- The Economic Crime and Corporate Transparency Act 2023 (the Act) aims to prevent the abuse of UK corporate structures and tackle economic crime (including tax evasion). The Act, inter alia, sets out the reform of the Companies House legal framework for an increasingly digitalised economy. Changes to be introduced by the Act include:
- giving the Registrar of Companies a new function to maintain the integrity of the register of companies through, for example, powers to query suspicious appointments or filings, request further evidence or reject a filing. To continue filing documents, for example, at Companies House, all third parties (authorised corporate services providers) must register.
- modernisation of the law regulating limited partnerships (including Scottish limited partnerships), including tightened registrations requirements, increased transparency requirements and enabling the Registrar, in certain circumstances, to deregister limited partnerships.
- In January 2025, the Secretary of State made The Registrar (Identity Verification and Authorised Corporate Service Providers) Regulations 2025, as part of the identity verification regime under the Act for certain directors, partners, LLP members and persons with significant control of UK companies. The mandatory verification period has been open since 18 November 2025. Any new directors will need to be verified on appointment. Guidance is expected for certain affected groups such as limited partnerships, corporate directors of companies, corporate members of limited liability partnerships (LLPs), and officers of corporate PSCs.
- Timing: a phased approach to implementation of the Act has been adopted, with the Act expected to be fully in force by 2027 (some elements, including the new offence of the failure to prevent fraud (including tax fraud), are already in force). The mandatory identity verification window is open until 18 November 2026, during which time all existing directors will need to be verified. The deadline for each company is aligned to their next confirmation statement date.
Resources (click to open)
- Economic Crime and Corporate Transparency Act: outline transition plan for Companies House (Companies House, updated August 2025)
- The Registrar (Identity Verification and Authorised Corporate Service Providers) Regulations 2025 (legislation.gov.uk, January 2025)
- Economic Crime and Corporate Transparency Act 2023: Factsheets (Home Office, Serious Fraud Office, HM Treasury, Department for Business and Trade, Ministry of Justice and Companies House, February 2024)
- Economic Crime and Corporate Transparency Act 2023 (legislation.gov.uk, October 2023)
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