Let’s be honest: if you’d hoped the Economic Crime and Corporate Transparency Act (2023) would quietly pass by, think again. Companies House has shaken up the rulebook and it’s accountants, not the fraudsters, who now have the compliance paperwork. Identity verification is the new frontline in ‘making business more transparent’, and every accountant is now expected to be the last line of defence between their clients and a Companies House penalty notice.
Don’t put away your AML policy just yet, the focus keyword for 2025 (and your next ICAEW audit) is “Companies House identity verification”.
Who needs identity verification, and when?
You, your clients, and probably anyone in your office who’s ever filled out a form for a UK company. The timeline is as memorable as a VAT deadline:
- Since April 2025: Voluntary identity checks. (Any self-starters left the building?)
- From autumn 2025: All new directors and people with significant control (PSCs): Verification at the point of incorporation or appointment. Existing directors and PSCs: Within 12 months of the next confirmation statement.
- From spring 2026: Anyone filing on behalf of a company (yes, that’s you, the trusted accountant): Must be registered as an Authorised Corporate Service Provider (ACSP) and complete an identity check themselves.
If your practice files for clients or performs identity verification, you’ll need to register as an ACSP. Don’t wait until Companies House pens you a personal invitation.
What is the accountant’s role now?
Congratulations, you’re no longer just a number cruncher. You’re now the client’s ACSP shepherd. The new Companies House regime means you:
- Must register as an ACSP if you want to file or verify on behalf of clients after spring 2026.
- Are responsible for verifying identities per Companies House standards (and the long arm of the law).
- Must keep records (yes, more of them) for seven years.
- Need to train and supervise all relevant staff on the new regime, because “I didn’t know” is not a defence.
- The upshot?
Accountants are now on the frontline, some might say the barbed wire of preventing economic crime, with Companies House as your silent partner in compliance.
Documents and evidence: The new compliance checklist
Think AML, but with even less margin for error. To pass Companies House identity verification:
Accepted photo ID:
- Biometric passports (any country)
- UK full/provisional photo driving licences
- UK Biometric Residence Permits/Cards
- UK Frontier Worker Permits
You may also need:
- Proof of address
- Date of occupancy
Evidence standards as an ACSP:
- Collect full name, date of birth, and address (12 months’ history at least)
- Review original documents (no, a 2013 scan from Dropbox doesn’t count)
- Authenticate the ID (and record how you did it)
- Keep records for seven years (optimists may wish to budget for more)
Fail to meet these standards and your ACSP status and possibly your reputation, are toast.
Penalties: What happens if you get it wrong
Let’s be clear: this isn’t a game of “try again next year”. Mess it up and you or your client can expect:
- Blocked filings (including confirmation statements, addresses, appointments, and anything else Companies House deems exciting)
- Inability to serve as a director or PSC
- Daily penalties for non-compliance (upwards of £10,000 per offence in serious cases)
- Regulatory investigation, loss of ACSP status, and, if you’re really unlucky, a free court appearance
If this all sounds like fun, you have an odd sense of humour. For everyone else, take the new identity verification deadline seriously.
While these changes are a compliance headache, the aim is to prevent abuse, so genuine businesses benefit in the long run. Unless you’re running a fake shoe shop from your mum’s basement, in which case… commiserations, your days are numbered
Tools and tips: Surviving and thriving as an ACSP
Good news: You’re not expected to reinvent the compliance wheel.
Bad news: You are expected to drive it in a straight line.
Technology is your friend (finally). Consider using:
- Inform Direct: Designed by and for accountants, this tool automates reminders, stores evidence, and even flags possible errors before you submit to Companies House 8 – Technology solutions for compliance with ACSP standards – a guide for accountants.docx.
- AML-compliant digital platforms: To keep record-keeping robust and minimise human error (helpful when your junior leaves after six months).
Pro tips:
- Onboard clients with identity checks as part of every new engagement.
- Keep clients in the loop – especially when it comes time for confirmation statements.
- Monitor for guidance updates: Companies House isn’t known for standing still.
The days of creative filing and mysterious directors are (almost) over. As the rules change, so must your processes and mind-set. Accountants must embrace ACSP duties, invest in their compliance workflow, and stay sharp or risk leaving their clients (and themselves) out in the compliance wilderness.
Don’t wait for a Companies House slap on the wrist. Get your ACSP house in order now, speak to our team about Inform Direct, update your onboarding, and thank us later when your clients sleep soundly through the confirmation season.
FAQs
- Is ACSP registration mandatory for every single accountant?
No, only if you file or verify identity for clients post-2026. If you don’t, you just miss out on all the extra admin fun. - Can I charge fees for identity verification?
Yes. Verification with Companies House is free; ACSPs may (and arguably should) charge for the compliance burden. - What happens if identity isn’t verified in time?
Filings are blocked, and the individual/firm risks penalties or criminal offence. - Does verification renew every year?
No, but significant changes (name/address) may trigger a new check. Watch for evolving guidance. - What’s the minimum I must keep on record?
Full name, DoB, addresses: Comply with AML best practice, and store all evidence for 7 years. - What if my client ‘forgets’ to tell me they’ve changed their address?
Gently remind them that a missed update could cost them their directorship (and possibly your continued business).
The days of creative filing and mysterious directors are (almost) over. As the rules change, so must your processes and mind-set. Accountants must embrace ACSP duties, invest in their compliance workflow, and stay sharp—or risk leaving their clients (and themselves) out in the compliance wilderness.
Don’t wait for a Companies House slap on the wrist. Get your ACSP house in order now, speak to our team about Inform Direct, update your onboarding, and thank us later when your clients sleep soundly through the confirmation season.
