Upcoming UK Company Law Reforms: What Your Business Needs to Know Before November 18

From November 18, 2025, anyone seeking to become a registered director or beneficial owner of a UK company must confirm their identity through a new official verification process. These reforms mark a major shift in how the UK’s business registrar, Companies House, operates. Businesses must act now to ensure compliance and avoid penalties.
 
Combatting Economic Crime: What’s Driving the Change
 
The UK prides itself on being a jurisdiction open for international business and has traditionally been one of the most attractive regimes in which to establish a company. Unfortunately, this openness has also exposed the UK to the risk of shell companies being registered and subsequently utilised for money laundering activities.
 
To combat economic crime and strengthen transparency, the Economic Crime and Corporate Transparency Act (ECCTA) was introduced in 2023. A landmark piece of legislation, the ECCTA represented the biggest change to UK Company Law since 1844. Since the ECCTA became law, Companies House has been undergoing a radical transformation of its powers, evolving from a passive registrar that received and published company information on trust, into an active participant in the UK’s anti-economic crime enforcement efforts.
 
Companies House has been using its new powers to query information it receives from the five million companies on its register to improve the quality of data and reject information it finds to be incorrect.
 
The Identity Verification Deadline
 
In April this year, Companies House rolled out two of the biggest reforms within the ECCTA: the authorised corporate service provider (ACSP) system and identity verification.
 
The ACSP system means that only company service providers regulated in the UK for anti-money laundering can set up and administer UK companies on behalf of their clients. In addition, from November 18, 2025, it will be a legal requirement for those wanting to be a registered director or beneficial owner of a company to confirm their identity through an official identity verification process. These two reforms have been introduced in tandem, with individuals able to complete verification through an ACSP.
 
Navigating the New Rules With Confidence


With less than a month to go until the identity verification requirement takes effect, it’s essential that businesses take action to meet the new compliance standards. As an authorised corporate service provider, ZEDRA has been supporting both new and existing clients throughout the six-month voluntary verification period by helping them complete the identity verification process and remain compliant with the new filing requirements. By leveraging ZEDRA’s corporate secretarial services, clients can significantly reduce administrative burdens and minimise exposure to financial penalties ranging from £250 to £2,000 for non-compliance.
 
A decade after Companies House first made the groundbreaking commitment to providing free, open access to its register, the ECCTA reforms will improve the reliability of that corporate data for all Companies House users, from companies and customers to credit reference agencies and providers of financial information.
 
We welcome these reforms which serve to strengthen the integrity of the UK business environment, improve transparency, and combat economic crime while ultimately supporting economic growth.
 
If you’re unsure how these changes might affect your business, now is a good time to explore your options. ZEDRA’s Corporate & Global Expansion team is ready to support businesses through the identity verification process by streamlining compliance and reducing risk ahead of the November 18 deadline.