
• Check your process for onboarding new directors/PSCs: build in ID Verification step

How Do I Complete ECCTA ID Verification?

There are two methods:

• Direct identity verification with Companies House: Individuals will be able to use their GOV.UK One Login to verify their identity, free of charge, here.
• Indirect verification through an ‘Authorised Corporate Service Provider’ (ACSP):  Authorised agents such as accountants or solicitors will be able to apply to become an ACSP. ACSPs will be able to conduct identity verification for individuals as well as file documents at Companies House as a third-party agent on behalf of a company.

Companies House expects identity verification to be a one-off requirement (subject to limited exceptions). Upon verification, you will receive a personal code, which you must provide alongside a verification statement for every company role you hold.

How Can Waterfront Law Help?

• We can support you in your verification process
• We can audit your current position by reviewing your company’s directors, PSCs and LLP members and then determine who needs to verify and when
• We can monitor future phases of the ECCTA as they come into force, helping you keep ahead in the game

Want to make sure you’re prepared for the changes to the Economic Crime and Corporate Transparency Act? Reach out to our practice head, Andrew Gordon.