Directors – are you ready for the new company law changes?

Big changes are coming for company directors. New company law reforms will be introduced this month with mandatory ID verification and updated filing obligations at Companies House.

These updates form part of the Economic Crime and Corporate Transparency Act 2023 (ECCTA) – a major overhaul designed to increase transparency, tackle fraud, and improve confidence in UK business.

If you’re a company director, these changes will directly affect you and your responsibilities, and it is vital you stay compliant. 

Here are some of the key reforms:

1. Mandatory Identity Verification (IDV) for Directors and PSCs

From 18 November 2025, all new directors of UK companies and all new persons with significant control (PSC) must verify their identity before incorporation or appointment. 

Existing directors and PSCs will face a 12-month transitional period, during which they must complete verification before their company’s next confirmation statement. The goal is to stop bogus appointments, fake names and shell companies being used for illicit purposes. 

2. Removal of certain company registers & changes to filing obligations

From 18 November 2025, companies will no longer be required to maintain separate registers of directors, secretaries and PSCs in the same way. Instead, specified information must be filed directly with Companies House. 

Companies must maintain their own register of members (shareholders) as the option to elect to hold some information on the central register will be removed. 

3. Stricter enforcement & penalties

With these reforms, Companies House has enhanced powers. Failure to comply with ID verification or to file accurate information may lead to offences for the individual and/or the company. 

4. Wider scope beyond just directors

While the immediate focus is on directors and PSCs, the reforms also extend in due course to LLP members, overseas companies with UK establishments, corporate directors, and those filing information on behalf of companies. 

These changes matter for you as a Director with regards to:

•  Your ability to act – Directors who don’t complete ID verification won’t be able to continue in post.
• Your company’s filings – Companies House may reject submissions if director verification is incomplete.
  
• Your governance reputation – Verified, transparent company data improves trust with banks, suppliers and clients.
  
• Your legal compliance – Avoiding penalties means keeping ahead of new filing and record-keeping standards.
  

To prepare for the new rules, directors should identify all current directors and PSCs and we can guide you through the ID verification process step by step. It is vital to plan ahead for verification and update your company registers, filings and procedures to meet the new requirements. These reforms mark one of the biggest shifts in UK company law in decades. By acting now, you can protect your position as a director and keep your business running smoothly when the new rules take effect.